A charging order does not mean you are losing your home, but it does turn an ordinary debt into one tied to your property. What you do in the 28 days after the papers arrive can change the outcome.
This is general information about charging orders in England and Wales. It is not personal financial advice or regulated debt advice.
Quick answer
A charging order is a court order that secures a judgment debt against property you own, such as your home. It comes after a county court judgment, in two stages: an interim order, then a decision on a final order. You have 28 days after being served with the interim order to object in writing. The judge must weigh your personal circumstances and your other creditors. A final charging order does not force a sale: if you sell or remortgage, the creditor is paid from your share. A forced sale needs a separate court claim, and it cannot happen while you keep up with instalments ordered by the court, or for a consumer credit debt under £1,000. The free objection template is further down.
The stages, and what you can do at each
| Stage and timing | What you can do |
|---|---|
| County court judgment | Keep to the instalments, or ask to change them. This matters later. |
| Interim charging order The creditor must serve it on you within 21 days | Check the date it was served, the debt and the property. |
| Objection window 28 days after service, or 7 days before a hearing if one is listed | Send your written objection to the court and the creditor. |
| Final charging order | Ask for conditions, or later ask the court to discharge or vary it. |
| Order for sale Only by a separate court claim | Defend it. Instalment and £1,000 protections may apply. |
Where a charging order comes from
A charging order is not a first step. It comes after a court judgment. Under section 1 of the Charging Orders Act 1979, the court can order a charge on your property “for the purpose of enforcing” a judgment. So the order of events is: missed payments, then a court claim, then a county court judgment, and only then a charging order.
Prefer to watch instead? This video covers the main points from this guide, including what a charging order is, how it can affect your home, what happens before a final order is made, and why an order for sale is a separate step.
Paying your CCJ instalments? It still counts
Since 1 October 2012, keeping up with the instalments ordered by the court does not, on its own, stop a creditor applying. The Act says:
Charging Orders Act 1979, section 1(7) and (8) (verbatim)
“The fact that there has been no default in payment of the instalments does not prevent a charging order from being made in respect of that sum. But if there has been no default, the court must take that into account”
Source: legislation.gov.uk
In plain English: a creditor can apply even while you are paying as ordered, but the judge must count your good payment record in your favour.
What the judge must weigh
This is the part to build your objection around.
Charging Orders Act 1979, section 1(5) (verbatim)
“In deciding whether to make a charging order the court shall consider all the circumstances of the case and, in particular, any evidence before it as to— (a) the personal circumstances of the debtor, and (b) whether any other creditor of the debtor would be likely to be unduly prejudiced by the making of the order.”
Source: legislation.gov.uk
In plain English: the judge must look at your situation, such as who lives in the home, your health, your income and outgoings, and whether you are keeping up with payments. The judge must also consider whether securing this one debt would be unfair to your other creditors, for example if you are paying several creditors under a repayment plan.
The deadlines, from the court rules
The rules are in Civil Procedure Rules Part 73:
- Service: the creditor must serve the interim order and the application “within 21 days of the date of the interim charging order” (rule 73.7(1)).
- Who is served: you, any co-owner of the property, and your “spouse or civil partner (if known)” (rule 73.7(7)). So your partner may receive the papers too.
- Your objection: you must file at court, and send to the creditor, “written evidence stating the grounds of objection, not later than 28 days after service” (rule 73.10(2)).
- If a hearing is already listed: the objection must arrive “not less than 7 days before the hearing” (rule 73.10A(2)).
If you object, a judge decides at a hearing. Go to it. If you cannot attend, contact the court straight away and ask for a new date.
Free template
Objection to a final charging order
Copied. Or skip the posting and the follow-ups: hand it all over to us.
The court rules ask for “written evidence”, so this is set out as a short witness statement. Fill in the claim number and parties exactly as they appear on the interim order. File it at the court and send a copy to the creditor within 28 days of being served. Prefer to print it? Download the PDF.
In the County Court at [court name]
Claim number: [claim number]
[Creditor's name], Claimant
[Your name], Defendant
Witness statement of [your full name]: grounds of objection to a final charging order
I, [your full name], of [your address], am the Defendant. I object to a final charging order being made over [the property address]. The interim charging order is dated [date], and it was served on me on [date].
1. My personal circumstances. Section 1(5)(a) of the Charging Orders Act 1979 requires the court to consider them. [Who lives in the home, including children or anyone with care needs; your health; your income and outgoings, attached; anything else the court should know.]
2. Payments under the judgment. [I am paying £[amount] a month as ordered on [date] and I am up to date. / I have missed payments because [reason], and I can now pay £[amount] a month.] Section 1(8) requires the court to take into account that there has been no default. [Delete the second sentence if you have missed payments.]
3. My other creditors. [List your other debts and any repayment arrangements.] Under section 1(5)(b), the court must consider whether they would be unduly prejudiced by a charge in favour of this one creditor.
4. What I ask the court to do. I ask the court not to make the charging order final. If it does make it final, I ask that it is made subject to a condition under section 3(1) of the Act that it will not be enforced by an order for sale while I keep to the payments ordered.
