Service Charge Payment Terms
Service Charge Payments Terms
Under the terms of the lease, Service Charges are payable in advance of the 1st January in each year. However, the Board has agreed that, in order to make this more afforable to leaseholders that the charges will now be payable in two equal instalments, on or before 1st January and 1st July in each year.
Breach of Terms
- Should a payment be missed, then a reminder will be sent out, you will not be charged for this first reminder.
- Should payment not be received within 15 days of the date of the original reminder letter, then a final reminder letter, which attracts an additional charge of £30, will be sent out.
- If full payment is not received within with fifteen days of the final reminder, then the file will be passed to the company’s solicitors – Boyes Turner. Details of the charges which may be incurred by the leaseholder should the solicitors become involved are shown below.
Solicitor and Legal Costs for Debt Collection
Stage 1- Letter before Action
£150 plus VAT plus Land Registry fee of £3.
Stage 2 – Issuing Court Proceedings
£200 plus VAT plus Land Registry fee of £3.
Court issue fee, calculated by reference to the value of the claim as follows:
- Exceeds £500 but does not exceed £1,000 = £70.
- Exceeds £1,000 but does not exceed £1,500 = £80.
- Exceeds £1,500 but does not exceed £3,000 = £115.
- Exceeds £3,000 but does not exceed £5,000 = £205.
Stage 3: Requesting Default judgement:
£22 or £25 depending on whether an acknowledgement of service is filed.
Serving Default Judgement on lender (if applicable): £50 plus VAT.
Stage 4: Section 146 Notice:
Section 146 notice to commence forfeiture proceedings: £125 plus VAT.
Charges correct as at 1st January 2015.