Is there any negotiating after a CCJ

debtqueen

I received a CCJ this week for debts owed to MBNA.

Up until now I have been dealing with my creditors via CCCS trained counsellor local to me. They have been negotiating on my behalf and after going through a budget and sending to creditors it was clear that I had no extra funds to pay them with, and it was agreed with the creditors that I would pay £1 a month to them. In the last month MBNA via their solicitors sought to take the matter to court and a new budget was done and after trimming the budget I was able to offer £25 a month to them (I also offered £5k for full and final settlement which my brother was going to loan me). However I have just received a CCJ saying that they dispute my offer and asking for almost £600 a month (my total debt with them is £15000) which would mean that it would be paid off in just over 2 years).

I was advised when submitting the budget that the court could not dispute the allowances that are set by the government, and my budget is all set within these guidelines. It does look like the court has completely ignored these and also the other debts that I have (another £12k).

My family have been helping me and have loaned me money to clear my overdraft, and I also own my house (mortgaged). I did look at remortgaging in the beginning but there is not enough equity available and I was refused by my mortgage company.

Is there any reason why the court would ignore the budget? Also will I be able to negotiate to reduce the amount as there is no way I can afford to pay that amount per month without making things worse.

In my favour my mortgage, utilities and council tax are all up to date with no missed payments. When I initially sought advice I was told that credit cards are the last to be paid and that if I didn't have the money there was nothing that they could do other than accept my token payments each month. My greatest fear is that they will be sending in the bailiffs if I fail to make the payments.

Am sick with worry, feel like I haven't slept in weeks, terrified that my employer will find out. Just feel like its all over now

Tixy

Hi

Just to check you presumably did complete the court papers with your offer to pay?

You'll now need to apply for a redetermination, you are supposed to do this within 14days of getting the order - there is some info here http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=20_replying_to_a_county_court_claim_form#chapter8

Sparklyfairy

Hi there, I'm in the same situation as you with MBNA only a little further ahead. I owe 10k & they wouldn't accept my £1, but the court did. They went for the redetermination (it was seen by a judge but there was never a hearing so I couldn't attend to show my income & expenditure - GRRR!) and the judge decided for me to pay forthwith! Not possible. What will happen now is that MBNA's sols will go for an interim charging order & then we'll attend a hearing & it'll be made final.

I totally understand how you're feeling & it's truly horrible. I have done a lot of research about MBNA I have seen that this is the general route they take with debts over £5k ish. However, that's not to say they'll do the same for you. But if they do - is your house jointly owned? Do you have children? If so, these will make a huge difference & not nearly as scary. XX

DVardysShadow

debtqueen wrote: »

I received a CCJ this week for debts owed to MBNA.

Up until now I have been dealing with my creditors via CCCS trained counsellor local to me. They have been negotiating on my behalf and after going through a budget and sending to creditors it was clear that I had no extra funds to pay them with, and it was agreed with the creditors that I would pay £1 a month to them. In the last month MBNA via their solicitors sought to take the matter to court and a new budget was done and after trimming the budget I was able to offer £25 a month to them (I also offered £5k for full and final settlement which my brother was going to loan me). However I have just received a CCJ saying that they dispute my offer and asking for almost £600 a month (my total debt with them is £15000) which would mean that it would be paid off in just over 2 years).

I was advised when submitting the budget that the court could not dispute the allowances that are set by the government, and my budget is all set within these guidelines. It does look like the court has completely ignored these and also the other debts that I have (another £12k).

Please - is this a CCJ or a Court Claim???

There is a world of difference between a County Court Judgement and a Court Claim. And it seems that people are in the habit of saying they got a CCJ and resigning themselves when all they have is a Court Claim.

The distinction makes a world of difference to the advice which can be given.

debtqueen

Tixy wrote: »

Hi

Just to check you presumably did complete the court papers with your offer to pay?

You'll now need to apply for a redetermination, you are supposed to do this within 14days of getting the order - there is some info here http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=20_replying_to_a_county_court_claim_form#chapter8

Many thanks for your replies - nice to know that I'm not the only one.

Yes I did fill in the forms (the blue ones) and yes it is a CCJ, this is what is at the top of the document.

I live on my own, no dependents (unless you can count the dogs). We sent an income & expenditure with the court papers, but these have obviously been ignored. The CCCS counsellor has told me that there is hardly ever a hearing and that as MBNA are my biggest creditor they're trying to get in first, even so I don't understand how the court can ignore the other debts (all credit cards) as the judgement gives me no way of paying them at all.


Hopefully when I see my CCCS counsellor he will help me with the redetermination.

NorthernLas

As Tixy says, you must write a letter to the court within 14 days of getting the judgement and ask for the amount paid by you to be redetermined. Do not delay until you can see your advisor.


"If you cannot afford what the court has decided you should pay, you can apply to the court to look at your offer again. This is called a ‘re-determination’. There is no fee for this. You must do this within 14 days of getting the order. You can do this by simply writing a letter to the county court. Quote your case number. Attach your personal budget sheet and explain why you disagree with the order the court has made."

debtqueen

Have another question - when you receive a CCJ is your employer informed - I have a good job, and my employer finding out would really mess things up.

Sparklyfairy

Hi - No - I don't believe they would find out. Somewhere on this site is a link that enables people to see who has a CCJ for a fee..but I really wouldn't worry too much. Do you work for the police or a financial institution at all? I believe if you were to go bankrupt & worked for either the above, then it may. Get that redetermination letter out asap. xx