For most diligences (enforcement), the creditor must arrange for the service of a Charge for Payment of Money (also known as a Charge) on the debtor before the debt can be recovered. This must be done by officers of the Court who will also serve a Debt Advice and Information Pack.
The Charge for Payment is a formal demand for payment of the amount owed to the creditor, whether under a decree (judgement) or other registered agreement, such as a lease of Minute of Agreement. It includes any interest and associated costs, and generally gives the debtor 14 days to make payment. If the debtor does not satisfy the debt withtin the period specified, the creditor may then use diligence to recover what is owed
Upon expiry of the Charge, the debtor is apparently insolvent for the next four months, enabling the creditor to petition for the appointment of a liquidator and for sequestration (bankrupcty) subject to the prescribed limits being reached.
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