Creditor threatening CCJ

PM22

I have had correspondence from Moneyboat Pay Day Loan Company today.

They have my offer of £1 a month until Jan 23 but they have not received PayPlan's offer yet saying the same.

They have not accepted my offer and have asked for £60 a month (£700 total debt).

I replied that PayPlan will be in touch offering the above but that they can get a CCJ if they prefer.

I just lost it. The forms they sent me to fill in were court forms that I returned to them, not the court as there was an option for both.

What is likely to happen next and how should I have responded?

Thank you all 

[Deleted User]

If they were indeed court forms and you sent them back to them instead of the court, you'll end up with a default CCJ from the court for not sending the forms back to them.

fatbelly

So you sent the forms back to Moneyboat.

Did you fill in the income and expenditure sections and make an offer on the form? How much did you offer?

PM22

The paperwork gave the option of sending the court papers back to moneyboat if you admitted the debt.

it was a sort of scare tactic

PM22

I made the same offer as PayPlan on the form £1 until January 2023

fatbelly

Good. That is the correct procedure if you are accepting the debt and offering to pay by instalments.

Moneyboat will either 

(a) Accidentally lose your forms. You get a forthwith ccj in default*
(b) Object to your offer and send it on to the court. The court could order you to pay £1 per month, or some other sum, or make a forthwith ccj*
(c) Accept the offer and send it on to the court. You get an order to pay £1 per month

* The text will say you must pay 'forthwith', i.e. in one lump immediately. If you don't do that then Moneyboat can enforce the debt by bailiff, attachment to earnings, charging order or third party debt order. Other options they have are just to sit on it or sell it to a debt buyer,

ferry

So in any scenario the OP gets hit with a CCJ? Where is Stepchange active in all this?

sourcrates

ferry said:

So in any scenario the OP gets hit with a CCJ? Where is Stepchange active in all this?

I don`t believe the OP was using Step change, they did mention Pay Plan though.

The vast majority of the time, creditors go with whatever the debt Charites propose to them, however contact (and payments it seems) can be a little slow at times between the two parties.

If a creditor want`s to take legal action, they can do so after your account defaults, regardless of anything else that may be going on, all the debt charities do is distribute your payment, they are not solicitors, so if you get taken to court, you are on your own my friend.

Thankfully, there are numerous sites that provide help with the legal process, however the system is still biased toward the claimant in many ways.

By far the majority of lenders will never take legal action, but there are some that will do so regardless of the circumstances.

PM22

I was given the option of returning the forms to Moneyboat OR the court…..you wouldn’t get that choice with a proper court form

i made sure I included my bipolar diagnosis on there and the fact that I was currently very very depressed. My SOA made for sad reading.

I think it was just a scare tactic but I actually don’t care if I get a ccj. I fight bipolar every day and I win. They can’t get £60 a month out of me unless the judge orders me to leave some bills unpaid 

fatbelly

You either return the forms to the claimant or the court depending on how you are responding. The notes explain this.

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/772444/n1c-eng.pdf

As you were admitting the claim and offering to pay in instalments you were correct to send it to the claimant. If you had sent it to the court, they would have had no duty with regard to the form, and would have binned it.

Let us know what you get next