Can Someone Put a Charge on My Property Without Me Knowing?

Having a charge placed on your property without your knowledge can be a worrying situation. This article will explain what a charge is, how it can happen and what you can do if you find an unexpected charge against your property.

What is a Charge?

A charge is a way for a creditor to protect their debt by putting something on your property. It lets them take your property as collateral for a debt you owe them.

The most common types of charges are:

• Mortgages – When you take out a mortgage loan, the lender places a charge on your property. This gives them the right to repossess your home if you default on the loan.

• Second mortgages or home equity loans: If you borrow more money against your home, it will be charged with more fees.

• Rent charges – Your landlord can place a charge on your home if you fall behind on rent payments.

• Tax liens – If you fail to pay taxes like property tax or income tax, the government can place a charge on your assets.

• judgment charge: If you lose a court case and owe someone money, they can put a judgment charge on your home.

• Utility charges – Overdue utility bills can also result in charges against your home.

Can a Charge Be Placed Without Your Knowledge?

In most cases, a creditor or authority should notify you before placing a charge on your property. However, there are situations where a charge could be placed without your immediate knowledge:

• Outdated contact information – If your mailing address on file is outdated, you may not receive notifications about new charges.

• Judgment charges – While you should be informed about lawsuits, a judgment charge can be placed quickly after a ruling without direct notice.

• Error or oversight – Clerical errors or overlooked notifications could mean a charge slips by unnoticed.

• Identity theft: If someone takes out loans in your name without your permission, you will be charged.

So while you should be informed, it is possible for a charge to be placed, recorded, and made public without you being directly notified in advance.

How to Check for Unexpected Charges

If you are concerned about unknown charges, it’s wise to periodically check property records for your home. Here’s how:

• Title search – Request a title search from your local land records office to uncover all charges associated with your property.

• Property alerts – Sign up for alerts from registrars that notify you anytime changes are made to your property’s records.

• Credit reports – Look for inquiries or accounts you don’t recognize, as these could indicate fraud leading to charges.

• Sale review – When selling your home, the entire title history will be examined, revealing any hidden charges.

Checking regularly allows you to act quickly if you find an unexpected lien or charge on your property.

What to Do About an Unknown Charge

If you discover a charge you weren’t expecting, here are some steps to take:

• Identify the creditor – Determine who placed the charge and whether it’s valid.

• Communicate – Contact the creditor and discuss the charge. Ask for documentation if it’s legitimate or dispute it if you believe it’s in error.

• Pay off valid debts – If the charge is valid and you can pay it, this will quickly clear up the issue. Make sure to obtain a release of charge.

• Seek legal help – For large charges over disputed debts, you may need to turn to legal counsel to resolve the matter.

• Remove invalid charges – If a charge is improper, work to quickly undertake the legal process to remove it from your property records.

By acting swiftly, you can get an unanticipated charge cleared up or removed so it doesn’t impact your ability to use your property as intended.

Preventing Surprise Charges

Some tips to avoid waking up to unexpected charges on your property include:

• Keep your contact details like mailing address up to date on all records.

• Pay all bills, loans, and taxes on time to avoid legal action that could lead to property charges.

• Review credit reports regularly for any unfamiliar accounts or credit checks.

• Set up property alerts to receive notifications about changes to your records.

• Carefully read any documents and contracts before signing to understand what is being charged against your property.

Staying vigilant makes it much less likely that your property will end up with charges you didn’t agree to or expect.

While receiving no direct notice of property charges is rare, it can happen under certain circumstances. If you discover an unexpected charge on your home, take steps to verify it, communicate with the creditor, and remove invalid claims against your property. Paying attention to property records and credit reports will help you prevent waking up to surprise charges.