Charging Order

Silvafox

Hi, I have understood a debtor to have had a full charging order on my property. I remember getting a letter saying they were going for one and remember getting the Interim Charging Order letter. This was a few years ago now and I am now selling but can't remember getting an actual charging order notice.

So, I have bought my Land Registry Title and I'm not sure whether I am understanding it correctly or not. The actual wording is this:

(30.10.2006) RESTRICTION: No disposition of the registered estate
is to be registered without a certificate signed by the applicant
for registration or his conveyancer that written notice of the
disposition was given to Hillesden Securities Ltd (MBNA) at
Buckingham Road, Brackley, Northants NN13 7DN being the person
with the benefit of an interim charging order on the beneficial
interest of Mr xxxxxxxx made by the Nottingham County Court
on 11 October 2006 (Court reference xxxxxxxxx) (A/c ref:
xxxxxxxxxxx).

Does this mean they don't actually have an order or is an interim order all they need to secure the debt?

Any advice would be welcome...

fatbelly

Sounds like they have a charging order against one owner of a jointly owned property.

Was it a credit card by any chance?

Explained in this thread

Charging Order? The Myth

Make sure you get a decent solicitor when it's time to sell

Silvafox

fatbelly wrote: »

Sounds like they have a charging order against one owner of a jointly owned property.

Was it a credit card by any chance?

Explained in this thread

Charging Order? The Myth

Make sure you get a decent solicitor when it's time to sell

Thanks for that link fatbelly - very informative.

I think it was a credit card - maybe Alliance and Leicester (from my bad days).

You are right as well - the charging order was applied for when I had a joint mortgage with my ex. However, I have remortgaged with a new lender since then (about a year after the charging order) so how come it followed me? I read on the other thread that they automatically dropped off with the transfer when the property is sold - which I assume would apply to remortgaging too?

It must look like I'm trying to avoid paying the debt, when in fact I have made them several offers to settle it but as the offers were under the amount owing - they have always come back with something like 'well, we have a charging order on the property so the amount has been fixed blah blah blah...'

Maybe I should approach them with my new found knowledge now + an offer.

fatbelly

A remortgage is not a sale. So the charging order (or rather restriction) is not affected.

I would not have the discussion (argument) with them at the moment. Let it sit there until you leave the property. Then use a decent solicitor who will give them notice of the sale and - hey presto - it's an unsecured debt again.

Then they'll be prepared to talk 'full & final settlement'

Silvafox

fatbelly wrote: »

A remortgage is not a sale. So the charging order (or rather restriction) is not affected.

I would not have the discussion (argument) with them at the moment. Let it sit there until you leave the property. Then use a decent solicitor who will give them notice of the sale and - hey presto - it's an unsecured debt again.

Then they'll be prepared to talk 'full & final settlement'

Oh I see, I assumed a remortgage was classed as a sale too. Thanks for that info mate.

The house is for sale now and my lender has agreed a shortfall sale - so theirs no equity anyway. In the light of this and your info, I'll have to force their hand about accepting a full and final.

fatbelly

Make sure your conveyancing solicitor understands the difference between a restriction and a charge!

There's a link to a bl.law aricle in that thread I posted earlier. May be worth printing.

PNPSUKNET

benefit of an interim charging order , this is just that an interim one it would still be recorded at the landregistry