Charge placed on your house??????

[Thepower]

I need a little advice for a friend of mine with no access to the internet:

He’s on DPM with Paypaln for the last two years, one creditor recently Northern Rock keeps asking for increased payments which he can’t afford! He’s pay £44 per month and has made 25 payments never missing to NR

NR has told he doesn’t revert back to his normal payment of £99 they will put a charge on his house. Can this be done? No CCJ exists. He dose have equity but no company will touch him at a reasonable rate.

Also the house is in joint names and the unsecured loan just in his.

What would the process be to do this? They just keep sending scary letters to him, which I’ve read and I think no real action has been taken.

Also think they would sell the debt to a DCA fist anyway ???

I’ve advised him to CAA them ASAP to buy some time. And printed off a template letter for him to send recorded delivery

Also advised him to go to citizens advice centre…I’m more of a bank charges person then a debt councillor so any other advice …. Please help

[powelll]

They would have to issue a county court claim form for their money ( N1 ). He has the option to admit, defend or partly defend the claim, or issue a counterclaim. If he admits he owes the money & agrees should pay he should fill out the admission form in the response pack ( theres a budget sheet as well ) and offer the payment that NR currently get from DMP ( can point out that other creds feel this is reasonable also ). Post forms back and wait.

 

His CCJ will come back through the post ( Judgement for Claimant ) telling what to pay if NR refused the offer on admission for4m is up to court what is reasonable. If they agree with your friend yes will have CCJ but as long as pays no further enforcement.

 

It's only if default on CCJ they can apply for charging order ( can ask for voluntary6 charge any time you just say no ). Below link should be useful:

 

National Debtline England & Wales | Debt Advice | Factsheet 15 Charging Orders In The County Court

[gizmo111]

I would be inclined to send off the CCA request and put this debt in dispute asap.

[Thepower]

gizmo will get him to send the CCA tommorow

 

Powell Thnaks for that link, good news NR were BSing only after a CCJ has been defulted on can they apply for a charge.

 

thanks, lets see what the CAA brings

 

Can't belive NR would tell shuch fibs

[gizmo111]

Be aware that NR are agressive creditors and will go the whole way to getting the charging order - best to check out what documents they have now.

 

Also I will check on this but I thought that a creditor could get a charging order even if a CCJ hadn't been defaulted on after April 2007? I wil lcheck out and get back to you.

[Belaflat]

I agree with Gizmo, there are enough posters on here who have had charging orders applied for immediately after judgement.

As long as you make payments on the CCJ, the charging order will stay in place until the debt is satisfied.

If you miss payments on a CCJ with a charging order in place then you have big problems.

[Sirensinger]

Hi, just thought I would add my twopennyworth - I have just acquired two Interim Charging Orders on my house, after HSBC obtained CCJs against me by default - apparently if you don't attend the Hearing, and the CCJs are put on by default, the Creditor can tick the box asking for Payment Forthwith, which means then if you don't stump up the whole amount within a certain time (can't remember how long, think it's 7 days) they can go for a CO. If the Defendant attends the Hearing, however (as I'd have done if I'd known....gnashing of teeth...., he/she can ask for the Judgement to be 'varied' to instalment payments (A Time Order, I believe?) and that's when you would only get the CO if you didn't keep up the payments. Hope that's of some use.

 

Sirensinger

[connors]

seems to me that once thet apply for charging order they get we had dmp with payplan never missed and judge has allowed charging order on our property all we did was delay it by putting forward advice given, judge told us it just safeguard should we sell and leave country, also this was only my husbands debt so makes no difference if it jointly owned. We were told they have right to turn unsecured debt to secure, we have been assured we will not be made to sell property but this means nothing, as in my exprience they move the goalposts to suit themselves:-x