A creditor has to send a Letter Before Claim before they take you to court for a debt in England, Wales and Northern Ireland. This letter may be headed something like Letter Before Action or Notice of Pending Legal Action. This letter is part of new rules - the Pre Action Protocol for Debt Claims - that started on 1st October 2017. Here is National Debtline's factsheet on this new debt … [Read more...]
If a creditor takes you to court you will get a County Court Judgment (CCJ). This is not a criminal conviction, but it will badly damage your credit record and may lead to problems with bailiffs etc if you do not deal with it properly. In the first quarter of 2015, there were 209,000 CCJs - this is up over 20% on the number a year ago. It seems that debt collectors are going to court more often and for smaller amounts.
A creditor or debt collector may threaten to take you to court but they may just be bluffing. You need to know the facts, what to do if you do get court forms and what happens after you get a CCJ.
This page has all Debt Camel's posts about CCJs in date order. Also check out Worried about CCJ's - common questions and problems, which gives an overview with links to more detailed explanations.
Are you worried about bailiffs? If you have problem debts, seeing programs like Can't pay? We'll take it away can be alarming. As one reader said: If I stop my direct debit and don't pay them this month surely they will not be happy? I don’t want bailiffs around my house. If you have already had a letter from a bailiff read: Bailiffs - do you have to let them in? What you need to know. This … [Read more...]
Registry Trust has published the statistics for CCJs for the first quarter of 2017. They are shocking, with almost 300,000 consumer CCJs, the highest number for ten years. The details are: 298,901 CCJs were registered against consumers in England and Wales from January - March 2017; this is an increase of 35% on the same quarter in 2016; the average size of a CCJ fell to … [Read more...]
In March 2017 the Pre Action Protocol for Debt was at long finalised, it's here: Debt PAP. It comes into force on 1st October 2017. Here is my article on How to Reply to a Letter Before Claim. It has taken many years of negotiations, consultations and delays to get here. I've asked a couple of experts for their reaction to the news. Tim Lett, who has been involved for the last four … [Read more...]
A reader asked: I took out countless pay day loans for example with Lending Stream, Quick Quid, MyJar, and Wageday Advance a few years ago. Suddenly they have all come out of the woodwork. I now have a court claim arrive from MotorMile Finance – for a Lending Stream account. I have applied to extend the date for defence but am not sure what to put in my defence. There are three other accounts … [Read more...]
A few readers have asked recently about long term debt payment arrangements. What information do they have to give to a debt collector? Can they can be asked to pay more? etc. Let's look at three different cases: an arrangement with a creditor; what happens if you use a DMP firm; and what if the payment is to a CCJ. Arrangement with a creditor Mr A asks: I have had an arrangement … [Read more...]
A reader asked: In August 2011 a CCJ was registered against me by Lowell P1 for £211. I paid off the balance, but not within the month. I have bank statements to prove its been paid. On my credit report it shows the status as “active” even though I have paid it. I’ve contacted Lowell multiple times but they say as it’s an old case it’s no longer on their system and they can’t help me. I … [Read more...]
A reader asked: My previous electrician has hired a debt collector, Guardian Recovery, to chase me for money for additional works never carried out. He refuses to engage with any meaningful discussion. I have now received an email from Guard Rec saying a notice of default may now be applied to my credit file. Can I actually receive a NOTICE OF DEFAULT on my credit report via a private dispute … [Read more...]
Mrs E asked: I have a catalogue debt of £5908, it’s from 2010. I was paying through a debt management company until March 2011. They have sent me a CCJ claim. I have filled it out ready to send back. But I have some questions. Mrs E's questions were all about completing the N9A Admission form, which is used when you are admitting that you owe some or all of the amount claimed but you would like … [Read more...]
On 21st March 2016 some County Court fees were increased significantly. There was a consultation by the Ministry of Justice in January 2015 on fee increases and the responses were almost all negative. The government however decided to go ahead with the proposed increases, with the exception of scaling back the proposed divorce fee changes. This articles looks at the two areas that will most affect … [Read more...]