Interest Post Judgment

[hammyhound]

This is what surfaceagent mentioned in another post.

 

Further still Order 2(3)(a) of the 1991 Order states in relation to a judgment of any value (ie a judgment whether or not it is more than £5,000.00), that 'Interest shall not be payable under this Order where the relevant judgment is given in proceedings to recover money due under an agreement regulated by the Consumer Credit Act 1974'

 

The recovery of any post-judgment interest is thus restrained by [1] s69(4) of the 1984 Act and [2] the 1991 Order.

If this is true then why the hell are the solicitors in my claim charging 30.9% on a debt which I had as a storecard. Judgment is by instalments. No agreement attached to the POC so cant check. Have requested but their reply - it is in a lock up somewhere and will take weeks to get it.

 

HH

[DocH]

Did the Judge in his judgment order allow the creditor to continue to add contractual interest to the debt? Is there anywhere within the POC where the claimant has asked for the interest to be continued post judgement?

[DocH]

This is from Chapter 14 of the Consumer Credit Act 2006

 

17 Interest payable on judgment debts etc.

After section 130 of the 1974 Act insert—

“Interest

130A Interest payable on judgment debts etc.

(1) If the creditor or owner under a regulated agreement wants to be able to recover from the debtor or hirer post-judgment interest in connection with a sum that is required to be paid under a judgment given in

relation to the agreement (the ‘judgment sum’), he—

(a) after the giving of that judgment, shall give the debtor or hirer

a notice under this section (the ‘first required notice’); and

(b) after the giving of the first required notice, shall give the debtor

or hirer further notices under this section at intervals of not

more than six months.

(2) The debtor or hirer shall have no liability to pay post-judgment interest in connection with the judgment sum to the extent that the interest is calculated by reference to a period occurring before the day on which

he is given the first required notice.

 

(3) If the creditor or owner fails to give the debtor or hirer a notice under this section within the period of six months beginning with the day after the day on which such a notice was last given to the debtor or hirer, the debtor or hirer shall have no liability to pay post-judgment interest in connection with the judgment sum to the extent that the interest is calculated by reference to the whole or to a part of the period

which—

Consumer Credit Act 2006 (c.

14

)

13

(a) begins immediately after the end of that period of six months;

 

and

 

(b) ends at the end of the day on which the notice is given to the

 

debtor or hirer.

 

 

(4) The debtor or hirer shall have no liability to pay any sum in connection

with the preparation or the giving to him of a notice under this section.

(5) A notice under this section may be incorporated in a statement or other notice which the creditor or owner gives the debtor or hirer in relation to the agreement by virtue of another provision of this Act.

 

(6) Regulations may make provision about the form and content of notices under this section.

 

(7) This section does not apply in relation to post-judgment interest which is required to be paid by virtue of any of the following—

(a) section 4 of the Administration of Justice (Scotland) Act 1972;

 

 

(b) Article 127 of the Judgments Enforcement (Northern Ireland)

Order 1981;

 

© section 74 of the County Courts Act 1984.

 

(8 ) This section does not apply in relation to a non-commercial agreement or to a small agreement.

 

(9) In this section ‘post-judgment interest’ means interest to the extent calculated by reference to a period occurring after the giving of the judgment under which the judgment sum is required to be paid.”

Edited January 17, 2009 by DocH

[hammyhound]

Hi Doc,

 

Nothing on the judgment order mentions interest just the amount to be paid each month.

 

The POC of claim states interest accruing at the rate of 30.9% until payment!! As I said I cant check the interest on the CCA as I dont have it, it was not attached to the POC and the solicitors say it will take weeks to find it.

[DocH]

Hi HH,

 

On your Judgement for Claimant (after determination) order dated 24 Sep 08 it states 'You must pay the claimant £XXX for debt (and interest to date of judgement) and .....'

 

That statement I've highlighted may be of significance. It would seem to me to suggest that the Judge was only going to allow interest to be charged up until the date of the judgement. This would tie in with what surfaceagentx20 has said in that extract you posted earlier. It might be worth getting his opinion.

 

Obvously you still need to get hold of the CCA to see if the terms and conditions allow them to add post judgement contractual interest.