CCJ
ENFORCEMENT
If a debtor defaults on a CCJ, (County Court Judgement) the creditor may apply
for a charging order, which would secure the debt on a property. Creditors can
also apply for an attachment of earnings which would order the debtor's employer
to deduct monies from their salary and send them to the court. A Third Party
Debt order would oblige a third party who holds money belonging to the debtor
(for example a bank) to pay the outstanding CCJ. A bailiff can also be appointed to
collect the debt. A bailiff is an official of the court and has the power to
seize goods and sell them at auction to settle a debt.
Once a CCJ has been entered it is recorded by credit reference agencies, which
will impact negatively on an debtor's credit rating. This will make it
difficult to obtain credit or finance for a period of at least six years.
If regular payments to the court are being made this is recorded on the credit
file and goes some to way to lessen the negative credit rating impact. Once the
full amount owed is repaid the CCJ is marked as 'satisfied' but remains on file.
The subject of a CCJ which is satisfied within 28 days of being recorded can ask
the agency to remove the entry altogether.
Bailiffs
There are more than
one type of bailiff and they each have different powers. Which one you use
depends on what type of debt you have and in which court the judgment was
awarded.
Charging Orders
These are usually
effective for people who have assets. A charging order on a property is also
effective with members of the general public. With commercial debts you can can
ask the court to divert funds owed to your debtor by his creditors.
Attachment Of
Earnings
Also effective
against the general public.
Garnishee Order
You can ask the
court for an order to debit your debtors bank account.
Oral Examination
Not really a method
of enforcement but it can force a debtor into court to explain why they haven't
paid the judgment. If the debtor does not turn up for the examination it is
possible that they may be arrested and taken to prison for contempt of court.
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