Charging Order? The myth

Sparklyfairy

maz1964 wrote: »

Thank you eggbox (sorry slightly confused an OFS is>? pls ) OFS = order for sale

it is exactly how i feel actually this week, its like the knowledge has really lifted me and whatever happens in the next court hearing i will of course let you guys know

but i may have to travel that line for them to go for the restriction but will see what the outcome is, but for now im happy until my pay increases to pay them what was told to be paid, until then see what the future holds. All through your hearing the judge & solicitors will only refer to it as a Charging Order. Don't stress. It is actually a Restriction & the paperwork you receive from Land Registry will confirm this as the cover of the interim charging order paperwork will clearly state "Restriction" on the cover. All other "joint" owners of your property will also receive this paperwork as well. Main point - just go through the motions & let them refer to it as a co & rest assured, it'll only be a restriction.

again wonderful thread this is , so happy today i feel i can move on and not let it affect my life in the short term and can make future plans to be eventually debt free Here Here! These can be some dark days...but yes, it DOES get better & you can actually look ahead & make plans for your future to be debt free :T

have a fun day all MAZ:)

Cheers, Maz - you too! xx

harisumo

I wonder if anyone could help me with some advice.
I originally received a General Form of Judgement N24 from the court where my hearing took place. Although I defended the NR claim for numerous reasons I did not attend the hearing due to ill health. I am being ordered to pay the full amount of the loan with NR plus extra interest for the two years it took them to get the claim to court plus the whopping solicitor's fee.

I have been waiting for further action, ie application for a court order, before I submit a N245 form with an application for payment by installments which I can afford.

Out of the blue today I have received two copies of a notice B136 (CO) one addressed to me and one to my husband - Application to register a restriction against the land - from the Land REgistry.

It states that NR's solicitors applied to the County Court for an interim charging order on 25 November 2011, andthat is was consequnetly granted. I knew nothing of this and have received absolutely no correspondence relating to the application whatsoever before the receipt of these notices. Surely this can't be right.

The notices say either one of us can object to the application by the beginning of January.

I am not sure where to go from here as the notices came out of the blue and I expected to be informed of the application to the court for an interim restriction. Any advice as to what steps to take next would be greatly appreciated.

Sparklyfairy

Hiya Harisumo. Since NR were granted the ccj & the payment was granted to be payed forthwith - NR can then apply for a charging order. This is exactly how it works, unfortunately & I was fuming when it happened to me, too. I never went to a redetermination hearing at all - I just had a letter from the courts to say the entire debt was due within 1 month which clearly I couldn't pay & MBNA went ahead & applied for an ico. I've said this before that the courts see that you owe £x & are will or able to pay £y, but it'll take forever to pay off, judges grant the charging order. The paperwork you recv'd should have the court date listed. Please attend with your up to date budget to show the judge what you can afford. Take your spouce with you for support & be sure to voice your concerns, but don't be surprised when the judge grants the charging order - but remember you'll only have a restriction anyway - so not worth the paper its written on. x

harisumo

That's the problem, I never even had a month to pay to pay the full amount due and the court application for the interim charging order took place within two weeks after the original CC hearing, I never knew anything about it, there is no mention of any other court dates or anything like that in the paperwork I have received from the land registry, it all seems pretty final to me. The paperwork from the Land REgistry says I or my husband should appeal to them if we have any objections.

The other thing I wondered was whether they sent paperwork to the building society we have our mortgage with and whether this affects the mortgage in any way?

eggbox

harisumo wrote: »

The other thing I wondered was whether they sent paperwork to the building society we have our mortgage with and whether this affects the mortgage in any way?

They are supposed to contact all your creditors for any objections (nobody seems too concerned if they do or not) but your mortgage won't be affected.

You mortgage company, either, won't be too bothered as their debt takes priority as it is registered against your property (meaning you can't sell your house without paying off their debt).

As Sparkly states, however, if all you are receiving is a Restriction just forget about it as its the end of the road for them unless you keep talking to them.

Sparklyfairy

harisumo wrote: »

That's the problem, I never even had a month to pay to pay the full amount due and the court application for the interim charging order took place within two weeks after the original CC hearing, I never knew anything about it, there is no mention of any other court dates or anything like that in the paperwork I have received from the land registry, it all seems pretty final to me. The paperwork from the Land REgistry says I or my husband should appeal to them if we have any objections.

The other thing I wondered was whether they sent paperwork to the building society we have our mortgage with and whether this affects the mortgage in any way?

You can bring up the fact you didn't have sufficient time (1 month) to pay the debt in full with the judge at the final charging order hearing but the judge may ask if you could pay it all that day & if the answer is no, I'm afraid they will most definitely grant NR the charging order. However I think it's worth pointing this out to the judge as it'll show the greed of NR & their solicitors & they could be reprimanded..which is always a plus! But solicitors & creditors totally know how to play the system..

The bulk of paperwork you get for the ico is much more substantial than after the co is made final, which for me was only 1 a4 sheet of paper confirming it all. It does have to be granted as final by the district judge who hears it, though.

Is your mortgage with NR? If no, it wouldn't normally affect it (the mortgage is usually the 1st charge on any home & usually the most substantial). If it is with NR, I'm not sure tbh...? xx

harisumo

The mortgage is not with NR thank goodness, and these solicitors and creditors really do know how to play the system I can't believe how underhand they can be and the lies and anomalies along the way, but at the end of the day if it is just a restriction for what it costs them I still wonder why on earth do they keep doing it, they must have had their fingers burnt in the past. I did panic when that paperwork arrived out of the blue but now I tend to agree with eggbox as I think of all my creditors I had a running battle with NR, endless correspondence and it never really got me anywhere. The other creditors that I've ignored, initially because I had a bit of a breakdown and couldn't cope with it all any more, do seem lately to have disappeared off the scene and the letters and calls just seem to be dwindling away.

Sparklyfairy

Yes, these are by far the darkest days...so rest assured it does get better! I believe they carry on doing this in the hopes that when we sell up & move, we settle with an inept solicitor who pays them just as they would a charging order...but we are getting wiser! xx

eggbox

harisumo wrote: »

I can't believe how underhand they can be and the lies and anomalies along the way

Which is why when you do sell up and they get nothing you won't feel guilty

harisumo wrote: »

but at the end of the day if it is just a restriction for what it costs them I still wonder why on earth do they keep doing it

Because its been getting them results due to (and I include myself in here) a general ignorance of what powers a CO on jointly owned property has. This thread has helped greatly but there are still posters in this position stating their Solicitors don't know the difference either and are telling them they HAVE to pay up. So don't expect them to let up on this type of action until far, far more people become aware of the facts.

harisumo wrote: »

I tend to agree with eggbox as I think of all my creditors I had a running battle with NR, endless correspondence and it never really got me anywhere. The other creditors that I've ignored, initially because I had a bit of a breakdown and couldn't cope with it all any more, do seem lately to have disappeared off the scene and the letters and calls just seem to be dwindling away.

If a creditor isn't prepared to listen then its fairly futile trying to negotiate and the quicker people shut up shop the quicker they go away to find someone else who will talk to them.

harisumo

Thanks for the continued advice and support. The only thing I really need to clarify is whether we are required to respond to the Notices from the Land Registry, they say we need to agree to or object to the restriction by X date and that if we do not then it will be entered on the register anyway.