Charge for Payment Received

[TwitHead]

Hi,

 

Today I got a Charge for Payment of Money from a solicitor for a Tesco Loan. It went to court a while ago they got their decree, I was maing payments then suddenly I couldn't. I've entered a DMP now so can now afford to pay the full amount of the original loan per month (included this is budget under CCJ). Now that I have received a Charge for Payment do I have to let them go ahead and arrest my wages? Or can I approach them with an offer of monthly repayments?

 

If they arrest my wages I will lose my job due to the nature of my work. I have no valuable assets and negative equity in my home.

 

Thanks in advance.

[ukaviator]

Hi

 

I assume this is in Scotland.

 

A charge for payment is a formal notice served upon debtors demanding payment of money owed. A period of 14 days following service must pass without payment before a creditor can execute most diligences.

 

A Sheriff Officer usually serves the Charge For Payment and you have to pay the debt within 14 days of it being served. From 22 April 2009 there is a protected minimum balance of £370 for a bank account. This basic amount cannot be arrested on or after that date. If a creditor raises a court action or has a court order or warrant for a debt, s/he can ask a sheriff officer or messenger-at-arms to arrest money which the debtor has deposited with a financial institution such as a bank or building society.

 

A schedule of arrestment is served on the bank/building society straight away. This is normally served on the branch where the debtor has an account, but if the creditor does not know which branch this is, the schedule can be served on the head office and it is circulated around the branches until the debtor's account is found. A schedule of arrestment gives the details of the debt plus court expenses, and interest due and the expenses of the arrestment. Usually the schedule qualifies the amount of the debt with the words more or less to allow for further interest and expenses which may occur.

 

Once a bank or building society has received a schedule of arrestment, the debtor's credit balances on that day are frozen.This means the bank will not pay out these funds to anyone. There is a protected minimum balance of £370 below which a deduction cannot be made. The normal practice is for the bank to transfer all arrested funds into a separate suspense account. If more funds come into the debtor's account after the day on which the arrestment was presented these should not be frozen and should be available. This has been established in case law.

 

You can apply to the courts direct for a time to pay order work out what offer of payment you can afford and enclose an income and expenditure sheet showing this.

[TwitHead]

Thanks for this, I knew most of it already, what a charge is etc. I just really want to know if I can approach the lender (or their solicitor) with an offer of repayments or if it is too late for this? If I apply for a Time To Pay Order who do I send it to?

[ukaviator]

I don't know much about the Scottish courts. I would give the court manager a call and ask what forms you need to fill in.

[Crocdoc]

There is no reason why you can't make an offer of payment, in most cases the creditor will accept if the offer is reasonable.

[TwitHead]

There is no reason why you can't make an offer of payment, in most cases the creditor will accept if the offer is reasonable.

 

Even after it's gone this far? Thank you so much. Should I write to the Original Creditor? Or the Solicitor who Served the Charge? I'm so out of my depth. If they accept I presume they will just not take any further action (arrestments etc) as long as I meet the agreed payments?

[PCPFORMULA3000]

Hi

 

Contact the solicitor in writing making offer of payment to them, they will normally accept, they have the charge for payment in place now so if you were to default on the new payment arrangment they can arrest your bank account or arrest your wages, if not do not disclose this to them I would do this straight away before the 14 day window passes.

 

If you need anymore help...just ask

[TwitHead]

Hi

 

Contact the solicitor in writing making offer of payment to them, they will normally accept, they have the charge for payment in place now so if you were to default on the new payment arrangment they can arrest your bank account or arrest your wages, if not do not disclose this to them I would do this straight away before the 14 day window passes.

 

If you need anymore help...just ask

 

Thank you! I appreciate this so much. This puts my mind at rest as it happens as I sent an offer of repayment (complete with full Income/Expenditure details) by Special Delivery this morning, it is to be delivered before 1pm tomorrow. I was not sure if arrangements for installments would be accepted at this late stage, as the charge says pay the debt in full - but it just isn't an option. I wish it was!

[inovermyhead2]

Hi there. sorry to butt in Twithead. I wont be any help, just concerned as I too have a tesco loan, which I defaulted on from aug this year. Long story - short I am waiting to declare myself bankrupt but cant do this until my ex has bought me out of the property we jointly own( I no longer live there) no equity on it either but he is finding it difficult to get a mortgage deal in these times!!

 

My question is how long did it take tesco finance to take legal action against you? Im worried sick about it all

[TwitHead]

Hi there. sorry to butt in Twithead. I wont be any help, just concerned as I too have a tesco loan, which I defaulted on from aug this year. Long story - short I am waiting to declare myself bankrupt but cant do this until my ex has bought me out of the property we jointly own( I no longer live there) no equity on it either but he is finding it difficult to get a mortgage deal in these times!!

 

My question is how long did it take tesco finance to take legal action against you? Im worried sick about it all

 

All in all it's been almost a year I think, I'm sorry I can't be sure. I've made payments on and off though.

[inovermyhead2]

Thanks for getting back to me. You say they already took you to court, do you know how long ago this was? Did you have to attend or is it done on your behalf?

 

Did the decree order you to make payments to them? My financial circumstances are such that with all my credtors I could only pay about £5 per month to each. I dont think they would accept that amount would they?

[TwitHead]

Thank you so much to everyone who helped me with this. Today I received a letter from the solicitor who stated that they are accepting my repayment offer and as long as I stick to it (believe me I will!) no further action will be taken. I am so relieved!!!!

 

inovermyhead2, yes they took me to court on March 21st (my daughters 2nd birthday). I did not attend. I applied for Time to Pay which was refused. It didn't order me to make payments, they just slapped an inhibition order on my house (so I can't sell it, but don't want to anyway). Then they left it at that until November when I was hit with the Charge - they were going to arrest my wages - but have accepted my repayment offer so no further action.

[IdaInFife]

well done