Capquest, charging order. Help please

Savannah31

Hi,

I have a debt of 3k with Littlewoods. I was struggling to pay the monthly payments as I can't work over the last 2 years due to a health condition. I have 3 children, and all the expense that comes with that, so I offered them monthly payments that I could afford but never got anywhere. This went on for a while then Capquest took over the debt. They sent me a lot of letters demanding money. I offered them installments but they were always saying it was too low to accept. 2 months ago I received a court letter regarding CCJ, I made an offer of repayment. They said they never received my letter, so I resent a form and Capquest accepted my repayment offer.


I had a letter from them on Friday saying they will accept the repayment but are in the process of securing the debt on my property with a charging order. I then had a letter yesterday from a solicitor and a court date for an Interim Charging Orser, at Bradford court on 17th July. I am now worried sick. Can they do this? Will I be forced to sell my home?


The solicitor is HL Solicitors. From research I've done on Capquest they seem a dodgy company, and it's worrying me.


If anyone could help I'd really appreciate it. Of course I'll be ringing them first thing tomorrow.

chanz4

They wont allow forced sale, but with the debt owed would allow a charge and as long as you keep to the plan nothing would happen

Savannah31

Thank you.mso as long as I'm paying the set amount each month agreed they won't do a force of sale? Thank you.

Savannah31

Sorry for typing errors, I'm on my phone, typing far too quickly;)

Ganymede

Savannah31 wrote: »

Thank you.mso as long as I'm paying the set amount each month agreed they won't do a force of sale? Thank you.

That is correct.

Savannah31

Thank you for your help

Buzby

You should have challenged this BEFORE it went to court. Whilst it may seem there is nothing that has changed, they have effectively secured their debt on your property - turning whatever interest they originally agreed (secured rates are often significantly lower, due to the security).

In effect, their interest charges will remain high, yet for a secured loan the homowner can (and does) have every right to fight this on two fronts; (1) the interest charged not being reduced to reflect the security, and (2) they only purchased the debt at a reduced rate and were not the principal creditor.

When challenged, some courts are reluctant to grant the security because of this, but it requires the defender to raise the issue - if not, it is a done deal. Not only this, the charge will be shown on the Land Registry until it is redeemed or cancelled - this can be far far longer than a 6 year timeframe when a debt can become unenforceable/uncollectable.

I'd strongly suggest you get proper legal advice - you don;t have to worry about losing your home, but it will affect you when you try to buy another property OR sell your own.

Savannah31

This is the first I knew of it, I received a letter saying they accept my offer of repayment, at long last but said about the charging order, then next thing I know I've a solicitor letter with this court date. I had no time to challenge it.

So I have no idea where I stand or what I can do now? I am ringing them tomorrow to discuss it.

Ganymede

Savannah31 wrote: »

This is the first I knew of it, I received a letter saying they accept my offer of repayment, at long last but said about the charging order, then next thing I know I've a solicitor letter with this court date. I had no time to challenge it.

So I have no idea where I stand or what I can do now? I am ringing them tomorrow to discuss it.

From your first post it would appear that you sdmitted to the debt on the form N9A and so you will now have a CCJ against you. A Charging Order is a method of enforcing the CCJ.

Savannah31

Yes, I admitted the debt was mine and offerd a repayment to the court.

But why are they trying to now put it as a secured debt on my house?

Ganymede

Savannah31 wrote: »

But why are they trying to now put it as a secured debt on my house?

Because they can...