• Welcome to the LegalBeagles Consumer and Legal Forum.
    Please Register to get the most out of the forum. Registration is free and only needs a username and email address.
    REGISTER
    Please do not post your full name, reference numbers or any identifiable details on the forum.

Charging order on property - sheriffs office

Collapse
Loading...
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • Charging order on property - sheriffs office

    Hi all,

    First time posting here I am after some advice on a situation my parents have. This may be a bit long and wishy washy so please bear with me.

    My parents starting building a house almost 10 years ago, about half way through an individual (Lets call them MH) invested £50,000 into the property. My father lost his business and so all work on the house stopped. Eventually my parents got divorced but it had been quite amicable and the decision was taken to complete the house and spilt the finances in the future. MH seeing this upheaval had a charging order placed on the beneficial interest of my father in the property for £54,000 (it says NOT including costs and interest becoming due...) My mother and father are jointly named on the current mortgage.

    My father and I made the choice to complete the works on the house as there was still equity to be had even with the charge. We agreed with MH that once completed I would obtain the mortgage and pay MH what they are owed. Mum was happy with this also.

    What followed was trying to get by paying for the works on whatever money we could scramble together but unfortunately also several spots of bad luck with builders and therefor the works have taken an extra year to complete. With just 3 things left to go (about 3 weeks work) before a completion certificate can be obtained, relations have broken down and MH has passed the debt onto a company called the Sheriffs office. They have some how plucked some figure of £111,000 owed out of the sky and have been round inspecting the house and goods etc.

    I was looking for some advice on how to deal with this as we have little cash to employ lawyers etc to help us with this. It seems a bit shady to be honest and it seems like they are trying to scare tactic us into paying something when we don't have to just yet. Is it still viable to carry on with the works and pay MH the initial £54,000 charge once I obtain a mortgage or has that ship sailed.

    Any advice on any sector of this complicated issue would be grand and if I have posted this in the wrong place or should copy and post somewhere else just let me know.

    Many thanks in advance

    :just an update, my father has no other assets apart from 2 vans worth about (£5000 total) and a very small income just to cover the mortgage. I pay all bills council tax etc. On inspecting the house they obviously found not enough value of goods to even come close to the debt. My mother also has no other assets and now lives away.
    Last edited by jh32829; 5th September 2016, 20:08:PM.
    Tags: None

  • #2
    Re: Charging order on property - sheriffs office

    If your father is satisfied that the wording on the charging order only provides for him to be repaid £54,000 then your father needs to know why the Sheriffs Office are attempting to claim almost double that figure (£111,000). Are you sure that interest is not accruing on the charge?

    Given the size of the debt, I would say that the Sheriffs Office will have extreme difficulty in getting settlement of this debt and I would hazard a guess that MH used this method of recovery to try to push your father into getting his charge settled.

    Have you managed to secure a mortgage yet?

    Comment


    • #3
      Re: Charging order on property - sheriffs office

      I believe they have derived this figure from MH saying she was due interest on this debt, which cannot be formally confirmed as no agreement was signed for her to receive said interest. Plus the sheriffs office have added their own charges and interest bumping the figure up further. Therefore I am of the thought only the £54,000 stands? I believe we have paperwork showing this figure but I'm not 100% sure if the wording allows and additional monies to be added. I'm currently trying the retrieve this off his previous solicitor.

      We had offered this company the 54,000 with a £100 a week until the money is obtained as a show of good will and they weren't interested at all they wanted 111,000

      I have been given a conditional mortgage offer for the amount required yes, although this cannot be obtained until the house is signed completed. This was the one thing we were working towards before all this kicked off.

      Comment

      View our Terms and Conditions

      LegalBeagles Group uses cookies to enhance your browsing experience and to create a secure and effective website. By using this website, you are consenting to such use.To find out more and learn how to manage cookies please read our Cookie and Privacy Policy.

      If you would like to opt in, or out, of receiving news and marketing from LegalBeagles Group Ltd you can amend your settings at any time here.


      If you would like to cancel your registration please Contact Us. We will delete your user details on request, however, any previously posted user content will remain on the site with your username removed and 'Guest' inserted.
      Working...
      X