We will undertake searches at the Land Registry to establish ownership of the property and will prepare the relevant application for a Charging Order. This will be submitted to the Court with supporting evidence in order for an Interim Charging Order (ICO) to be granted.
What is a Charging Order?
A Charging Order is a charge placed on a property in order to secure your debt against the property. You can only obtain a Charging Order once you have a County Court Judgment (CCJ) against a debtor or if the debtor agrees.
If a debtor sells the property you would be repaid from the proceeds of sale from the property. A Charging Order provides peace of mind and enhanced security of the debt.
What do we need from you?
- We will need a copy of the County Court Judgment. If you require a CCJ please click here.
- Details of any payments made by the Defendant since the date of Judgment
- Details for the Defendant including any addresses or contact details that you have for them
Process & Time Scale
Stage One
Applying for a Charging Order
Stage Two
Registering the ICO with the Land Registry
Once the Interim Charging Order (ICO) is granted we will register it with the Land Registry, and send a copy to anyone else with an interest in the property e.g. spouses and mortgage lenders to put them on notice of your interest.
Stage Three
Filing further evidence with the Court
Once all interested parties have been served with a copy of the Charging Order application and ICO, we will prepare the relevant paperwork to submit to the Court to evidence this, together with an up-to-date statement of the amount due.
Stage Four
Debtor's Response
The debtor has 28 days to oppose the application, in which case the matter will be listed for a hearing. If no response is received we will apply for a Final Charging Order (FCO). If this application is successful, the FCO will be granted.
Stage Five
Serving the FCO on the Debtor
Once the FCO has been received, we will serve a copy of the Debtor and put them on notice that you could make a separate application to the Court for an Order that the property be sold, if they do not voluntarily extinguish the debt by either selling the property themselves or offering payment by instalments.
What would the debtor need to do to oppose the application for a Charging Order?
The debtor has 28 days from receipt of the Interim Charging Order to contact the Court with objections, following which the matter will be listed for a hearing. The debtor has to send any objections, in writing, to the Court and the Creditor no later than 7 days before the hearing.
Other conditions
The debtor will have the opportunity to apply for conditions to be attached to the Order, for example preventing the sale of a property if he keeps up with a repayment plan, or if the debtor lives there with dependants.
Costs
Charging order applications (uncontested) £600 +VAT
Other fees/disbursements:
Search fee: £3.00
Court fee: £119.00
Registration of interim charge: £20.00
Contested applications
Agents fee: £100.00 + VAT
Our fee: Between £111.00 + VAT and £192.00 + VAT per hour, dependent upon the nature and complexity of the issues raised. We will provide you with a cost estimate at that point, in the unlikely event the application is contested.
How to instruct us
If you need to obtain a Judgment/ CCJ please click here.
Please contact a member of our team on 0203 434 0433 or click here to fill in our enquiry form and a member of our team will be in touch.
FAQs
How long does the charge last?
The charge will remain on the property until the debt is discharged.
What if there are other creditors who already have a Charging Order on the property?
Any Charging Orders on the property are listed in order of when they were applied for. A mortgage lender usually takes priority on a property.
What if more than one person owns the property?
Different rules apply depending on how the property is owned and whether the other party is also connected to the debt. We will investigate this and make the necessary applications. In short, the debt will attach itself to the percentage of the property owned by the debtor.
Can I continue with other enforcement action e.g. High Court Writ?
Yes, a Charging Order does not stop High Court Enforcement.
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