Help!! Court date for Charging Order on home!!

RAS

Thanks fermi

Was hoping you would be around.

Any advice on this situation?

I have to go in about two minutes.

terryw

LJW wrote: »

<snip>

When we got the £15000 we didn't know about this debt and probably at that point could have worked something out.

Is your Oh being open with you? Sorry to ask this, but it looks a touch unlikely that he would not know about a mortgage debt of £24000 from some years ago, and the subsequent county court judgment against him. If he genuinely did not know about the mortgage debt or the county court judgment, he could apply for this judgment to be set aside.

The interim charging order is AIUI made without any notification to the property owners. Your opportunity to to be heard is to turn up at the hearing and raise any objections.

You need proper advice and quickly.

bw

terryw

LJW_2

Thanks Fermi just done it;)

fermi

RAS wrote: »

Any advice on this situation?

Not a lot on top of what has already been discussed.

Have a good read of this LJW:

Link: Factsheet | Charging orders in the county court (especially the bit on grounds/procedure for opposing the final order).

And get the professional advice you need from someone who is used to advising on these.

LJW_2

Hi Terry, he found out about the debt around a year ago and the dept was 10 years old and they hadn't contacted him anytime earlier but then he was living in London and had moved around a bit before he met me.

He was getting advise from the CAB to see whether it was statue barred but the CAB lady didn't know her self and sent us letters stating it was then then it wasn't also many confused phone calls to him getting his hopes up and then letting him down again. I personally feel the lady at the CAB wasn't the best person there to deal with and I had been getting better advice form members on here but my OH put his trust in her and thats why we are in a mess!!

LJW_2

Thanks again Fermi, had a look at the factsheet and feel a lot better. They say it's rare to force a sale and if it does go that far then things can be done.

I will be sending a letter to court explaining my arguments against a CO and also including the advice given by the CAB which should explain why it has come this far! And I will be following the guidelines from the fact sheet you directed me to.:o

My OH is ring the CLA tomorrow she will let people know what they say.

Just want to say thanks to all others who helped me tonight it's nice to know that there are people who know their stuff

terryw

LJW wrote: »

Hi Terry, he found out about the debt around a year ago and the dept was 10 years old and they hadn't contacted him anytime earlier but then he was living in London and had moved around a bit before he met me.

He was getting advise from the CAB to see whether it was statue barred but the CAB lady didn't know her self and sent us letters stating it was then then it wasn't also many confused phone calls to him getting his hopes up and then letting him down again. I personally feel the lady at the CAB wasn't the best person there to deal with and I had been getting better advice form members on here but my OH put his trust in her and thats why we are in a mess!!

Did you buy the property and take out the £15000 loan before or after you found out about this debt and county court judgment from ten years ago?

terryw

chez000

A charging order is one method of enforcing a CCJ,
I
t has the effect of turning a non-priority debt into a priority one by securing the debt against your home.

Once a charging order is in place if you sold you home the debt would be paid out of the proceeds of the sale after any mortgage or pre-exisiting secured loans are paid.

The interim charging order is the first step in the application for a charging order.

If you dont want the charging order to be finalised then you need to file written objections to the creditor at least 7 days before the hearing

You should also request (if not allready done so) that the hearing be at your local court.

Arguements for not having the charging order could be;

- section 1(5) of the Charging Orders Act 1979 states that when deciding whether a charging order should be made the 'court shall consider all the circumstances of the case, and in particular any evidence before it as to (a) the personal circumstances of the debtor and (b) whether any other creditor of the debtor would be likely to be unduly prejudiced by the making of the order'

- there is little or no equity in the property
- Other methods of repaying the debt should be considered
- Other creditors are owed more and have accepted offers made
- the size of the debt compared to the value of the house

If you can demonstrate to the court that you can afford to make sizeable regular payments to the creditor and thus clear the debt in as short a time as possible theres a chance the order wouldnt get finalised.

If it did get finalised then you could request that it is done on terms, such as you make regular payments until the debt is paid off and then you can have the charging order removed (it would be like having a secured loan).

Anyone with an interest in the property can apply to have a charging order discharged but you would have to demonstrate that the court had notconsidered your circumstances.


Most creditors ive seen have either been happy to let the C/O sit on the property until sold or have accepted regular payments from the debtor until the charging order is paid off, they can apply for an order of sale but these are still fairly rare and it is possible to have them suspended.

A joint owned property can still have a charging order on it but will only apply on whoevers CCJ it is share of the property.
If the creditor sought an order for sale in this circumstance it should be pointed out to the court that it is not fair for a whole family to be evicted because of the debt of one,

All in all whilst a C/O isnt a good thing there is the possibility of it not being finalised.
If it is finalised you can still pay it off and have it removed when debt is clear.
Orders for sale are rare and can be defended or suspended.

Also I would go back to the CAB and ask to see a specialist, or if the person youve seen is a specialist, then ask for someone with more experience, this is something that a CAB advisor can help with

chez000

I recommend that you also pm chez000, as she has posted some really useful stuff about charging orders in the last few weeks and knows her stuff.



The compliment is appreciated, but Im a he not a she.
:rotfl: :rotfl: :rotfl:

fermi

chez000 wrote: »

but Im a he not a she.
:rotfl: :rotfl: :rotfl:

I get the same thing?

:rotfl: