You may have seen recently in the news that the number of County Court Judgments (CCJs) has risen dramatically. Nearly 300,000 were issued against consumers in the first quarter of 2017. The highest it has been in over 10 years. This trend shows that consumers are spending more money and borrowing more, but are unable to repay their debt.
CCJs – the basics
A CCJ arises when someone wants to recover a sum of money and is successful in making a claim to court.
CCJs stay on a person’s record for six years unless the judgment is overturned or the debt is paid within 1 month.
Problems arise for individuals and companies when they have made a successful claim and the debtor still refuses to pay.
What can I do?
There are a number or avenues that can be taken in these circumstances.
- Send the bailiffs in to take certain goods up to the value of the debt
- Apply for a charge to be put on the debtor’s property if they own one. The debt will then be paid off on the sale of the property if there is enough value after the mortgage is paid off.
- Apply to make them bankrupt if the CCJ is for over £5,000.00
- Apply for an attachment of earnings order if the debtor is employed. This means that you will be paid in instalments, directly from the debtor’s salary.
It can sometimes be difficult to know which course of action to take. If you do not know the debtor’s employment or property situation, you can apply to court for an order that the debtor attend to be questioned in order to find out what assets they have.
We can help you take any of these directions in order to recover money owed to you and advise you on the best course of action to take.