Car Finance charging order against my property, will they take an offer to short settle.

sourcrates

You keep mentioning bankruptcy, and a 7k charging order, but what you haven`t told us is how much other debt you have, if any ?

Any outstanding mortgage is the first in line for payment from any potential sale, if that leaves a shortfall, then the debt with the charging order gets nothing, and their debt just becomes a bog standard unsecured non priority debt again.

As does any mortgage shortfall debt, as I`ve written before, these type of debts are not chased that hard, if an affordable payment plan can be arranged, then fine, if the debt that's left is insurmountable, then in most cases they eventually get written off.

The debt with the CO may be open to more reasonable offers after the CO has been removed by the sale, I see absolutely no need to go bankrupt unless you have £1000`s of pounds of other debt you haven`t mentioned.

born_again

sourcrates said:

You keep mentioning bankruptcy, and a 7k charging order, but what you haven`t told us is how much other debt you have, if any ?

Might like to read this thread by OP.

https://forums.moneysavingexpert.com/discussion/6427600/interest-only-mortgage-with-mortgage-term-ending-and-struggling-to-sell-thinking-of-going-bankrupt/p1

sourcrates

born_again said:

sourcrates said:

You keep mentioning bankruptcy, and a 7k charging order, but what you haven`t told us is how much other debt you have, if any ?

Might like to read this thread by OP.

https://forums.moneysavingexpert.com/discussion/6427600/interest-only-mortgage-with-mortgage-term-ending-and-struggling-to-sell-thinking-of-going-bankrupt/p1

Oh yea, should have checked the history, gave him same advice last time, rinse and repeat.

Iansellers

molerat said:

No point going in high as, from their point of view, if you can afford 6 you can afford 7.  Why would they be interested in taking an offer if you are selling where, unless there is not enough equity to cover the first charge, they are going to get all their money.  By letting them know you are selling you have given them more reason to play hard, you should have gone in cold with 50% offer of cash now "just for your own peace of mind"

Many thanks for your suggestion. I did as you suggested and had the following reply back from the company. My question now is, is this good enough, it was emailed from the company. They have said that they will once I've made the payment send me an email to say its settled and that they will then remove the charging order but wanted to ask people if they think the below is good enough to make payment on to them?

Thank you for your call today.We have reviewed the offer of £xxxxxx towards the balance of £xxxxxx.We are willing to accept this offer.In order for us to complete this request and close the account we are going to need to speak with you.Once the payment has been made we will then communicate with the court and remove the charging order againstthe property.

sourcrates

What they are saying is a little vague, it would be preferable for them to agree to something like this.

Please confirm the following :

You have agreed to accept my offer of £xxxxxx against the balance on this account.
You are willing to accept this in full and final settlement of the debt.
Neither you, nor your agents, will take any action whatsoever to recover the remaining balance.
Once the payment has been made you will then communicate with the court and remove the charging order against the property.

signed...................

Iansellers

sourcrates said:

What they are saying is a little vague, it would be preferable for them to agree to something like this.

Please confirm the following :

You have agreed to accept my offer of £xxxxxx against the balance on this account.
You are willing to accept this in full and final settlement of the debt.
Neither you, nor your agents, will take any action whatsoever to recover the remaining balance.
Once the payment has been made you will then communicate with the court and remove the charging order against the property.

signed...................

All settled now thanks with letter confirming settled in full and removing charging order.