Charging Order? The myth

Tillydot

I was told by someone on another site that it was probably never seen by a judge, but they could be wrong. I sent the forms back to the solicitor and they refused the £1 and went for the £371. I then read about the change in the law on a variation, so was scared to death to do that.

Tillydot

The order was from the court so it must have been seen by someone I suppose, but your hands are tied arent they. If the solitors turn down your offer and then go for a large amount, and you say you cant pay that then they go for the charging order, but I have read since that they can still go for that even if you are uptodate with your ccj payments.

eggbox

Tilly Dot, just back up a little. Was a court hearing set and did you attend?

Tillydot

Sorry I am probably confusing things. I had the papers from Northampton, didnt defend it just admitted it and offered a £1 a month, I then received a letter saying I was ordered to pay £371 per month.

eggbox

Ok

Well I would ask the court to vary the payments in the first instance stating you cannot maintain the current high level. I doubt this will trigger any Charging Order attempt by your creditor as the balance remaining will be fairly low. The fact you have little equity in the property is another factor against them pursuing.

But even if they do go after one there is no way they can enforce an Order for Sale if the property is your main residence as there is case law against such.

Tillydot

Thank you so much Eggbox for putting my mind at rest, it has been a very difficult 5 months, very little sleep. I was told if I didnt have a minor living with me or a partner, then they could go for an order of sale! Thank you so much.

eggbox

Creditors can go for an OFS even if you have children or a partner. But obtaining one is virtually impossible on consumer debt.

The case law protecting you is;
[FONT=Arial, sans-serif][FONT=Arial, sans-serif]Caselaw - Bank of Ireland Home Mortgages vs. Bell 2001

[/FONT][/FONT]This case established that for an OFS to be granted then the equity available on the property must be sufficient to pay off the judgment creditor and all other interested parties and still leave enough money to adequately rehouse the debtor and any dependants.

There is no way a Judge would grant an OFS anyway on what you owe as, unlike the granting of Charging Orders, they have much greater powers of discretion.

Tillydot

If I can vary it I will still try and pay it off within this year as I cant wait to get out of debt. The stress has been unbearable this last year. It has made me ill and when you are working and not sleeping its a terrible circle of fear.

eggbox

It is, but obtaining a few facts and wising up to the tactics debt collectors play will at least help you put things in perspective. Above all understand you are one of many thousands of people in a similar position.

Threads like these, thankfully, make life a lot more bearable and hopefully help people see their way out of very difficult situations in very stressful times. It's amazing what a good nights sleep does to help you tackle problems, too!

Tillydot

Its also thanks to people like you who are prepared to help.