Enforcement action: county court proceedings: charging orders: enquiries and payments made after the final charging order
Request for redemption figure following charging order
Following the final charging order you may be asked, typically by a solicitor or conveyancer dealing with the sale of the property on behalf of the judgment debtor, or exceptionally on behalf of a third party who may be repossessing the property, for a redemption figure to satisfy the charging order. You should:
calculate the accumulated interest up to the:
- date of your reply or alternatively
- date requested by the other party
- advise the other party accordingly
- include the daily rate of accrual in your reply.
There is no breach of confidentiality in supplying the information above because county court judgments are a matter of public record. You do not therefore need to seek the judgment debtor’s authority to disclose the redemption figure, but you should not disclose any details surrounding the debts that are included in the county court judgment.
However, if there are debts due to HMRC that are not subject to the charging order, you should advise the other party that there are additional liabilities that the judgment debtor may wish to settle at the same time. You will need to be careful about disclosing liabilities to a third party if there is no authority to correspond on such matters. You may need to invite the third party to seek the judgment debtor’s authority to supply the details.
(This content has been withheld because of exemptions in the Freedom of Information Act 2000)
Payment following charging order
Payment in full
Immediately you receive payment in full in a case where a charging order has been activated through sale, calculate and ask for payment of the accumulated interest(This content has been withheld because of exemptions in the Freedom of Information Act 2000) .
You will need to consider how best to recover this new debt in the light of the debtor’s present circumstances.
Payment in part
When you receive part payment, you will need to consider how to recover the balance of the judgment debt in the light of the judgment debtor’s present circumstances.
Computer record archived or reference unknown
For cases where a charging order, agreed notice or restriction is registered and you receive a payment for a computer record that has been archived and you are unable to (This content has been withheld because of exemptions in the Freedom of Information Act 2000) allocate the payment to duty or you are unable to establish the reference, you should email details of the case (This content has been withheld because of exemptions in the Freedom of Information Act 2000) advising as much of the following as you can establish:
- judgment debtor’s name and address
- address of the property subject to the charging order (if not the judgment debtor’s address)
- original reference
- charge type (head of duty)
- (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
- amount of the payment
- split of the payment between the charge, fees and costs
If the debtor is deceased, a claim for the interest should be made in their estate. Equally, you may find it necessary to commence fresh enforcement action.