Questions and Info relating to Property Issues inc, Charging Orders and Repossession

Moderators: TalbotWoods, JaneClack

By disneylover43
#290713 Just reading through a thread and it made me think about something concerning the charge which is on my property.

1) before a charge is put on the house does a CCJ have to be granted , in the case of the charge on my house the dca went straight for a charge ,but is this a combination of a CCJ/charge ?

2) Should i receive an annual statement for the debt , if so then i haven't received a single statement in over 3 years .

3)If interest is being charged and it came to a time to pay the debt back could i apply to the court and fight it , i was never told about interest being added when the charge was granted .

dis .
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By DuffNCustard
#290733 OK let's go

1) A CCJ does have to be granted prior to a CO being awarded. But what creditors usually do is to apply for a forthwith CCJ and at the same time slap in an interim charging order. The CCJ then goes for a re-determination if the debtor is unable to pay forthwith and the creditor is awarded the CO.

2) You should be receiving a statement at least every 6 months this is a requirement of CCA1974 and some changes that were made about 2 years ago

3)As they are not sending you statements then they cannot pin any interest on your debt, neither can they be applied retrospectively ie they send you a statement this month and slap in all the interest for the last 3 years

There is a BIG but though, it is not the CO that has any charge attached to it but the original CCJ. To all intents and purposes the contract for this debt is now the CCJ and not the original agreement and there is another but. So the first thing to do is to scrutinise the CCJ and see what directions the judge made. If there is no reference to interest being applied then IMHO you're almost OK and now comes the other but. Check the original credit agreement that you signed and scour the small print for reference to charging interest in the event of a judgement/default. If there is nothing then definitely no additional interest can be charged.

If though there is something alluding to interest then the creditor might decide to go for some interest. You of course would dispute their claim and they then might go for a new CCJ, if the current CCJ has not interest provision on it.

Then of course as they have not been sending you statements their claim should be struck out.

In general principle a debt that was covered by the CCA1974 should not incur interest charges in the event of a CCJ if the CCJ makes no provision. But there is case law that has been used by creditors that muddies these particular waters. National Debtline has good information on this.
By disneylover43
#290773 thank you , wow you know a lot about this , I am going to look for the original agreement which was a credit card , I actually don't know if I have it still after all these years .
But during the time the charge has been on the house , it has already changed companies once and I have never received even one annual statement .
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By JaneClack
#290793 If they said they were going to continue to charge interest on the claim form for the CCJ (and also the original agreement should say they will do this) then they can continue to add interest after judgment. However, and this is a big however, they can continue to add interest after getting a charging order but the debt that is secured is that of the county court judgment. Further interest is NOT secured on the property although creditors do not usually say this when the property is sold and they are asked for how much they are owed so it pays to inform the solicitor acting on your behalf what the amount was. So far no creditor has applied for a judgment on accruing interest - it is a totally separate pot and unsecured.
By disneylover43
#290923 well it was my husband who went to court when the charge was put on the house as it was a credit card with virgin , he said yesterday that the judge said NO interest can be added to debt , but I know it wasen't put in writing as I have the judgment papers which I took to the court and they said I could have it in writing but it would cost us £75 which we haven't got . :evil:
It's always money money money even to write something on a piece of paper :roll: