13(1)The authority shall apply the purchase price in the first instance in or towards the redemption of any relevant charge securing the payment of money (if there is more than one, then according to their priorities), subject to the provisions of this paragraph.E+W
(2)For the purposes of this paragraph—
(a)a person entitled to a charge may not exercise a right to consolidate the charge with a separate charge on other property;
(b)a person may be required to accept three months’ or longer notice of the intention to repay the principal or any part of it secured by the charge, together with interest to the date of payment, notwithstanding that this differs from the terms of the security as to the time and manner of payment;
(c)a charge to which the vendor or the authority themselves are entitled ranks for payment as it would if another person were entitled to it; and
(d)where a person, without payment or for less payment than he would otherwise be entitled to, joins in the conveyance for the purpose of discharging the interest acquired from a charge, the persons to whom the purchase price ought to be paid shall be determined accordingly.
(3)This paragraph does not apply to—
(a)a charge in favour of the holders of a series of debentures issued by a body, or
(b)a charge in favour of trustees for such debenture holders which at the date of the conveyance is a floating charge;
and the authority shall disregard such charges in performing their duty under this paragraph.