Charging Order? The myth

kanute50

To get to the stage of a Charging Order or Restriction, steps must have been taken by the Lender to recover the debt.


No one will convince me that it is right that debts should remain unpaid.


We have all at some time in our lives had to struggle through difficult times, and found it difficult to make ends meet and pay our commitments.


It may not seem "fair" that a debt that was unsecured, and with high interest rates, should in effect become secured due to such an order, but the reality is that if every effort was made by the borrower to come to an arrangement with the lender, then the situation would not have happened at all.


We must therefore agree to disagree on the ethics or morality of debt management.

harisumo

You must live in cloud cuckoo land or something, what if someone goes to hell and back with a creditor who completely ignores all offers of an affordable payment and is only hellbent on obtaining a court order, have you had first hand experience of some of these ruthless debt collectors? Some of us have been driven to near sucide by these people!! This thread is only helping people in this situation fully understand the law around the issue of charging orders rather than living in fear of losing their homes.

eggbox

Kanute50


I think HARISUMO has a fair point.


You do, sadly, seem woefully ignorant of how much of these consumer debts are made up of compound interest payments that rocketed through rates jumping to over 30% during the early days of the recession biting (allowed by the CCA as there was no limit on interest rises as there are in most other EU states) In my ex's case her rate went from 12.9% to 34.5% over a nine month period and when she was not in default? They imposed the rates as she could only afford to pay the minimum. When she tried to negotiate a better rate she was told by the creditor that "we are contractually obliged to charge this rate" which was a fabrication.


Your entitled to your opinion, but I would prefer you actually researched how these debts ammassed before you make a statement saying "No one will convince me that it is right that debts should remain unpaid"

joan1920

In answer to HARISUMO we all have to be responsible for our own actions, at the end of the day everyone has the right to either go or not go into debt and borrow from unscrupulous credit agencies, yes we all have financial problems but borrowing from peter to pay paul is the worst thing anyone can do. Martin gives very good advice as to transferring debts from one company to another in order to lower interest charges but this would only be acceptable by the credit company concerned if the payments were upto date, in eggbox's ex wifes case her rate went from 12.9% -34.5% this would suggest to me that she did not have a fixed term interest rate when she took out the initial loan very foolish!! , if she could not keep up payments on a lesser interest rate loan how on earth was she going to manage the higher interest rate loan? also eggbox you tell KANUTE 50 to do research as to how these debts ammassed impossible if Kanute 50 is not aware of the facts. I have to agree with KANUTE 50 because everyone has the option to declare themselves bankrupt before the credit agencies do it for them hence they lose everything and although a majority of bankrupts can be discharged after a 12 month period, dependant on the debt incurred the official reciever can impose a further restriction order of anything from 2-15 years so again is it worth having this over your head when if you had acted at the time all of this could have been prevented.There was a classic case not long ago on another web site Get out of debt free where one individual listened to all the wrong advice and found himself bankcrupt so my advice to anyone in financial difficulties seek proper advice either at CAB, or get a half hour free consultation with a solicitor this I advocate whole heartedly and EGGBOX I have done my research and am more than equipped to give my opinion be it right or wrong I beleive as I said initially everyone is responsible for their own actions

harisumo

joan1920 wrote: »

In answer to HARISUMO we all have to be responsible for our own actions, at the end of the day everyone has the right to either go or not go into debt and borrow from unscrupulous credit agencies, yes we all have financial problems but borrowing from peter to pay paul is the worst thing anyone can do. Martin gives very good advice as to transferring debts from one company to another in order to lower interest charges but this would only be acceptable by the credit company concerned if the payments were upto date, in eggbox's ex wifes case her rate went from 12.9% -34.5% this would suggest to me that she did not have a fixed term interest rate when she took out the initial loan very foolish!! , if she could not keep up payments on a lesser interest rate loan how on earth was she going to manage the higher interest rate loan? also eggbox you tell KANUTE 50 to do research as to how these debts ammassed impossible if Kanute 50 is not aware of the facts. I have to agree with KANUTE 50 because everyone has the option to declare themselves bankrupt before the credit agencies do it for them hence they lose everything and although a majority of bankrupts can be discharged after a 12 month period, dependant on the debt incurred the official reciever can impose a further restriction order of anything from 2-15 years so again is it worth having this over your head when if you had acted at the time all of this could have been prevented.There was a classic case not long ago on another web site Get out of debt free where one individual listened to all the wrong advice and found himself bankcrupt so my advice to anyone in financial difficulties seek proper advice either at CAB, or get a half hour free consultation with a solicitor this I advocate whole heartedly and EGGBOX I have done my research and am more than equipped to give my opinion be it right or wrong I beleive as I said initially everyone is responsible for their own actions

Yes we are responsible for our own actions but when life takes unexpected turns we do not always know what a rocky road lies ahead and how badly we end up getting treated. I, incidentally, did not borrow from an unscrupulous agency but that is where you seen to end up when your debts are eventually sold on. Everyones situation is different in any case and not everyone in debt ends up going bankrupt. This thread is here to cover a specific issue ie charging orders/restrictions and there has been plenty of good advice in the past.

kanute50

harisumo wrote: »

You must live in cloud cuckoo land or something, what if someone goes to hell and back with a creditor who completely ignores all offers of an affordable payment and is only hellbent on obtaining a court order, have you had first hand experience of some of these ruthless debt collectors? Some of us have been driven to near sucide by these people!! This thread is only helping people in this situation fully understand the law around the issue of charging orders rather than living in fear of losing their homes.

I have not had experience of a Debt Collection Agency chasing a debt. I most certainly do have experience of the fear of losing our home when my other half was made Redundant 3 times and then suffered a serious nervous breakdown with the worry.


