What is a first charge on a property?
First Charge A legal charge used to secure the main mortgage.
A lender with a first legal charge over a property has a first call on any funds available from the sale of the property.
First-Time Buyer A person that is purchasing a property for the first time..
What is putting a charge on a property?
A charging order secures a debt you have with a creditor against your property. This means if you sell or remortgage your home before the debt is cleared the charging order will be paid off from the proceeds. A creditor can only get a charging order if they already have a County Court judgment (CCJ) against you.
Can a charge on a property be removed?
Charges and burdens may be cancelled by application by party, other than the owner of the right, typically the registered owner who claims that the burden no longer affects the land. Certain rights may be discharged based on operation of law, passage of time or other basis.
Is a charge the same as a mortgage?
Mortgage vs Charge The difference between Mortgage and Charge is that mortgage is the transfer of interest to the borrower by the lender on a trust basis. The borrower promises to pay back the mortgage amount in due time. A charge is the use of an asset as security when the borrower defaults the re-payment.
How long does a charging order on a property last?
12 yearsHow long does a charging order last? Section 20 of the Limitation Act 1980 prevents the commencement of any action to recover money secured by a mortgage or other charge on a property after 12 years have elapsed following the date on which the right to receive the money accrued.
Can someone put a charge on my property without me knowing?
When your creditor applies for an interim charging order, they’ll also register a charge on your property at the Land Registry. This means you can’t sell your property without your creditor knowing about it.