Can a charging order be placed on a property if...?

mumofjusttwo

Can a charging order be placed on a property that is jointly owned for debts by only one of these people?

He no longer lives at the house but is on the mortgage although he does not pay any of it.

Thanks

fermi

It can be, yes. Although you would have a right to object.

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=15_charging_orders_in_the_county_court

The house is in joint names but the debt is in my name

If the debt is in your sole name, but you own the house in joint names with someone else, they have the right to tell the court all the circumstances and why they would suffer hardship if a charging order is made. They should have been sent a copy of the interim charging order and given an opportunity to go to the hearing and put their point. For example:

• who paid the deposit to buy the home?
• who has made the mortgage payments since?
• if there are children at home, ask the court to put a condition that the house cannot be sold by the creditor until the children have grown up;
• the co-owner will need to file and serve written evidence of their objections at least 7 days before the hearing.

Information: If a charging order is made by the court then it will only apply to your share of the property.

mumofjusttwo

Hmm

Thank you. He has not contributed since he left but he doesn't seem bothered about anything and seeing as he isn't paying then he would not car if it was on his share of the property.

I am on income support so can not get him taken of the property

Do you know if they are normally understanding wen someone objects. and when is a standing order normally placed on a property.

He has debts from visa cards etc.

Sorry if I am being vague it is not my intention but I do not know much about

this.
Thanks for the response

fermi

Well, they would obviously need a CCJ against him first. Has that happened?

If he genuinely has a share of equity in the property, even if not making payments now, then you might have difficulty arguing against any charging order.

However what is VERY VERY VERY rare is for that to progress to a creditor being able to force a property to be sold. The courts do not like to do that, and are generally very very sympathetic. Especially for family homes.

Quite a few people on these boards have had a charging order applied, and I honestly can't think of any case where a creditor has forced the sale.

true27

mumofjusttwo wrote: »

Hmm

Thank you. He has not contributed since he left but he doesn't seem bothered about anything and seeing as he isn't paying then he would not car if it was on his share of the property.

I am on income support so can not get him taken of the property

Do you know if they are normally understanding wen someone objects. and when is a standing order normally placed on a property.

He has debts from visa cards etc.

Sorry if I am being vague it is not my intention but I do not know much about

this.
Thanks for the response

I've had exactly the same problem with my ex. The creditor (1st Credit :mad:) got the charging order granted even though he hadn't lived here or contributed for over 4 years, the judge just wasn't interested in my objection and my ex refused to do anything to prevent it happening. However, since having it placed on the property about 2 years ago we haven't heard a peep out of them.

Also worth noting would be whether a charging order is placed on the deeds as a "restriction" or a "charge". The difference being if it is a charge then it acts exactly as a mortgage. If it is a restriction however, it does NOT become payable upon sale (like a mortgage) the restriction basically says that the seller must notify the creditor of the "disposition" (which means sale/remortgage/any transaction relating to the property etc). That bit would be something for your solicitor to sort out if and when you come to sell, but its a really important distinction.

Sorry if thats a bit rambling, but I hope it helps. Its a really cr*ppy situation to be in, but please try not to worry - as Fermi says, a forced sale under these circumstances would be extremely rare.

true27

Oh, just another quick point - have you spoken to a solicitor about this? I note you're on income support so you would be entitled to Legal Help for advice

RAS

Hi

You might want to read this thread https://forums.moneysavingexpert.com/discussion/1839539 about COs on jointly owned proprties.

Then send blueback and 10past6 a pm; 10past6 beign rather good on COs.

mumofjusttwo

Well I have spoken to a solicitor about the house (as was going for a divorce but husband can be bothered to sign his forms) but I think that she only seems to talk about the divorce and says that I can only do mediation to 'agree' details although this aren't a guarantee legally.


true27- it amazes me that someone can get into debt and another person can be left to pick up the pieces. Just doesn't seem fair

He has not got a CCJ yet! as I have checked with Trustonline.

I think that the property is probably worth the amount of the mortgage so there isn't any equity in it

Thanks for the posts RAS. I am reading them at the moment.