Скачать или смотреть How to avoid HM Land Registry requisitions: Discharges

One of a series of videos to help you avoid requisitions with HM Land Registry.

See also "Discharge of charges (PG31)" https://www.gov.uk/government/publica...

Text of the video:

Delays in providing evidence of discharge is a long-standing problem, which causes difficulties for homeowners, conveyancers, new mortgage lenders and Land Registry.

Around 13% of all Land Registry requisitions are for incorrect evidence of discharge that customers have submitted to us.

This percentage would be higher, if it wasn’t for our early completion policy. In one quarter, we applied the policy 18,804 times.

Without this, the true number of requisitions would have been 56,214. Over a 12 month period that would be nearly a quarter of a million requisitions.

We send a requisition for a discharge when the policy can’t be applied.

This is usually when there is a restriction in the register which prevents the other applications, such as a transfer and new charge, from being registered.

We now delay sending a requisition for a discharge for two weeks, as we have found we receive some discharges during this period.

I don’t propose going into the reasons why some discharges are not available at the time an application is ready for lodgement, as there are probably many reasons. We have discussed it with conveyancers and lender representatives but there isn’t a consensus.

For the purposes of this video I would encourage you to do two things if you’re acting for an owner redeeming a charge.
 First, obtain as definitive a redemption statement as is possible.
 Second, warn them about any further borrowing on the mortgage, which may cause a delay in the lender issuing the discharge.

We’re aware that some conveyancers disagree with the early completion policy. It does, at very least, ensure the buyer and their new lender’s interests are protected by registration where it can be applied.

The Land Registration Act 2002 does not prevent us completing applications in this way. When the delayed discharge is sent to Land Registry, the former charge is then removed.

So, it is possible to avoid some requisitions where a discharge is not available by sending your application to us promptly. You should not delay lodging your application until an existing charge has been removed from the register.

A new lender wants its charge to be a first registered charge but this will happen when the existing charge is discharged.

We will allow one extension of priority when we have sent a requisition for a discharge, provided the customer:

(a) Is able to show they are actively pursuing the discharge; and
(b) Is able to show that it is the lender who is the cause of the delay.

The extension will normally be granted regardless of whether there are other outstanding requisition points.

HM Land Registry is a government department created in 1862 to register the ownership of land and property in England and Wales.

Our ambition is to become the world’s leading land registry for speed, simplicity and an open approach to data.

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