ccj close to default timeout

enfield_freddy

5.5 years into a default , keeping head low , now received paperwork from county court.


I don,t deny it , but cannot afford to pay it , even as payments for the next 10 yrs


does the CCJ restart the clock as far as lenders can see? , ie: another 6 yrs?

fermi

The default still drops off, but the CCJ if not paid within one month of it being granted would go on your credit report as a separate entry for another 6 years.

enfield_freddy

ok thanks , so presumably all future lenders can see this?


its annoying , they can probably see via my history that I am unlikely to be able to pay this , seems they just want to %uck me up for another 6 yrs , without a hope of any money

Hazzinho

Yes all lenders would see it for 6 years, the lender obviously hopes this will make you pay what you owe.

DevCoder

They are just accurately portraying your credit history.

If you are in such a position as you state then you wouldn't be looking for credit for the foreseeable future anyway, so a bad "credit score" isn't going to hurt.

enfield_freddy

so in affect it is going to be on my credit file for 11.5 yrs?




isn't there something in place to restrict this to closer to 6 yrs ? , why are they allowed to wait 5.5 yrs , when they clearly know your address in this time?

DevCoder

Because they are allowed to seek a CCJ before the 6 year statue of limitations.

You say you "were keeping your head low" so I assume they had sent you letters / notice of default etc chasing this debt in the past?

Thats the point of the CCJ route, otherwise anyone could just borrow a huge sum of money and then default and not communicate for 6 years then borrow again.

The CCJ can be re-registered within the next 6 year period if judgement is being actively sought by the creditor, the creditor would need to go back to court to redetermine the CCJ in all probabilities.

chanz4

yes another 6 years, but also has the added sting of possible baliffs after it

PaulW922

If the lender is applying for a CCJ then, unless there is an issue with the claim itself they will probably get it (you seem to admit it is owed) and then, you will have to pay. I'd suggest you try and come to a settlement before the judgement is entered. That would mean the new marker is not put onto your file.

If that is not possible, and you post suggests it may not be, then you could fill out the I&E form that the court provides and ask it to enter into the judgement that you must pay the debt at £xxx per month. If that goes your way the court decision is binding and provided you maintain the payments the creditor cannot send in the bailiff or go after your bank account. However that would stay on your file for six years from judgement as you point out.

Sometimes a CCJ can have benefits in your favour too and this might be one such occasion. However the only way I can see of not getting another bad credit mark is to reach a settlement in advance of judgement (or within 30 days of judgement being handed down).

Thrugelmir

enfield_freddy wrote: »

so in affect it is going to be on my credit file for 11.5 yrs?

isn't there something in place to restrict this to closer to 6 yrs ? , why are they allowed to wait 5.5 yrs , when they clearly know your address in this time?

Why didn't you repay the debt you knew you owed? Trying to be clever appears to have backfired big time. I'm sure more and more people will find themselves in exactly the same position. Now that it's getting harder to hide.

spingoblin

enfield_freddy wrote: »

5.5 years into a default , keeping head low , now received paperwork from county court.


I don,t deny it , but cannot afford to pay it , even as payments for the next 10 yrs


does the CCJ restart the clock as far as lenders can see? , ie: another 6 yrs?

If for those 5.5 years you had been keeping minimal contact (In writing only), paying a token amount (£1.00 per month) or more if you could have afforded it you would have avoided any CCJ escalation. Then after 6 years your credit report would have been clean again instead of 11.5 years. Thats what happened in my case anyway.