We struggled long and hard to pay the mortgage up to date after my other half found full time employment. So I have never lived in cloud cuckoo land.


I fully sympathise with anyone with money worries.

eggbox

joan1920 wrote: »

in eggbox's ex wifes case her rate went from 12.9% -34.5% this would suggest to me that she did not have a fixed term interest rate when she took out the initial loan very foolish!!

Firstly, it was a credit card with a variable APR much like mortgages are. Whilst mortgage rates were lowered to reflect the base rate, credit card APR's rocketed as panic set in the banking community and it was this that caused the debt problem. If you're suggesting this could have been forseen you are talking nonsense

joan1920 wrote: »

if she could not keep up payments on a lesser interest rate loan how on earth was she going to manage the higher interest rate loan?

Exactly, but you need to explain that to the effin idiots who ran the banks that raised the rates that ignored common sense

joan1920 wrote: »

also eggbox you tell KANUTE 50 to do research as to how these debts ammassed impossible if Kanute 50 is not aware of the facts.

But its ok for KANUTE50 to pass an opinion without having the facts?[/

joan1920 wrote: »

There was a classic case not long ago on another web site Get out of debt free where one individual listened to all the wrong advice and found himself bankcrupt

But there are many thousand more cases where people have sought advice from sites like this and discovered how to avoid bankruptcy by fighting back against ruthless DCA's

joan1920 wrote: »

my advice to anyone in financial difficulties seek proper advice either at CAB, or get a half hour free consultation with a solicitor

CAB will most likely refer you to a Solicitor and most Solicitors have no expertise with dealing with CCA debts. Most as this thread is testimony too, don't understand the difference between a CO on sole and joint property ownership!

joan1920 wrote: »

and EGGBOX I have done my research and am more than equipped to give my opinion be it right or wrong

I vote wrong

joan1920 wrote: »

as I said initially everyone is responsible for their own actions

If you believe that is the case then, presumably, you now accept its your fault that you lost £30k on the repossesed house sale as you didn't check the security of that charge with the Land Registry when you registered it?

joan1920

In answer to the last statement NO it was not my fault I lost the £30k It was down to a solicitor that was engaged by the purchaserof my property as a condition of the sale to him, he covered all costs at the time I did ask if I could have my own legal representatative but was told it was part and parcel of the terms of the offer of sale,only after the sale was completed was it bought to my attention that the cover I had on the property was only a unilateral notice not a legal charge. I then had to seek the advice of a barrister to ascertain the best way forward to safeguard my retained equity held by the purchaser for a 5 year period,on his advice I contacted the purchaser who agreed to the charge being put on the property so I thought everything was ok, I do not accept responsibility for what happened next as that was out of my hands I wasn't even made aware of the repocession taking place, only after the lender contacted me to have the charge removed did I then discover I could not do anything to prevent it, had I had the foresight and the knowledge that I do now there is no way I would have proceeded with the sale, but then we are all wise in hindsight aren't we? The reality is that no matter how secure the charge is, the lender takes priority over the person holding the second charge be they an individual or a couple is irrelevant , If I had been insistant that my charge went on before completion took place it's more than likely the lender would not have allowed the sale to take place, and therefore I would have incurred costs from both solicitors for the cancellation of the sale this money I did not have, so in one respect I was incompetent to trust the person whom I sold to I guess we all live and learn. I am confident that through the correct channels I will recoup some if not all of my losses and that the person I entrusted from the onset is dealt with accordingly I have had extremely hard times and know what its like to live on the poverty line that is why I made the decision to do what I did but alas it wasn't to be, at the end of the day eggbox I hope this clarifys things for you. Whilst I accept HARISUMO that there is good advice on this site sometimes it is not always correct re my comment about GET OUT OF DEBT FREE site perhaps you should look up a member called EGGIE he listened to bad advice and it cost him dearly

eggbox

Joan1920


Your protestations only make what you have said previously, about people being responsible for their own actions, even more ridiculous. You can get caught out by circumstances beyond your control but nobody else can?

joan1920

EGGBOX
I think you have misinterpreted what I said, I admitted I was incompetent and that in hind sight I would have done things differently, my situation is more complex than others but I know of several more people who find themselves in the same situation as myself and we are all trying to help each other make good of a bad situation. The only comment I made which I feel is very valid is that people through whatever circumstances they find themselves in should seek professional help from the appropriate organisations, and not take ill informed advice from web sites from members who have little or no knowledge of the law regarding charging orders etc. If these so called members of various sites were so clever then it bodes the question why are they not in a legal profession? I do not condone the copios amounts of money that solicitors charge but at the end of the day they have studied several years in their profession and are more upto date with the legalities of these cases then I or indeed you. I do not doubt that you have done research as have I but the laws change on a regular basis and we are not all privvy to the new legislation, anyone can download information and try to justify they are in the right but we are not judges,Mp's and do not have the power to make changes to suit ourselves. I ask this one question of you EGGBOX if you were owed a considerable amount of money say for instance £10,000 and somebody offered to pay you a nominal amount of just say £5 aweek would that be acceptable to you knowing that the debt would not be cleared for approximately 45 years I think not!!! so why should anyone expect cca or banks to do the same?. Yes there are circumstances which cannot be helped but you cannot keep blaming it on recession we all had the good times and now everyone has to tighten their belts, all I am saving is that you should not live beyond your means and at all costs try an avoid going into debt this I know is easier said than done, and yes I am aware that people are struggling to make ends meet I am one of one of those. However I would not encourage anybody if they are in debt now to borrow further money to clear it and find themselves in a worse situation than they were before I hope this clarifys things for you