CCJ advice please?

[sionnach67]

Hello.

I am currently on a DMP with Payplan, but unfortunately one of my creditors has rejected my offer and taken me to court. Subsequently I had a CCJ issued on the 20th ( The solicitor for the claimant apparantly didn't receive my claim form, so it was issued and I was told to pay the full amount (£6000).

I'm unable to do so, and have offered ( on an N245) to pay £138 ( which is the pro rata payment on my DMP) . I've never missed a payment to this creditor ( even before my financial world fell apart!) although this is half the amount they want.

 

Question is... what is likely to happen next? The solicitor for the claimant told me they would commence enforcement if I hadn't paid in full by today. My N245 was received by the court today ( special delivery)

 

I live in rented accommodation, have very little in the way of assets, apart from my car, but as a community worker, it is essential for my job.

 

Is it likely that bailiffs will call? Or will the N245 be considered before anything else happens? I did email the solicitor to tell him of the N245, but he has not responded.

 

Any thoughts or advice would be very gratefully received. Thank you.

[payingonlyencouragesthem]

Hello.

I am currently on a DMP with Payplan, but unfortunately one of my creditors has rejected my offer and taken me to court. Subsequently I had a CCJ issued on the 20th ( The solicitor for the claimant apparantly didn't receive my claim form, so it was issued and I was told to pay the full amount (£6000).

I'm unable to do so, and have offered ( on an N245) to pay £138 ( which is the pro rata payment on my DMP) . I've never missed a payment to this creditor ( even before my financial world fell apart!) although this is half the amount they want.

 

Question is... what is likely to happen next? The solicitor for the claimant told me they would commence enforcement if I hadn't paid in full by today. My N245 was received by the court today ( special delivery)

 

I live in rented accommodation, have very little in the way of assets, apart from my car, but as a community worker, it is essential for my job.

 

Is it likely that bailiffs will call? Or will the N245 be considered before anything else happens? I did email the solicitor to tell him of the N245, but he has not responded.

 

Any thoughts or advice would be very gratefully received. Thank you.

 

Have you considered bankruptcy? You would be allowed to keep your car (provided it's not high value eg>£5k) and all your debts would be vapourised. This is always worth some serious thought if you have no assets and no prospects of acquiring any in the next 12 mths.

[sionnach67]

Hi

 

I'd really like to avoid it if at all possible. I'm sure I'd lose my current accommodation if my landlord was aware of bankruptcy, and it would be virtually impossible to find anywhere else I'd guess. And in some respects, I acknowledge my debt and do feel I ought to pay it back if at all possible ( If everyone accepted my DMP I'd , theoretically, be debt free in less than 3 years)

 

Thank you for the suggestion though !

[AndyOrch]

Little bit severe Payingonly, bankruptcy for a 6k debt???

 

Sionnach you have done the correct course of action re the N245.Once judgment as been awarded you have 28 days to settle the

CCJ or submit your variation order as you have done.

The reason your Solicitor didnt receive your response (yes right!!!) is because you dont send it them you send it to the Court.

You could consider a set a side on this judgment for that very reason as you was misled by the Claimants Sols.

Alternatively I assume you have submitted a I&E with your N245 are you really comfortable to pay that amount per month?

 

So what happens next well there will be an hearing to discuss your application and you will again have an opportunity to provide a comfortable payment.

Once the DJ as agreed the amount the Claimant will be informed whether he is happy or night thats how much he gets until the CCJ is cleared.

As for the Sols saying they will commence enforcement the only enforcement is to apply for a Charging Order which they cant because you are in rented accommodation.

 

Glad you didnt pay the amount by today:-)

 

Regards

 

Andy

[Ell-enn]

It's unlikely there will be hearing after submitting an N245 (unless you have requested one) - usually the appplication goes before a judge and he makes a decision based on the info in the N245. The only enforcement action the creditor could take in your case is to apply for an attachment of earnings, however let's look on the bright side and assume the court will accept your offer of monthly payments which given your circumstances is more than likely.

[AndyOrch]

It's unlikely there will be hearing after submitting an N245 (unless you have requested one) - usually the appplication goes before a judge and he makes a decision based on the info in the N245. The only enforcement action the creditor could take in your case is to apply for an attachment of earnings, however let's look on the bright side and assume the court will accept your offer of monthly payments which given your circumstances is more than likely.

 

Depends whether the Claimant accepts the proposed offer (the DJ doesn't decide at this stage, he presents it to the Claimant) if not (and they dont sound too amenable from the tone above) that they would and if not it will require an hearing.

[sionnach67]

Thank you both very much for your responses. I was slightly dubious that the solicitor for the claimant said he never received my original response ( it was actually Payplan's legal document handling people who sent it to the solicitor, not me)

 

I think the claimant won't accept my offer ( they want £270 a month), so I guess than it will be a hearing. Does a hearing get moved to a local court? I did enclose my income and expenditure, plus details of my current payplan payments.

 

Is it safe (ish) to assume that I won't be getting a bailiff turning up in the meantime? As I said, I have very little in the way of assets ( even my tv is 16 years old and will be defunct by November ) But I guess the claimants don't know that!

 

Anyway... thank you both again, Its really helped to have a bit of clarity on what may come next.

S

[AndyOrch]

The Court is in receipt your N245 so relax for now.

