CCJ/Charging Order and Interest

loopylu36

I am in a DMP with CCS but N Rock are not interested and tell me that they will issue a CCJ to request a forthwith payment and secure the debt by way of charging order.

I have just had a very frustrating conversation with a lady from N R (who had received a letter from me indicating our disappointment that they are not prepared to negotiate with us). She advised me that they could not consider our repayment proposals as there were arrears on the account (oh really ?!) and that the proposed repayments would not cover the interest. I pointed out that they would do if they would freeze interest, but apparently they can't. But they can when they get a CCJ? I understand this, but what she is really saying is that they won't stop interest because of course they can if they want to. She then had the cheek to tell me that they (NR) had gone "every which way" to try tp help me out - er how? They won;t even discuss reduced payments and want to take me to court? :mad:

Anyway, she then advised that when they get the CCJ/CO (which i'm not particularly concerned with) they will stop interest but the court will award interest at 8% pa and there is nothing they can do about it? Is this correct? At 8% on reduced payments I'll probably be dead before it's paid off and if and when I sell my house, I wil probably owe them more than I started with? I thought the whole point of the CCJ was that interest would be stopped?

shinyhead

Hi LL,
Interest and charges are usually calculated and defined on the ccj summons. You are free to dispute this if it seems unreasonable. After that it's usually fixed. Basically NR are issuing hollow threats:
1. Provided you respond correctly to the paperwork it is very doubtful if a forthwith payment will be made.
2. A CO can only be granted if you do not keep the ccj payments up. Of course if the ccj payments are about the same as you're paying NR now then that shouldn't be a problem.

If the monthly payments on the judgment are set too high you have 14 days to appeal, and that costs nothing. If you end up gettiing this far then post again and I'll gladly help.

loopylu36

shinyhead wrote: »

Hi LL,
Interest and charges are usually calculated and defined on the ccj summons. You are free to dispute this if it seems unreasonable. After that it's usually fixed. Basically NR are issuing hollow threats:
1. Provided you respond correctly to the paperwork it is very doubtful if a forthwith payment will be made.
2. A CO can only be granted if you do not keep the ccj payments up. Of course if the ccj payments are about the same as you're paying NR now then that shouldn't be a problem.

If the monthly payments on the judgment are set too high you have 14 days to appeal, and that costs nothing. If you end up gettiing this far then post again and I'll gladly help.

Thanks SH, I do think it will go that far (although my complaint has now gone higher apparently as the lady I spoke to this afternoon "wasn't able to resolve the issue") I just take umbrance to their assertion that they have gone out of their way to help me out when they have done exactly the opposite. These people just seem to think all borrowers are complete morons - she kept quoting "terms and conditions" and "breach of", none of which I am disputing, but I dispute their use of the word "can't" when what they mean is "won't".

I may start a Northern Rock Charging Order Thread to try and find out how many people this has actually happened to. Some posts suggest that for NR it is par for the course and they get the CCJ//CO whilst other posts like your own suggest it will probably not get that far. Let's hope that if it does I get a judge with as a big a dislike for banks as my own !:D

CCCS_Sarah

Hi loopylu36,

This is quite common with Northern Rock. If they do choose to go for a CCJ/ Charging Order give CCCS a call and we can give you details on how to try and defend the charge. If you take a look at this link it will take you to some information with regards interest & charging orders

Good Luck and hope you get it sorted

craftingqueen_2

Hi,

We are going through the same thing with NR, but we were told by the courts even if we defend the CCJ/CO. They will get the CO as we will be unable to pay the debt off within the 7 years.
Payplan have also told us this seems quite common with NR, they are just going for CO no might what.
Let us know how you get on, and NR are one of our lowest creditors too! Not sure about interest rate though?

CQ

loopylu36

craftingqueen wrote: »

Hi,

We are going through the same thing with NR, but we were told by the courts even if we defend the CCJ/CO. They will get the CO as we will be unable to pay the debt off within the 7 years.
Payplan have also told us this seems quite common with NR, they are just going for CO no might what.
Let us know how you get on, and NR are one of our lowest creditors too! Not sure about interest rate though?

CQ

Thanks CQ
NR are our highest creditor at £27k - it's alot of money so I suppose i shouldn't be surprised - but, our Dmp is actually 7 years long and if they accepted dmp payment and froze interest we would actually repay them in that time. Is that one of the criteria then - whether or not you can repay in 7 years or less?

jmhgibson123

have you tried the complaints department they may be able to help and if not you have nothing to lose but a way to vent frustration in a letter stating how unhelpful the staff are

fanofmartin_2

Sorry to jump in someone else's thread, but my judgement was way too high. We won't make first payment. Due to stress and tiredness we omitted childcare charges on the form and have gone to appeal. The court has been more than useless and even given mis information. We are being charged £75 to go to court and appeal to judge. Is this right shinyhead. I am very stressed

shinyhead

No, as I understand it you have 14 days from the issue of the judgement to appeal and I believe there is no charge. After that you can apply to vary the payment amount using a form N245 from any court or debt charity (CCCS gave me mine) then it does cost. I was quoted £35 by CCCS but that was a while ago.

What court is this?

Anyone know the right charge?

penguin83

You have 16 days from the date of judgment to ask for redetermination. If you are outside the time limits then it is £35.00 to make an application to vary the order on Form N245 or £75.00 to apply to have the judgment set aside (if you dont agree you owe it in the first place) using Form N244. x x

sassyshamrock

Hi loopylu36,
We were in your situation a year ago. Northern Rock were our largest creditor at 17k incorporated in a DMP. Right from the word go they were not interested in any form of negotiation. They issued us with a ccj and then a charging order which didn't ever go to court as a family member helped us out at the eleventh hour , to which we are eternally grateful. However it would have done. Just letting you know for information purposes. As cccs -sarah says it just does seem to be par for the course with them. They are very frustrating to deal with and I know how stressful it can be. Best of luck sorting it out