Council Tax charge for payment....urgent advice please

[asr2]

Hi Guys,

 

I was served with a charge for payment yesterday by Stirling Park. it states Ihave 14 days to pay the outstanding sum of £763. I am not going to be able to pay this amount in the specified time scale, what do you think the outcome will be and what should I do.

 

I am in full time employment and already have one earnings arrestment which is due to expire April next year.

 

I am frantic with worry as I fear they will arrest my bank accounts and that will cause chaos to me.

 

Any advice thankfully welcome.

[Little Mermaid]

Hi asr2

 

If you are not disputing the debt, you need to write or email them to arrange an affordable payment plan. You need to be proactive as Stirling Park do not mess about.

 

Just make sure you agree to payments that you can afford.

[Crocdoc]

Number of options.

 

Bank account arrestment see the following

 

What happens when bank/building society accounts are arrested

 

From 22 April 2009 there is a protected minimum balance of £370 for a bank account. This basic amount cannot be arrested on or after that date.

71

If a creditor raises a court action or has a court order or warrant for a debt, s/he can ask a sheriff officer or messenger-at-arms to arrest money which the debtor has deposited with a financial institution such as a bank or building society.

72

A schedule of arrestment is served on the bank/building society straight away. This is normally served on the branch where the debtor has an account, but if the creditor does not know which branch this is, the schedule can be served on the head office and it is circulated around the branches until the debtor's account is found.

73

A schedule of arrestment gives the details of the debt plus court expenses, and interest due and the expenses of the arrestment. Usually the schedule qualifies the amount of the debt with the words more or less to allow for further interest and expenses which may occur (for example, it may be necessary for the creditor to take further court action).

74

Once a bank or building society has received a schedule of arrestment, the debtor's credit balances on that day are frozen.This means the bank will not pay out these funds to anyone. There is a protected minimum balance of £370 below which a deduction cannot be made. The normal practice is for the bank to transfer all arrested funds into a separate suspense account. If more funds come into the debtor's account after the day on which the arrestment was presented these should not be frozen and should be available. This has been established in case law.

 

Be careful with this, as they normally make application at the end of a month.

You can also appy to the court for Time to pay.

 

Alternatively, if they go for wages arrestment it will automatically become conjoined with the existing one. (In short, you will still pay the same amount as you do at the moment and the money taken will be divided between the two creditors.

[IdaInFife]

or you can apply to the courts direct for a time to pay order

 

work out what offer of payment you can afford and eclose an i and e sheet showing this and fill out the forms in this link:

 

http://www.consumeractiongroup.co.uk/forum/dealing-debt-scotland/185249-council-tax-arressment-attachment.html

 

and take it to the court

[IdaInFife]

links not working at mo as GLC updating the website

[asr2]

Hi Crocdoc,

 

many thanks for the response, and yours Ida, both much appreciated.

 

Am I right in thinking they cannot arrest my bank accounts until after the 14 days timer to pay has expired.

 

Reason being that will take the time frtame to the 29/10 and I get paid on the 27/10, so I coulkd take out moneies from my account and leave in only the threshold amount, or a minimal balance.

 

What would be the implications of this.

[IdaInFife]

yes you are right

 

none as they can only freeze whats in it but if you want get them time t pay order set up so they cannot do anything direct

 

ida x

[asr2]

Thanks again Ida,

 

Problem with a time to pay would be that I already had a payment plan that unfortunately I defaulted on, so I think it would be unlikely they would consider this.

 

if the account arrestment is not fruitful for them am I right in assumming they will then go for an earnings arrestment, or can they do both at the same time.

 

Also what would be the likelihood of them going for sequestration.

 

kind regards,

 

John

[IdaInFife]

time to pay goes theough the courts not stirling park

[Joemcm35]

A creditor can only go for sequestration where the debt is for at least £3,000 or a group of creditors come together to submit a joint petition for sequestration for debts totalling at least £3,000.