The first I heard was a cc summonds

[allan.f]

during the time my iva was being prepared I received county court documents from a company called Mortgage Express saying I owed them c£5,000 being made up of £2,000 (+ £3000 interest) from a shortfall from reposessed property in Jan 1993,my ex-maritual home.

I have never heard of Mortgage Express,never contacted them and never signed anything with them.The first I heared of them was in the cc summons.My original mortgage was with a company called Hill Samuel and I understood this to be settled.
Now I have received a charging order against my home.They refused to be a part of the iva and went off and did this.

Do I have to pay them anything? I am now on a budget and they were not included in my iva outgoings so I would have great difficulty making a payment to them.When contacted by my IP they refused to negotiate and my IP suggested I try to make a token payment,With what? Meanwhile if they get the charging order,which they will as bullies always win,will they still add interest? if they do a £2,000 debt would increase to 100's of thousands.If they had been in contact and explained the debt to me atwe could have made an arrangement instead of taking it to court without me knowing.

[Storm]

You can either apply to the court to have the judgement set aside and resist the Charging Order or alternatively you can make an application to the court to pay the outstanding amount at an agreed amount over time.

[MelanieGiles]

Hi allan f and welcome to the forum

If the debt existed at the time your IVA was proposed, it is quite likely that this debt is bound under the terms of the IVA even though the creditor was not formally included. Discuss this with your IP - who may need to take legal advice.

In the meantime, they will be unable to secure a charging order due to the existence of the IVA, and will have to prove that they have been unfairly prejudiced by not being circulated.

Depending on the effect the inclusion of this creditor will have on your IVA, will determine whether it represents a material irregularity and thus failure. Again, your IP must look at this and advise you.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[allan.f]

Mortgage express told my IP that they were not getting involved with the IVA so Wilson Phillips,my IP,suggested that I made a token offer to them and pay them seperatly,surely this can't be right.The charging order was due to be heared yesterday (5th) so I don't know the outcome yet,however on my IVA proposal they were named as already having a charge on the property.I think they should be included in the IVA just like any other creditor.
Has anyone had dealings with Mortgage Express and Drydens solicitors,
they seem to use some strange tactics?

[MelanieGiles]

Tell your IP he needs to take specific legal advice on this point. There have been a couple of test cases lately on this very subject, and my professional opinion is that this charging order cannot be properly registered due to the existence of the IVA and the fact that the creditors is probably legally bound in.

If the IP does not understand this, I am happy to chat to him off line and suggest an insolvency lawyer who could help. I have some concerns that you did disclose this debt, but that it was incorrectly detailed within your proposal as if the charge had already been created.

Mortgage Express are a fairly well known sub-prime lender, and Drydens are good commercial lawyers who will fight their own client's corner to the best of their ability - as all good lawyers will do. I confirm my suggestion that your IP seeks his own legal advice with regard to this issue, given the size of the debt concerned.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk