Is a Re-Mortgage with a Charge, possible?

opinions4u

James, the new business is in it's second year of trading, first year did close to £300K as a one man band, hardly unprofitable.

Well done.

If that's all profit I don't really understand why you're not willing to pay your debts in full. I don't really understand why you need a remortgage.

Thrugelmir

flyinglizards wrote: »

James, the new business is in it's second year of trading, first year did close to £300K as a one man band, hardly unprofitable.

Old business saying. Turnover is Vanity, Profit is Sanity but Cash is King.

On a turnover of £300k hard to believe that the business wasn't profitable.

holly_hobby

If you are able to get the 2nd chargee to accept your offer in full and final settlement, then the charge should removed by them, as in essence the os debt will have been repaid with their satisfaction (IF they accept it as a !!!!!!).

The issue is trusting them to go through with the removal of the charge post settlement.

So your letter of settlement needs to be clear, to the effect that if they accept your payment (which I would send by cheque, thereby if they cash it they do so accepting the terms of payment), of the agreed sum in full and final settlement with their further removal of the charge with LR. That way if they choose not to remove it, you have evidence to provide to the courts that their action in presenting the cheque for payment, was done so under the terms of a !!!!!! arrangement, and the agreed removal of the charge.

As probably already discussed earlier inthe thread, you will not be able to remortgage (to an alternative lender) unless the 2nd chargee agrees to defer their charge, as once your current lender removes their charge on redemption the 2nd charge moves up into 1st charge place (under the succession of charges regs).

Its also worth remembering that just because a debt has been judged as not legally enforceable aka your OD and the faults under the CCA74 (notwithstanding Part V exemption, which apparently was forfeited due to omissions under the letters of facility etc, if judgement was given on no evidence of a signed agreement - as ODs although regulated under s10 of hte CCA74, don't have a traditional CCA hence part v exemption ), it will remain on your CR with the CRAs, and will continue to effect you until after its 6th anniversary of registration (as will other defaulted debts, even if the default/ccj has been satisfied).

Hope this helps

Holly

flyinglizards

holly_hobby wrote: »

If you are able to get the 2nd chargee to accept your offer in full and final settlement, then the charge should removed by them, as in essence the os debt will have been repaid with their satisfaction (IF they accept it as a !!!!!!).

The issue is trusting them to go through with the removal of the charge post settlement.

So your letter of settlement needs to be clear, to the effect that if they accept your payment (which I would send by cheque, thereby if they cash it they do so accepting the terms of payment), of the agreed sum in full and final settlement with their further removal of the charge with LR. That way if they choose not to remove it, you have evidence to provide to the courts that their action in presenting the cheque for payment, was done so under the terms of a !!!!!! arrangement, and the agreed removal of the charge.

As probably already discussed earlier inthe thread, you will not be able to remortgage (to an alternative lender) unless the 2nd chargee agrees to defer their charge, as once your current lender removes their charge on redemption the 2nd charge moves up into 1st charge place (under the succession of charges regs).

Its also worth remembering that just because a debt has been judged as not legally enforceable aka your OD and the faults under the CCA74 (notwithstanding Part V exemption, which apparently was forfeited due to omissions under the letters of facility etc, if judgement was given on no evidence of a signed agreement - as ODs although regulated under s10 of hte CCA74, don't have a traditional CCA hence part v exemption ), it will remain on your CR with the CRAs, and will continue to effect you until after its 6th anniversary of registration (as will other defaulted debts, even if the default/ccj has been satisfied).

Hope this helps

Holly

Thanks Holly, a really great informative post, thank you for taking the time to set this out. I think a letter to the bank with a F&F offer with them giving me assurances that the charge will be removed, is the way to go.

To answer the two 'enthusiastic' posters previously :cool:

The first years turnover had a lot of company set up expense as I made out earlier against IP/s (Intellectual Property), this is on game design and physics engines we have developed in-house and will be using on iphone/android games going forward.

I would not be on here looking for help an advice to my predicament, if I had the cash to splash writing off my debts.

The business was profitable, but it will take another 12 months to see profitability enough where I can take money out of the business.

thanks

flyinglizards