Statement of truth
I believe that the facts stated in this witness statement are true. I understand that proceedings for contempt of court may be brought against anyone who makes, or causes to be made, a false statement in a document verified by a statement of truth without an honest belief in its truth.
Signed: [signature] Date: [date]
Or hand it all over
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Only include facts you know to be true. The statement of truth wording comes from Practice Direction 22, paragraph 2.2.
The final charging order: what it means
A final charging order does not mean you have to sell your home. Under section 3(4), the charge has “the like effect” as a charge you had agreed to yourself, and it is registered against the property.
Follow the money
A charging order turns an unsecured debt into one secured on your property. When you sell or remortgage, the creditor is paid from your share before you receive anything. That is why you cannot simply sell up and keep the proceeds while a charging order is in place.
Conditions, and getting it removed later
The court can make the order “subject to conditions as to notifying the debtor or as to the time when the charge is to become enforceable, or as to other matters” (section 3(1)). That is the basis for asking, in your objection, for a condition against a sale while you keep paying.
Later, you can ask the court to discharge or vary the order. The court “may at any time, on the application of the debtor” make that order (section 3(5)), for example once the debt is paid. The application goes to the court that made the order (rule 73.10B).
If you own the property jointly
The charge can only be placed on “any interest held by the debtor beneficially” (section 2(1)(a)). If you own your home with someone else and the debt is only yours, only your share can be charged. The other owner is served with the papers and can object too.
Order for sale: a separate step, with two protections
A creditor who wants a forced sale has to start a new court claim. “The claimant must use the Part 8 procedure” (rule 73.10C(4)). Two protections apply first.
1. While you keep to the instalments. Where the court ordered you to pay by instalments, the Act says:
Charging Orders Act 1979, section 3(4C) (verbatim)
“The charge may not be enforced unless there has been default in payment of an instalment under the instalments order.”
Source: legislation.gov.uk
2. Consumer credit debts under £1,000. For a judgment on a credit card, loan or other regulated consumer credit agreement, the charge “may not be enforced by way of order for sale to recover an amount which is less than £1,000” (Charging Orders (Orders for Sale: Financial Thresholds) Regulations 2013, regulation 3).
In plain English: keep to the instalments ordered by the court, and a forced sale is off the table for as long as you do.
Our guide to orders for sale explains what happens if a claim is made.
Threats to pressure you are against the rules
FCA-regulated firms must not use a charging order as a threat. CONC 7.3.18R says a firm “must not threaten to commence court action, including an application for a charging order … in order to pressurise a customer in or approaching arrears or in default to pay more than they can reasonably afford.”
A firm also must not apply for an order for sale “without first having fully explored any more proportionate options” (CONC 7.3.14R). If a letter reads like a threat designed to make you find money you do not have, keep it. It can be the basis of a complaint.
If you are already in debt
A charging order usually means there is more than one debt to deal with. Two things protect you most: keeping to the instalments the court ordered, and a realistic budget the judge can see. The free Budget Planner gives you the income and outgoings figures to attach to your objection.
Charging order papers?
Talk through your next step in 10 minutes
A private 10-minute call with The Real Debt Guy to look at where you are and what to do before the deadline. Prefer to start on your own? The free Budget Planner gives you the figures the court asks for.
Book a Clarity CallYour checklist
- Find the date of the county court judgment, and whether you were ordered to pay by instalments.
- Check you are up to date with those instalments. If not, catch up if you can, or ask the court to change them.
- Note the date the interim order was served on you. Count 28 days.
- Check whether a hearing is already listed. If so, your objection must arrive 7 days before it.
- Do your budget with the free Budget Planner.
- Write your objection using the template: your circumstances, your payments, your other creditors.
- File it at court and send a copy to the creditor before the deadline. Keep proof of both.
- Go to the hearing, or ask for a new date if you genuinely cannot attend.
- Keep paying as ordered. It protects you from a forced sale.
- Keep every letter, including any that read like threats.
FAQs
What is a charging order?
A court order that secures a judgment debt against property you own, such as your home. A creditor can only apply after getting a county court judgment.
Does a charging order mean I have to sell my home?
No. It means the creditor is paid from your share if you sell or remortgage. A forced sale needs a separate court claim.
Can I sell my house with a charging order?
Yes, but the creditor is paid from your share of the proceeds before you receive anything. You can also ask the court to discharge the order once the debt is paid.
Can they apply if I am paying my CCJ instalments?
Yes, since 1 October 2012. But the court must take into account that you have kept to the instalments, and while you keep paying, the charge cannot be enforced by a sale.
How long do I have to object?
28 days after the interim order and application are served on you, or at least 7 days before the hearing if one is already listed. The objection must be written evidence, filed at court and sent to the creditor.
What does the judge look at?
All the circumstances, and in particular your personal circumstances and whether your other creditors would be unduly prejudiced.
When can a creditor not force a sale?
While you keep up with instalments ordered by the court, and for regulated consumer credit debts under £1,000.
What if I own the house with my partner?
If the debt is only yours, only your share can be charged. Your partner is served with the papers too and can object.
Can a firm threaten me with a charging order?
FCA rules say a firm must not threaten court action, including a charging order, to pressurise you into paying more than you can reasonably afford.
