charging order is about to be put on my property

[j.h]

a charging order is about to be put on my property with regards to a outstanding debt.could they force me to sell my property?i have very little equity which would nowhere near cover my debt

[zoe]

Hello I'm not an expert but if you are going through an IVA i would get your IP to sort an interim order.
Zoe
x

[Storm]

Has the interim charging order been put in place by the creditor and have you go a date for the final order ??

[MelanieGiles]

If a charging order is put on your property, this has the effect of giving security to that particular creditor. They will then want you to pay monthly instalments, and failure to comply with this will leave them in a position where they could enforce a sale of your property. In reality, this is unlikely as they will see there is negative equity, so some creditors will just allow the charge to remain in place until the property is eventually sold or increases in value.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[David N]

JH worth establishing if the debt you have can charge interest - i.e. does the original loan agreement have clauses for interest.
Danger is that interest could be accruing whilst Charge Order is in place - is any interest compound or simple?
Given that prices/values continue to increase you might one day re-mortgage and pay off the charge - however, if the expected house price crash comes along sooner rather than later then thier charge becomes worthless to them until equity increases again.
Regards
David N