DMP 15 months in MBNA charge iminent am I sad No!!

Longing_to_be_debt_free

Hi All,

as the title says I have been on my DMP with payplan now for 15 months and everything has been going more or less fine with most creditors apart from MBNA.

In December they obtained A CCJ against the outstanding credit card debt, I had with them. The court set my monthly payments to what payplan pay them each month.

In May they go for a redetermination hearing, I go to court and speak to a lovely judge and he asks how im going to pay off the debt. I tell him that I only have 2 years 10 months left on my mortgage and when that is cleared, I intend to use the money that was used to pay the mortgage each month to clear my debts. After listening to me the Judge said he was going to ajourn the case in order for me to produce comprehensive debt management statment outlining how I was going to repay the debt...

In August, we appear in court again... I come armed with my mortgage statements and my carefully prepared debt management statement outling the debt and how it was going to be repaid, inclusing adding on the 8% yearly statuory interest charge.. A solicitor acting on behalf of MBNA comes over prior to the case starting advising me that MBNA are not happy at how long it will take to repay the debt and are asking for the judge to grant a judgement forthwith... With the view of then going for a charge agaist my property and asks me how I feel. I say we will just wait and see what the judge says... We are then called into court and the judge listens to the solicitor first and then asks to see my statements, having read them he queries why I have added the statutory charge within my statements, I say becasue this is what I was advised I would have to pay. He then looks throught the papaers and advises me that the CCJ was granted without interst and therfore, none can be charged.. "Woo Hoo" ... The Judge says that as I have admitted the debt he has no other choice but to grant the order forthwith, and that this would then allow MBNA to go for an interim charge and asks me how I felt about this, I say as MBNA want to secure and unsecured debt on my house can he please include wiuthin any order he grants that as long as I keep up my repayments they can never go for a force of sale.. He then asked MBNA solicitor how he felt and after much procrastinanting he eventually agreed... The order was then granted with my repayments set at my payplan level.. Whilat I intentd to increase payments over the next few years and clear the debt as soon as possible, I felt that throughout the court appearances that the judge was always on my side.

I now know exactly where I stand with MBNA and whils tthe charge in the next few months is a just a formality, as my biggest creditor I now feel for the first time in months I can now relax. ;)

GeorgeUK

Sounds like you had a bit of a result - well done.

Can i ask a couple of things?

Had you defaulted on the CCJ?
I take it this was a charging order they were going for - if you hadn't defaulted on the CCJ, why did the judge allow this?

I was under the impression that the legislation allowing a CO to be placed against a property when the CCJ had not been breached was still in draft form and had not been passed?

I need to do alot more reading in this area, but was hoping you may be able to offer some insight - there are quite a few people now being threatend with this, even before they have the CCJ.