Attachments of benefits by private individual

mazza4011

Hi folks. Originally posted in the benefits forum, I was advised this might be a better place to gain advice.

A brief history. Not looking for sympathy, just providing info.
I work in construction. Made bankrupt four years ago after two companies went bust in quick succession taking us with them. Had moved into a flat before this and was managing the rent with no problem. At forty-two I was suddenly claiming benefits for the first time
Over the next three years was always getting into arrears when not working (LA paid 1 bedroom rate and I lived in a 2 bedroom flat). When I found work I was able to pay off the arrears but just as I did work would dry up again and the cycle repeated. Early last year my landlord decided he wanted to put the rent up. He knew the council was making changes to the way it calculated HB with the result it would go down and therefore widen the gap between rent and HB each month, so decided not to renew the lease. I tried to get him to change his mind as I loved the place but he refused and I belligerently refused to leave until legally required to.
Which brings me to my point. I have since moved into a shared house, but a company called Legal 4 Landlords have written to me at my sisters address threatening court action over the arrears. (How they got the address I don't know). Their figures I don't dispute, and if I had the money I'd pay it. They mention bayliffs, excecution of goods (best of luck with that), and attachment of earnings and benefits.
I imagine this is a standard letter (as the last line says I might be evicted if the arrears continue), and no doubt it contains an element of scare tactics, but considering it was addressed wrongly can I be considered to have been notified, and can an attachment of benefits be made. If so, how much is this likely to be? I've read up on attachment of earnings, but nowhere does it mention attachment of benefits.

Tixy

Your creditor (or their representative) only has to send letters to your last known address. Did you at some point provide them with sister's address? If they don't know your current address they are not under any obligation to find you to inform you of court proceedings.
If they do take court action then you could complete the forms to offer to pay in installments at a rate you can afford -if you are on benefits this is likely to be only a few quid a month and as long as your numbers stack up then the judge should not order you to pay any more than you can afford.
Assuming the CCJ is to pay in installments and not a forthwith judgement then they won't be able to take any enforcement action providing you keep up with the installments.

If you don't respond to the court papers then they will be granted a forthwith judgement.

I'm not certain about an attachment of benefits for a CCJ - I've not seen one.

mazza4011

If they don’t know my current address can they proceed against me if I’m unaware of any action? As far as my ex-landlord is concerned, my last known address was the flat. When I moved out I stayed with friends for a few weeks before finding this place. I recall giving my sisters address to a utility company in order that they could send through a final bill, though this could easily have been a debt recovery company acting on behalf of the utility co, and I imagine those folks exchange info quite freely.
With regards to making instalments, I originally filled out an expenditure form and hand delivered it early on the morning of the eviction hearing to the magistrate’s court. I couldn’t attend as I had work for a couple of days, and the way things are I wasn’t refusing it. Rather stupidly, I hadn’t noticed the hearing was in the crown court, and this didn’t come to my attention until I phoned the magistrates court a week later to discover the outcome of the hearing. I assume, though I have no proof of this, that once the staff at the magistrates court opened the mail and realised the papers had been mis-posted they would have taken them to the crown court. They are after all only 100m apart.
I’m presuming the following. I have a CCJ against me from the eviction hearing for the full amount, and because the expenditure forms weren’t taken across this was ordered to be paid immediately. As nothing has happened since they’re trying these tactics to ‘smoke me out’ and force a resolution.
Any advice as to what I should do next, folks?

fermi

http://www.dwp.gov.uk/docs/tpp-new-creditor-guide.pdf

Seems from that that it would only be possible to meet essential present housing costs/arrears for where you are living NOW.

JayneC

Hi,

I know this isn't much help to you now but may help somebody else, HB can make additional payments called discretionary housing payments, on top of usual HB payments, this is often made to claimants who could afford the rent on the place they were living when they first took on the property and is often time limited, but councils have a fund for this and will often pay it because otherwise they just lose the money, Though they often don't advertise the fact you can get it. They will also often pay for an additional 28 days after your JSA stops to help plug the gap if you have to work a month in hand. You must apply separately for theses benefits though and HB aren't helpful in making sure you know about them.
Re attachment of benefits, it;s quite obvious how much income you have if on benefits so any order would be for a minimal amount. Your benefits office may be able to tell you if there's a maximum amount that can be deducted from each payment. I'm not sure if an order can be made against you without you being notified...

JayneC

Just reread your post and you could either - 1. wait and see if anything transpires regarding an attachments of benefits order or 2. you could contact your ex landlord and offer to pay a minimal amount - if on benefits £1 a month would do... If you have offered to pay something it's unlikely that further action would be taken as if taken to court and your offer is deemed reasonable the court will only order you to pay that and then your creditors cannot pursue you for any more even if your circumstances change. Whereas you can offer £1 per month to be reviewed say 6 monthly and then there's hope that if your circumstances change you could pay more...HTH

fatbelly

Let's be clear about this. From Fermi's post:

Third-party deductions from benefits

The scheme covers:
• housing costs, including miscellaneous accommodation costs
• hostel charges
• rent arrears (including service charges for heating or lighting)
• fuel costs,
• water charges (water then sewerage if two debts)
• council tax and community charge arrears
• fines
• Child Support maintenance (under the old scheme).

So your ex-landlord cannot enforce a ccj by getting deductions from benefit.

fermi

fatbelly wrote: »

So your ex-landlord cannot enforce a ccj by getting deductions from benefit.

Thanks. That was the way I read it, but good to hear that confirmed.