Do CCJs for non-debt-related reasons affect your credit record?

alexanderalexander

I am well aware that CCJs in relation to a debt do, unless paid within 30 days, stay on your credit record for six years and can make it very difficult to obtain credit.

However, I am at risk of having a CCJ for sum of money in relation to a matter other than a debt awarded against me (long story - I sold a house, buyer is claiming misrepresentation and wants four grand off me, for what it's worth I think his case is spurious for a number of reasons but who knows what the small claims court judge would make of it if it gets that far).

If the judge found partially or fully against me, would this go on my credit record? Instinctively the answer should be "no" as it obviously has diddly-squat to do with my creditworthiness, but I wanted to check as I know these things aren't always intuitive.

D3xt3r5L4b

Yes it would.

Yahoo_Mail

A CCJ is a CCJ. There is no differentiation based on what the CCJ relates to.

sambaird

If the case goes against you, and you are ordered to pay money to the claimant, then yes...if you don’t pay it within 30 days, you’ll get a CCJ which will significantly affect your credit report.
Lenders looking at your report won’t discriminate... a CCJ is a CCJ is a CCJ.

alexanderalexander

Yahoo_Mail said:

A CCJ is a CCJ. There is no differentiation based on what the CCJ relates to.

I am pretty sure that can't be true. The County Court issues judgements on all sorts of matters, including many which are completely unrelated to money – for example, relating to compliance with child custody conditions after divorces. They surely don't end up on people's credit records, do they?

alexanderalexander

D3xt3r5L4b said:

Yes it would.

Thanks for the reply. If you don't my my asking, what personal experience or source are you basing your answer on?

(For what it's worth, this is likely to settle / my buyer is likely to give up long before it gets to court, but I am keen to establish with absolute certainty what the risks are so I know how much I need to settle or not.)

Another question - if paid within 30 days is there any harm to one's credit rating from receiving a CCJ? 

sambaird

If the court asks you to pay money, that is a debt that you owe to someone. If you don’t pay it within 30 days you get a ccj.
A CCJ is an indication that you haven’t paid a debt you owe... so yes IT WILL AFFECT YOUR CREDIT REPORT.

If you pay it within 30 days, you don’t get the CCJ. Simple really. 

You are confusing other court judgements with CCJs.

alexanderalexander

Thank you. With apologies for being a bit heavy-going, am I correct in thinking that if the case went against me and I paid up straight away (as I would do) there's no issue from a credit rating point of view? 

MalMonroe

alexanderalexander said:

I am well aware that CCJs in relation to a debt do, unless paid within 30 days, stay on your credit record for six years and can make it very difficult to obtain credit.

However, I am at risk of having a CCJ for sum of money in relation to a matter other than a debt awarded against me (long story - I sold a house, buyer is claiming misrepresentation and wants four grand off me, for what it's worth I think his case is spurious for a number of reasons but who knows what the small claims court judge would make of it if it gets that far).

If the judge found partially or fully against me, would this go on my credit record? Instinctively the answer should be "no" as it obviously has diddly-squat to do with my creditworthiness, but I wanted to check as I know these things aren't always intuitive.

Here is an explanation of CCJ from StepChange: https://!!!!!!/3dm4jB7

There is also this, from the government site. https://!!!!!!/34UGZ9O

The fact is that whether you consider this matter to be debt-related or not, the buyer you refer to above does.

Therefore, if this case went to court and you lost, the Judge could definitely find against you and it would definitely go on your credit report for 6 years, unless you paid up within 30 days. 

It seems clear to me that you need to find yourself some legal representation because if this matter does go to court you will have to present your own case and not just accept that what the buyer says is fact. If it does come to a court case and you are not represented, you will lose.

Here is a third and final link, this time to Citizens Advice. Do phone them for more advice. Just in case! https://!!!!!!/3dpRrtS

Yahoo_Mail

alexanderalexander said:

Yahoo_Mail said:

A CCJ is a CCJ. There is no differentiation based on what the CCJ relates to.

I am pretty sure that can't be true. The County Court issues judgements on all sorts of matters, including many which are completely unrelated to money – for example, relating to compliance with child custody conditions after divorces. They surely don't end up on people's credit records, do they?

A County Court Judgement is a specific judgement.  Although yes, the County Court system makes decisions on a wide variety of cases, these are not all called "County Court Judgements."  Using your example of child custody, this would simply be a "Court Order."

PixelPound

Yahoo_Mail said:

alexanderalexander said:

Yahoo_Mail said:

A CCJ is a CCJ. There is no differentiation based on what the CCJ relates to.

I am pretty sure that can't be true. The County Court issues judgements on all sorts of matters, including many which are completely unrelated to money – for example, relating to compliance with child custody conditions after divorces. They surely don't end up on people's credit records, do they?

A County Court Judgement is a specific judgement.  Although yes, the County Court system makes decisions on a wide variety of cases, these are not all called "County Court Judgements."  Using your example of child custody, this would simply be a "Court Order."

County Court Judgment is for debt, different to other Orders issued by the County Court that won't appear on credit reports. In fact proceedings can be issued and if you opt for alternative to a court hearing, e.g. mediation, you may end up with a court order, but it won't be a CCJ and it won't be on your credit report.