Charge on a property
Discussion
i was owed money (won a small claims case which resulted in a CCJ against the other party) so I leveraged the ability to charge one of the debtor's properties. How do I know it will work the way I want it to? I had to word the charge myself so I am concerned it won't result in me getting my money as and when the property is sold. I didn't want to force the sale, but I may consider it in future.
I don't know how it was worded or who did it but this happened where I worked and was pretty effective although very delayed settlement.
A client had refused to pay an invoice, taken to court we won etc, but still no settlement, so we placed a charge on his house.
Nothing happened for several years but then he wanted to remortgage and found he couldn't with the charge in place. Forced him to pay up.
A client had refused to pay an invoice, taken to court we won etc, but still no settlement, so we placed a charge on his house.
Nothing happened for several years but then he wanted to remortgage and found he couldn't with the charge in place. Forced him to pay up.
Blown2CV said:
i was owed money (won a small claims case which resulted in a CCJ against the other party) so I leveraged the ability to charge one of the debtor's properties. How do I know it will work the way I want it to? I had to word the charge myself so I am concerned it won't result in me getting my money as and when the property is sold. I didn't want to force the sale, but I may consider it in future.
Why did you go for a charge on property and not upgrade to High Court enforcement?Chrisgr31 said:
I don't know how it was worded or who did it but this happened where I worked and was pretty effective although very delayed settlement.
A client had refused to pay an invoice, taken to court we won etc, but still no settlement, so we placed a charge on his house.
Nothing happened for several years but then he wanted to remortgage and found he couldn't with the charge in place. Forced him to pay up.
it's not so much the concept i have an issue with; it seemed the right route to pursue... more i was asking how do i validate i've done it correctly! The charge wording was just a free text box on a form, which I wrote myself. I did use the guidance notes, but they are a bit legalese...A client had refused to pay an invoice, taken to court we won etc, but still no settlement, so we placed a charge on his house.
Nothing happened for several years but then he wanted to remortgage and found he couldn't with the charge in place. Forced him to pay up.
Simpo Two said:
Blown2CV said:
i was owed money (won a small claims case which resulted in a CCJ against the other party) so I leveraged the ability to charge one of the debtor's properties. How do I know it will work the way I want it to? I had to word the charge myself so I am concerned it won't result in me getting my money as and when the property is sold. I didn't want to force the sale, but I may consider it in future.
Why did you go for a charge on property and not upgrade to High Court enforcement?
t to have lying around for someone who says they are skint. Blown2CV said:
Now bear with me. His financial particulars state that basically the guy is money-skint, and he's on a debt management charity plan. Importantly, he however has a number of rental properties (the rent is his income) which he has owned for sufficient time to be mortgage free. He's semi-retired and is selling them off one-by-one. So, I don't feel bad knocking a couple of grand off the proceeds of an entire house sale, but it didn't sit well with me to send the bailiffs round. That, and they might only get hold of a few things which would scarcely cover the cost. They'd need to confiscate over £6k worth of stuff to get my £2k back. That's a lot of st to have lying around for someone who says they are skint.
I agree, but if he has a car then High Court bailiffs can take it away and sell it (you'll be amazed how that focuses debtor's minds). Don't be nice to him, you're the one that's been cheated.t to have lying around for someone who says they are skint.Sounds like he's basically crap with money, and if he has many creditors, the one that makes the biggest nuisance of himself gets paid first. As it is, if he doesn't sell his house (did you put the charge on his house or a rental one?), you'll never see your money and all the effort and stress of gettng a CCJ will have been for nothing.
So, if he has a car, let us know and you can get your money much faster - like in a week.
andyb28 said:
I believe charges have to be paid before the sale can go through.
So basically as long as it mentions me with contact details and has wording that I'm owed money somehow, it will have the desired effect? I was concerned it would have to be very precise, otherwise it would be ignored or something. As long as the charge is registered at the Land Registry then it will be a spanner in the works of any sale or remortgage. The wording and the way the Land Registry deal with charges is technical and there are some bear traps for the unwary so it would be worth getting legal advice to see whether what you have will protect you.
Billsnemesis said:
The wording and the way the Land Registry deal with charges is technical and there are some bear traps for the unwary so it would be worth getting legal advice to see whether what you have will protect you.
Yes, as I recall when I looked into this it's very complex and you wouldn't want him to wriggle off on a technicality.Or £60 for the High Court of course
Happy Jim said:
Think you'll find it's at the court appointed rate until settled in full (8% pa IIRC)
I don't see the process. That would mean the sum awarded in the judgement goes up after the award has been made... if I take two years to enforce the judgement, that's not the debtor's fault.Gassing Station | Business | Top of Page | What's New | My Stuff