Charging Order? The myth

How would be best to word said email without sounding like I'm telling him his job, I did send an email a while ago that I got from the LR as shown below for his information so he should have this on file.

Thank you for your e-mail of 8 December.
I cannot provide legal advice, however I confirm that a Form K restriction would be automatically cancelled providing the transfer was for money by two or more proprietors - this would overreach the interests under the trust. So, you are correct in that the restriction (providing it is a form K) would not need to be removed prior to the transfer application.

Thanks I will email him and see what response I receive

Retailalt

You do have a Charging Order but, because you are a sole debtor/joint owner, your CO cannot be registered as an equitable charge (similar to a mortgage) on your deeds. If you were a sole owner of the house then that is how a CO would be registered.

But in your circumstances, the creditor has a CO on your "beneficial interest" (your share of any equity in the house) and can, as your own the property jointly with a non debtor, only notify this fact by way of a Restriction on your property deeds.

A read of this thread will show you that, under these circumstances, the creditor has virtually no security for the debt to be paid when you sell the house. This is because the terms of the Restriction (Form K) only requires the BUYER to notify the creditor the house is being sold to enable the property to be transferred into their name.

As "overreaching" occurs when a sale is made by joint owners to a third party (for value) the Restriction is then automatically removed by the Land Registry.

Unfortunately, ill informed and, often, deliberately awkward Solicitors and conveyancers; choose to ignore these facts and do all they can to hand over their clients sale proceeds, to a third party, when there is no legal requirement to do so?

So make sure you don't hire a similar thinking conveyancer if you sell up!

Hi weimimamma

That sounds positive. You just have to hope, now, that he has the necessary skills to explain everything to the buyers side if they do make an objection? Let's hope so!

Hi All

My wife and I went bankrupt in 2009 and during our dealings with the OR we had about £34k equity in our house, my wife had a CCJ taken out by the lender just before going bankrupt. They filed an application for charging order on land or property. should this have been included in the bankruptcy.

Initially the OR also filed for a charging order for the full £34k, (£17k each) but later the OR could get nothing from the lender (total of my wife's half of the equity) so decided to withdraw and vacate the charging order.

I have 2 different letters from 2 different branches of the Land registry giving 2 different OR contacts, one dated Feb 2010 from the Kingston upon hull Office and the second dated Jan 2013 from Fylde Office now I don't know but the offices could have moved

What I would like to know is this:
Will this be the whole charging order that was vacated or just my wife's half? We did get a letter addressed to me stating the OR was applying for a charging order on my £17k plus interest at 8%. How does this work and when is best to sell up and move? Sooner rather than later assuming we have to pay the OR .

Do we have to pay up when we sell? (either or both charging orders) and what do we need to do/say to solicitors when we do sell?

Thanks in advance
Jerry