Can creditors charge interest on CCJ's?

donna0781

Hi there,

I'm new to this site so apologies if this question has been answered already.

My husband and I have a CCJ and we have received a letter from our creditor saying they will be charging interest on the amount we owe.

I may be wrong but I thought interest was frozen on CCJ's, or they can only charge interest on debts over £5000 (ours is £3500).

The payments we make each month don't cover the amount of interest, so the debt is actually increasing each month, and we can't afford to pay more due to other outstanding debts. I'm worried the debt will just keep increasing over time and we'll never be able to pay it off.

Am I right to question interest being charged?

Any advise would be gratefully received! Thanks

mr.ton

No absolutely not.
I would report whoever the creditor is to the authorities.
Whatever the CCJ amount is for & by whatever amount you are paying it/how often etc... is what you pay - no more/no less

fatbelly

Factsheet | Interest charges on a Consumer Credit Judgment

fermi

mr.ton wrote: »

No absolutely not.
I would report whoever the creditor is to the authorities.
Whatever the CCJ amount is for & by whatever amount you are paying it/how often etc... is what you pay - no more/no less

Not always true. Please see fatbelly's link.