A house is one of the top most investments that most people make in their life. They are the biggest and most beloved asset of the majority of people. There are many things that you would want to check when dealing with the legal charging of your house.
According to law, there are some circumstances in which you will have to lose your house to compensate for the debt or installment that you owe to your creditors. This process will be termed as charging your house.
Mainly when you deal with creditors, you will need to make sure that your house is legally safe from possible loss. You will need to know more about the situations in which you can get a charging order on your property.
Situations Where You Get a Charging Order
It is considered that the charging order is mainly concerned with the matters in which you have to deal with the creditors. However, there are many situations in which you can get charged. You can easily get the charging order on your property if you have secured a debt against your property.
The creditor can easily get the charging order or your property if they meet one of the two conditions:
- If you fail to submit the debt in lump sum as ordered by the court, you can get this charge on your property.
- If you have missed paying your installment timely as ordered by the court.
If you want to keep your house secure, you will need to make sure that you meet the dates, deadlines, and criteria set by the court on which both parties have agreed upon.
Debt cases are the most common in which you can get this charge because you have to deal with creditors. It is imperative that whenever you deal with creditors, you keep everything documented and safe.
When everything is done legally and is documented at every stage, no one will be able to put any allegation or false claim.
In addition to the debt cases, if you have been found guilty in any legal case or owe the government or the legal authorities some compensation, you might get this charge if you fail to return the money in the given time frame. If you don’t abide by any legal rules, the court can give the law the right to take over your house.
Bankruptcy is also one of the leading causes people can get this order. Suppose you have a loan from the bank, and you fail to pay the installment one after the other. The bank will eventually go to court and can get this order to compensate for the loan.
Furthermore, you will need to dive into the type of these orders, like interim charging orders and final charging orders to know the details of these charges and how to stay safe.