CCJ Advice

von179

Hello,

I'm new to the forum and have read a lot of questions and responses but am unable to find anything similar to my situation to obtain the correct advice. Sorry if this has been asked before.

8 years ago I took out a bank loan, I needed 7k for a car and other things, computer for work etc. I was young and and very naive and let the woman in the bank talk me into a 14k loan... so stupid, I know that now..

For 3 years I kept up payments and everything was fine, then my employer had to reduce my hours and my partner died. I fell into depression and couldn't of cared less at the time weather or not I was making ends meet.

They issued a CCJ and i was asked to make monthly payments, which i never did. I tried to set up a DD with the debt agency and the only way they would let me pay was to go into a bank and use their paying in slip of do it over the phone, at this point I wasn't even speaking to my own family on the phone and barely got out of bed so again I did nothing. I obviously know this was the worst possible thing to do but I was deep into a black hole of depression and was not taking care of myself in any way what so ever.

Over the last five years they never contacted me so I pushed it to the back of my mind. I have had the CCJ now for 5 years and one month and they have now tried to call me... I have been driving every-time they have called so I haven't spoken to them yet and i would like some advice before i do so.

My question is, can they demand the full re payment? if i start to make payments now will the CCJ remain on my file as It will be due to drop off in dec '18. or will it still go and i can continue to make payments in the background?

Would It be likely they would accept a settlement figure?

Sorry for all the questions but I've read a lot of stories where debt agencies don't make you aware of all your rights and scare you into agreeing to large payments and threaten you with bailiffs etc.

Many thanks for taking the time to read this.

Arleen

The CCJ will go away from your file after 6 years no matter what happens. But that doesn't mean they cannot enforce the debt, just that it won't show on your file anymore. And indeed, if you cannot agree with them on a payment plan they can instruct bailiffs to collect the debt, this is not an empty threat as they've already got a CCJ against you. This is relatively uncommon, as enforcing debt is expensive, but if you are offering what they will consider unreasonable payment they may go that route.

It is best to contact them in writing, attach your SOA detailing ins and outs of your money and offer a fair repayment plan based on that. Or if you have a lump sum you can offer a full and final settlement, after that many years, 40-60% seems quite plausible.

von179

Thank you, that is much clearer now. I will make contact and hope for a settlement.

von179

Does this mean after the six years are up they cannot send in bailiffs as the time the court has given them has run out and they would be unlikely to get an extension? they can enforce the debt by conatcting me and asking me to pay it only?

Arleen

von179 wrote: »

Does this mean after the six years are up they cannot send in bailiffs as the time the court has given them has run out and they would be unlikely to get an extension? they can enforce the debt by conatcting me and asking me to pay it only?

Yes they can, the only thing that changes 6 years after CCJ issue is that it falls from your credit file, but it is still enforceable.

National_Debtline

Hi Von179,


If a CCJ is more than 6 years old, and the judgment has not been enforced within the 6 years of obtaining the judgment the creditor would need to get special permission from the court to enforce the debt with things such as bailiffs. If they get this permission, or if they start enforcement action within 6 years, then bailiffs and/or an attachment of earnings order are the most common enforcement choices.


If you wish to pay it by instalments, then the best thing to do is vary it at the court. This is done on an N245 and can cost up to £50 to submit (if you are on benefits or a low income this may be waivered with an EX160). If you stick to the new payments set by the court then they cannot take any further enforcement action. And the CCJ will always still come off your credit file 6 years after the judgment date.


With regard to a settlement - it is possible, however, it is less likely once they have a judgment. The key issues with this idea would be - where is the lump sum coming from? We would not recommend taking out more credit for this. If you can get the creditor to agree to all of the necessary terms in writing, then that should be fine, however, they cannot mark the judgment as partially satisfied. It will remain defaulted as it hasn't been made in full. (It will only be marked as satisfied if 100% of the debt is paid). Hope this helps,


Laura
@natdebtline

von179

Hi Laura,

Thank you, when you say if they haven't enforced it does that mean take actual action or just getting in touch with me?

National_Debtline

Hi Von179,


Enforcement action means applying for action through the court, by requesting an attachment of earnings order application and/or bailiffs (or other court enforcement options). You should've received notice if anything like this has happened. Hope that helps,


Laura
@natdebtline