If you’ve recently had a final charging order made on your home, it can be a devastating experience. You may be wondering what the next steps are and what options you have for protecting your home and your financial future.
That’s what we are here to guide you on. In this article, we’ll explore what a final charging order is and what steps you can take to protect yourself and your assets after a final charging order is made on your home. Read on to find out more about how to navigate this difficult situation.
1. Understand What a Charging Order is
A charging order is an order issued by a court that places a claim on your home. This gives the creditor the right to force the sale of your home to pay off a debt. This allows the creditor to take legal action against you and seize your assets to cover the amount owed.
When a charging order is made on your home, it will remain in place until the debt is paid off. This means that you won’t be able to sell your property or remortgage it while the order is in place, as the creditor can then claim their share of the proceeds.
In addition, the creditor may be able to take money out of any income you earn from the property, such as rent payments, to pay off the debt.
2. Get Professional Help
If you have been issued a charging order on your home, you should get professional help from an accountant, lawyer, debt adviser, or any other professional who is familiar with such legal matters.
The main aim of getting professional help is to understand what a charging order means for you and how it will affect your finances in the future.
Your adviser can also provide advice on how to respond to the charging order and any action you should take to protect your home. In some cases, it may be possible to negotiate a repayment plan with the creditor or challenge the order in court.
3. Decide if You Should Fight the Charging Order
Once a final charging order has been made against your home, you may want to consider fighting the order and challenging the court’s decision. If the creditor has not taken the proper steps to make sure that the charging order is valid and legal, then you may have a good case to challenge the charging order.
There are also several legal remedies available to those who choose to fight a charging order. These include setting aside the order or applying for a variation of the order which allows for payments to be made in installments.
It is important to remember that fighting a charging order is not an easy process, and the costs involved can be significant. It is always best to try and work out an agreement with the creditor before deciding to take legal action. Plus, you can also consider the bankruptcy option. However, whichever decision you make, it is important to get financial advice from an expert to get on the right side of the law.