| People should be aware of different aspects of debts | | | | overcome such scenarios of debts. Tax, National |
| before dealing with it. Usually when you're sorting out | | | | Insurance and VAT are too associated with debts. |
| how to pay back your debts, you should identify the | | | | Being a educated citizen its important to pay the tax. |
| most important ones. These are called your 'priority | | | | Not paying tax may lead you being made bankrupt. |
| debts' and should be settled first. You can share more | | | | You should know that tax debts cannot become the |
| in detail about debts with experts and debt agencies. | | | | sole reason for a prison term, but cases of serious |
| People should know that the most important debts | | | | fraud could result in criminal proceedings. Debts has a |
| aren't necessarily the biggest ones. But the priority | | | | vast areas to deal as associated with human life such |
| debts are ones where serious action can be taken | | | | as council tax, utility bills, hire purchase debt, and more. |
| against you if you don't pay what you owe. If you dont | | | | Another aspect of debts are non-priority debts or can |
| handle your debts properly then may face situations | | | | say credit debts. Some of the non-priority debts |
| like if you don't keep up with mortgage payments and | | | | features include credit card or store card arrears , |
| payments on loans secured on your house, the lender | | | | catalogue debts , water rates arrears , bank |
| can take legal action to take possession of your house | | | | overdrafts and loans , personal loans with finance |
| and sell it. In the same way debts another scenario | | | | companies , loan shark loans , and money borrowed |
| may clarify its meaning more clearly like If you fall | | | | from friends or family. |
| behind with your rent, your landlord can take | | | | Noticeably, you cannot lose your home or go to prison |
| possession action in the county court to evict you, and | | | | for not paying 'non-priority' or credit debts, but you can |
| you will still owe the rent arrears. | | | | still be taken to county court and ordered to pay what |
| Its highly important to balance your financial budget to | | | | you owe, in few cases with extra costs on top. |