Advice on Arrestment

[Jen2603]

Hi,

I was recently verbally threatened with a bank arrestment by a sherriff officer in respect of council tax arrears, I have written to the council to make an arrangement but to date have no had a response -this was about two weeks ago. They have cashed the cheque I sent so I know they have received my letter.

 

I have just tried to use my account but cannot withdraw funds or use my card, although there is a credit balance.

 

I am concerned that my account may have been arrested. If it has does the arrestment only apply to the funds that are in the account on the date of the arrestment or does it mean that all funds that go into the account from now on will be taken until the debt is paid.

 

My wages are due in on Friday and I have no money. I am in effect destitute as I will be unable to pay any of my bills or live. It's too late to stop my pay going in. Any suggestions?

[blueda]

Hi Jen, your wages have not been arrested, but your account has been blocked from your use, you can pay money in but cannot take it out, tou now have to contact the sheriff officers and make an arrangement to pay them an amount of money before they will un block your bank account.

[Jen2603]

Hi,

Thanks for that. So is the situation basically that they can refuse access to my account unless I hand over my full wages when they go in tommorrow, not just the balance that is in the account today?

[blueda]

Phone the company tomorrow, be polite and negotiate a sum of money that you can pay to them, you cannot afford to pay your full wage after all, they are going to demand a payment from your account or cash if you can provide it before they will agree to un block your account, i have been there before and unfortunately they have the power to do this.

[Joemcm35]

Bank Arrestment

 

Only funds in excess of £370 which are in the bank at the date & time of arrestment are frozen.

 

The £370 is the "Protected Minimum Balance" and nothing below that amount can be arrested.

 

For example, bank account is arrested 29/10/09 at 4pm; amount in account is £500; only £130 can be arrested. Therefore the debtor can access the £370.

 

Future funds which are paid into that account are unaffected unless further bank arrestments are served at the bank.

 

I would recommend that you should (1) change your bank account to avoid further possible arrestments (2) telephone the council to confirm that an arrangement is acceptable.

 

Should you have problems with your bank or the council then you should contact a money advisor at CAB or local council. Check the following link to find a local money advisor:

http://www.moneyadvicescotland.org.u...ind_agency.php

[Jen2603]

Thanks Joe -that is a huge weight off my mind! I've no objection at all to paying what I owe and only a small part of the balance is disputed. Provided I can access my account and pay my bills etc when the wages arrive I'm happy to come to an arrangement. My worry was that all my payments would bounce and the council would refuse to release any of my funds at all and keep taking all funds paid in until the debt was paid. As they've gone into my account and found a grand total of £32:68 hopefully they'll realise I'm not hoarding money and refusing to pay -I'm just a bit behind on payments.

 

I'm in the process of opening a new account so hopefully things will be fine next month and I'll get onto the council shortly to check the arrangements OK.

 

Thanks again for your response.