Disputed Debt / Debt Order

stressedindebt

Posting here as well, I hope thats OK, I'd really like some advice.

I bought something from a company which turned out to be faulty. I reported this and the company said they would take it back (I have this in writing - they left it out of their evidence but I included it in mine and it was ignored) but then went back on this and took me to court for unpaid money instead. I sent in the evidence that they had agreed to take it back (I couldn't attend court as I have health problems and cant leave the house most days) but my evidence was ignored and they got a CCJ against me (now around £1000 with charges). What worries me now is that they might try to take a third party debt order against me (I've read about this online)or make me bankrupt? Presumably they would need my bank details to do this? which they would have to take me to court to get... Is this a likely course of action or am I getting worried for nothing (someone told me this is really only used for things like CSA)

I'm not employed and am on a small amount of benefit which just covers my living costs, I have about £50 in my savings account for a rainy day but thats it. Can they get a third party debt order againts me? woud I even know? and would I have to go to court to tell them about my money even with my health problems? (this is making me feel sick already at the thought!)

I'm going to try and get the judgement set aside. but in the meantime, I'm panicking!

Thank you

CAB_Swansea_Bay_representative

Hi stressedindebt, thank you for your query re disputed debt.
Firstly if you entered a defence to a county court judgement which was not upheld there is only limited circumstances in which you can appeal and very tight time limits for doing so. If you intend to appeal then I would suggest you get specialist debt advice as soon as possible. You can find details of your local Citizens Advice Bureau at www.citizensadvice.org.uk.
If you do not want to appeal the decision then you can apply to vary the judgement to an affordable payment arrangement using form N245 which has an income and expenditure form to complete and has option of making a monthly payment offer. There is a fee to make this application but if your only income is from benefits you are likely to be entitled to fee remission which you can apply for with form EX160 and will need to provide proof of benefit and possibly bank statement for last 3 months. You can find more information on dealing with a county court judgement at www.adviceguide.org.uk.
Regarding enforcement. A Third Party Debt Order is one of the ways a judgement claimant can enforce a county court judgement along with Charing Orders if you own your property or other assets, Warrant of Execution for bailiffs to visit your home, Attachment of Earnings to collect debt if you are working. A Third Party Debt order application is rare, especially if the judgement creditor does not have your bank details and the effect is that your bank account will be frozen so court can assess if any money in the account. If you are concerned and think the judgement creditor does have your bank details you could consider changing your account but I would suggest your best option would be to appeal the judgement or apply to vary the payment amount.
Hope this is of assistance