Nationwide credit card CCJ and CO (Restriction k) going to sell soon **RESOLVED BY REDUCED SETTLEMENT**

[White Nite]

Hi

 

I have a charging order from Nationwide from a credit card. CCJ and CO were from 2009. At the time I tried to defend myself on the lack of a genuine CCA but lost as they provided a reproduced CCA.

 

CO is against house in joint names and having read the forums a bit, the wording of the CO is that they only have to be notified (rather than paid) if the house was to be sold.

 

I've recently divorced and the house is now in the process of being sold and I'm going into rented accommodation. What are Nationwide likely to do if they just get notified of the house being sold and not getting paid off? Will it possibly affect the house sale?

 

I do have a possible option to borrow some money from a family member to settle with them, but in an ideal world I'd rather settle with them from my share of the house sale proceeds (or not at all!!)

 

What's the best thing to do next?

 

Thanks for any advice.

[dx100uk]

if its your sole debt on a joint property then its a restriction k 

it can somewhat be ignored

don't tell em you sold the house

is this in nationwides name?

and has not been sold on to a powerless DCA?

[White Nite]

Thanks for your reply.

 

Yes, it's a restriction. If I was to ignore it, would they be likely to try to use other enforcement methods (debt collectors etc?)

 

Would they not need to be told as part of the house sale as per the charging order?

 

It is still in Nationwide's name.

 

Thanks again.

[dx100uk]

Dca's are not bailiffs and have ZERO legal powers

All you have to poss do is inform NW once sold

post you something later

[White Nite]

Thanks again for your help, look forward to seeing the info later.

[AndyOrch]

Since the Land Registry Rules 2003 took effect in October 2003, a charging order is registered as either an ‘agreed notice’ (shown on the register as an ‘equitable charge’) or a ‘restriction’. Prior to October 2003 where only one of the owners / registered proprietors was the judgment debtor, the order was registered as a ‘caution’. A caution served much the same purpose as a restriction. Any cautions registered before October 2003 will remain on the register.

A notice or restriction does not impose an obligation to make payment when the property is sold. However if the judgment debtor (or any one of the co-proprietors) attempts to dispose of the property, the District Land Registry will advise the claimant of the interest in the property. Prospective purchasers will be wary of buying a property subject to a notice or restriction and, more often than not, will want the notice or restriction removed before completing the sale.

 

The effect of the restriction The debtor and his joint owner’s freedom to sell the property is not affected by such a restriction. They could sell the property as if there was no charging order against the debtor. All that was required was that the new buyers or their solicitor write to the creditor informing them that they now owned the property and then confirm to the Land Registry that they had given that

notice.

 

Then the buyers could register the property with no further complications. The creditor, who is sitting back, waiting to get paid, instead just receives a letter confirming that a sale has already taken place, typically a week or two after the sale so there is little they can do to get the debt paid. In theory the creditor could apply for a freezing order against the debtor to try and obtain the cash from the sale proceeds.

 

However, most creditors will never make such an application: The cost of applying for such a freezing order would run into thousands of pounds. The debtor might have spent the cash from the sale of the property before the freezing order was obtained so there is little, if anything, for the freezing order to bite on.

 

Regards

 

Andy

[White Nite]

Thanks for the info Andyorch. What has today happened is that the buyers solicitors are asking for evidence that Nationwide have been informed. So assuming that Nationwide are informed before the sale, is there anything they could do to either stop the sale or claim money as part of the sale?

 

I do still have a possible option of borrowing money from a family member now in order to settle before the house sale, to be repaid from my share of the proceeds. Is this the recommended course of action or am I best sitting tight for now? It's a restriction K.

 

Thanks again.

[AndyOrch]

Its really dependant on how both Solicitors approach it...but if you do not want to complicate the sale probably best to pay it...assuming you agree you owe the debt ?

[White Nite]

I defended the CCJ in court myself back in the day based on them not having a genuine valid CCA. They submitted a reconstituted agreement and the DJ accepted it and I lost. Probably not worth trying to overturn something from 8 years ago now.

 

Realistically I may just settle it. What I was hoping to do is settle out of my proceeds but there's a possibility of lending from a family member so might have to go down that road.

 

Thanks again.

[AndyOrch]

Simply tell your Solicitor to pay it from the proceeds and then deduct from your share of the balance.

[White Nite]

I've recently managed to agree a reduced settlement with them but obviously when agreeing this, I didn't tell them about the impending sale!

 

The main point for me was if I could sell THEN pay the reduced amount (thereby avoiding having to loan the money) or if I might be able to "get away" with paying them what I currently pay them monthly.

 

Looking at the above, best course of action is probably to clear it now and then it's done. Just not ideally what I wanted to do!

 

Thanks for your help.