Home credit and doorstep loan debt
Home credit loans are collected in person, which can make missed payments feel very personal. Your rights are the same as with any other regulated lender.
Applies to: England, Wales & Northern Ireland
What to do now
- Tell the lender in writing what you can afford — use the repayment offer letter.
- If visits feel like pressure, ask for written contact only.
- If you were lent more than you could afford, complain to the lender, then the Financial Ombudsman.
What home credit is
A home credit lender lends a small sum, often in cash, and an agent visits each week to collect repayments. These are high-cost loans regulated by the FCA, and the lender must check affordability and treat customers in difficulty fairly. Because the agent comes to your door, it can be easy to keep borrowing again before the last loan is paid.
Priority or non-priority?
Non-priority. The agent has no power to take anything from your home, and the lender would need a county court judgment before using enforcement. Pay rent or mortgage, council tax and energy first, even if the agent is the person you see most often.
What happens if you do not pay
- Missed payments and a default are recorded on your credit file.
- The lender may write and call, and the agent may keep visiting.
- The debt can be passed or sold to a debt collector.
- The lender or collector can bring a court claim after a letter before claim.
Your rights with agents
FCA rules say firms must not contact you at unreasonable times, use pressure or mislead you about what can happen. An agent is a visitor: you do not have to let them in and you can ask them to leave. You can ask the lender to end home visits and deal with you in writing, and it should consider that request. If contact feels like harassment, see creditor harassment.
What you can do
- Work out what you can afford after priority bills.
- Offer that amount in writing and ask the lender to freeze interest and charges.
- Avoid taking a new loan to clear the old one.
- If loans were repeatedly given that you could not afford, complain to the lender. If you are unhappy with the reply, or it takes more than eight weeks, go to the Financial Ombudsman Service.
Formal solutions
Home credit debts are unsecured, so they can be included in a debt management plan, a DRO, an IVA or bankruptcy, like any other loan. Once a formal solution is in place, the lender should deal with you through the solution rather than collecting directly.
You never have to pay for debt advice. MoneyHelper (government-backed), StepChange, National Debtline and Citizens Advice all give free, confidential advice with no obligation.
Common questions
Is a doorstep loan a priority debt?
No. Home credit is a non-priority debt. The lender cannot take goods from your home without a court judgment and further enforcement steps.
Can I ask a home credit agent not to visit?
Yes. You can ask the lender in writing to end home visits and contact you in writing instead. It should consider your request, and you never have to let an agent in.
Can I complain about a home credit loan?
Yes. If the lender gave you loans you could not afford, complain to the lender first and then to the Financial Ombudsman Service if you are not satisfied.