Charge of the light brigade.

[Mr Loadsofbills]

It seems that the latest 'in' fashion from creditors is to launch a Charging Order attack on its Debtors to prevent the debt from falling into an IVA arrangement. Asset Links, working for GE Money, is one such Debt Collection agency that is up to these tricks.

If a debtor fails to get an IVA arrangement in place the debtor seems to be left with two options. A debt management program (DMP) or possible Bankruptcy.

The problem with DMP is that the interest doesn't come off; you're giving possibly 15% to a debt management program and the Debt Collection agencies will be harrassing you until you're six feet under the ground or you've robbed a bank and paid them off. [:D]

If the creditor is able to attach a charging order to your property does this stop the harassment providng you are paying the court recommended minimum payment?



My sig.

Eat the debt. My raison d'etre is to put TIX 'the isolvency exchange' out of business by informing anyone who will listen to take a bankruptcy over an unrealistic IVA proposal.

[MelanieGiles]

Yes - but they should be avoided at all costs as they give that one creditor preferential treatment. If there is a threat of a Charging Order, IP's must move fast to either secure an Interim Order or get a creditors meeting date before the hearing of the Final Charging Order. In my experience there is usually plenty of time - but you need to tell your IP as soon as you know.

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

[Oliver]

I agree with Melanie.

Charging orders are best avoided. I would recommend that you discuss this immediately either with your IP (if you have one) or with several Expert Companies.


Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp