Debt Questions forum. General questions on debt issues.

Moderators: TalbotWoods, JaneClack

By chubby35
#267623 i fell behind with my card payments with mbna,they sold my account to restons solicitors who took me to northampton county court to reclaim £3257..i offered to pay £20 per month(i also filled in a statement of my income) as i am unemployed at the moment,restons didnt like this and appealed to the court,but the court found in my favour and agreed the £20 per month,then i get a letter saying that they appealed that decision,and there will be another court date in my local county court...do i have a good chance of getting a decision in my favour again????
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By DuffNCustard
#267643 Do you own a house?

Typically Restons will go for a re-determination (appeal?) if the debtor has a house - they will request a forthwith order and then accept monthly payments with the proviso that they get a charging order.

However you already have an installment order and Restons it could be argued are abusing process as they don't like what the court has already done.

Not much you can do to stop them applying but defend the claim on the grounds that there is already a CCJ awarded. Also make sure that you carefully vet what they are claiming and dispute all their costs and charges if they are requesting them.
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By Gazza1912
#267653 Just as an observation, but should this post not be moved away from here which is the 'Forums Suggestion' forum and move it to the main 'Debt Questions' forums where it might receive more response?
By simont23
#267663 Firstly you should Google Restons and read the complaints. This could be all about a charging order so be careful.

Restons have had more than their share of complaints for harrassment, they are also well known for going for charging orders and attachment of earnings and piling on costs. However they are only a DCA and they are governed by the law just like the rest of them.

If you are unemployed and have no assets they can place a legal charge on, you have no need to worry, just pay what the court agreed and tell Restons to get off your case with as few words as possible.

On the other hand it may seem that Restons think you are a long term investment for their greedy little paws. If you have a property with or without equity, it is another story. Restons will go for a charging order and once they get it will start charging interest so they will get their money plus interest when you sell the property. It should be against the law that an unsecured debt can be changed to a secured debt by a parasite who buys that debt, but at the moment it is legal and I doubt it will change.

As I wrote in a previous post, charging orders are being used much more by DCAs.
By nigpet
#267713 As I understand it (it was the advice I was given), any charges applied after the CCJ / CO are NOT secured as part of the property charge, so what you pay back if / when the house is sold is what the original CCJ stated. They can add what they want but it isn't secured & they can't ask for it from the proceeds of sale. Was this the correct interpretation, sarah / tim?
By Butts
#267773 You may well find that Restons are acting on behalf of MBNA and that they do not actually own the debt.(as in my own personal experience)

They are not just a DCA and do have a legal side but having said that can only act within the law.

You do not state whether you have a property - if you do as Duff says their intention is to apply for a Judgement Forthwith and then a Charging Order.(assuming you are unable to "cough up on the spot")
As you are paying back £20 odd on a debt of £3K I cannot see why they would be attempting to vary the order unless you have any assets.
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By JaneClack
#267883 Yes, Nigpet. The only debt secured is the judgment debt so although they may try to add further interest etc all that one has to repay when the house is sold or to remove the charge is the judgment debt. They would have to go to court to try and get the interest secured which so far has not happened as the law does make it clear - yes, if the request was made to add interest after judgment and that was made clear in the original agreement and also when county court claim form was filed they could add it but that is NOT secured.
By simont23
#267913 The OFT have been concerned about some companies and the use of charging orders. It is advisable to attend court and explain your case and requesting a charging order isn't allowed. In mitigation, is being unemployed in this recession a reason for an unsecured creditor favouring themselves to convert your loan from unsecured to secured. If Restons purchased the loan, a fair rule would be that the judge have details to ascertain how much they paid for the debt.

Considering, secured loans come with that warning about 'your property can be at risk' etc, why should any unsecured creditor use this method of heavy handedness.