 

Andy

[sionnach67]

Thank you Andy... I'll do my best to do that 'til I hear anymore

[Ganymede]

Little bit severe Payingonly, bankruptcy for a 6k debt???

 

Sionnach you have done the correct course of action re the N245.Once judgment as been awarded you have 28 days to settle the

CCJ or submit your variation order as you have done.

The reason your Solicitor didnt receive your response (yes right!!!) is because you dont send it them you send it to the Court.

You could consider a set a side on this judgment for that very reason as you was misled by the Claimants Sols.

Alternatively I assume you have submitted a I&E with your N245 are you really comfortable to pay that amount per month?

 

So what happens next well there will be an hearing to discuss your application and you will again have an opportunity to provide a comfortable payment.

Once the DJ as agreed the amount the Claimant will be informed whether he is happy or night thats how much he gets until the CCJ is cleared.

As for the Sols saying they will commence enforcement the only enforcement is to apply for a Charging Order which they cant because you are in rented accommodation.

 

Glad you didnt pay the amount by today:-)

 

Regards

 

Andy

 

 

 

Unless you are admitting to the debt and making an offer to pay by installments on the N9A....

[sionnach67]

I've only just seen this.... not sure what an N9A is?

 

I mentioned on another thread that I've heard nothing from the court, or anyone, about the N245 ( though it was received 2 weeks ago, special delivery) But I have found out that the creditor has rejected this months payment. I was under the impression that they couldn't actually reject a payment ( even if they reject an offer) Might this suggest that it has gone on to the enforcement stage? And that the N245 has been rejected?

 

Thank you for any opinions or ideas

S x

[AndyOrch]

N9A is part of the summons pack on initial reciept and how you plead.

 

Part Admission

 

On receipt of the claim form the defendant may admit the claim in full and send form N9A [Admission (specified amount)] together with an offer of payment.

No offer of payment made

 

If the defendant admits the claim but makes no offer of payment, the Claimant should apply for judgment, on form N205A or N225, with an order for payment of the unpaid balance of forthwith.

Offer of payment made

 

 

 

If the defendant needs time to pay they should complete the form N9A showing details of their means and either

• make an offer to pay either by instalments or
  
• specify the date when they can pay in full.
  

The Claimant will consider whether the offer is reasonable, based on the information on form N9A and any information they have already about the defendant's general lifestyle, including information already held.

Take into account the length of time it will take to clear the debt, and whether future liabilities will be paid on time.

In many cases the defendant will supply figures that are a combination of weekly, monthly or even quarterly payments. It is vital that you convert these amounts to the frequency the defendant is paid. If the defendant is paid monthly all expenses should be converted to monthly to provide an accurate figure of an average month’s income and expenditure. To convert weekly figures to monthly multiply by 4.33, not 4.

Accepting the offer

 

 

 

If the Claimant accepts the offer,

• complete the bottom part of form N205A [Notice of issue (specified amount)] or form N225 [Request for Judgment and reply to Admission (specified amount)] in the terms of the offer and
  
• send or take the form to the court.
  

Offer of payment unacceptable

 

The Claimant may have grounds for refusing the offer if the defendant's stated income is below what is shown in their accounts or tax returns and there is no reasonable explanation for the discrepancy, or you have other good evidence about their ability to pay.

The Claimant should always contact the defendant, preferably by telephone, and question and clarify the figures provided before replying to the court. Their objective is to try and get the defendant to make an increased offer of payment.

If the defendant agrees to make an increased offer then you should obtain their written consent.

Rejecting the offer of payment

 

If the Claimant decides to reject the offer they should complete the bottom part of form N205A [Notice of issue (specified amount)] or form N225 [Request for Judgment and reply to Admission (specified amount)]. Enter the rate you want the debtor to pay, with your reasons for objecting to their proposals.

Then, send or take form N205A or N225, and a copy of the N9A to the court.They will state the rate of payment they consider to be reasonable and include their reason for refusing the offer.

But unless they are confident they can convince the court that the defendant’s proposals are unreasonable, they should normally accept them. If they decide to reject the defendant's proposals, the court will determine the rate of payment.

 

 

 

 

 

Court action

 

Offer accepted

 

If they have accepted the defendant’s proposals for payment, a court officer will enter judgment within 10 days of your request, without the need for the Claimant to attend court, and notifythe Claimant and the defendant on form N30(1).

Offer rejected

 

If the claimant has rejected the proposals for payment, a court officer or a district judge will enter judgment and determine the rate and time of payment from the evidence provided. The court will notify all parties on form N30(2). Exceptionally, if there is insufficient information available to determine a rate of payment, the court will set the case down for hearing.

 

Challenging the rate of payment

 

Once the court has determined the rate of payment the claimant (or the defendant) may challenge the determination, but they should do so only if you believe the court has overlooked important evidence, or fresh evidence has come to light.

If the claimant have grounds to challenge the order, they should apply within 16 days, on form N244, for a re-determination of the rate of payment by a judge, without a hearing. The claimant must state the reasons for their application and the rate of payment they want. Attach sufficient copies for the court and for each defendant.

If the original determination was by a court officer, the district judge may determine the case without a hearing. Otherwise the court will list the case for hearing, when the claimant should attend and present their case.

 

Part Admission

 

If the defendant admits only part of your claim, the claimant should treat it as a defence even if the defendant does not actually deliver a formal defence for the balance.

In all cases, you should return form N225A to the court within 14 days rejecting the part admission. As appropriate the Claimant will await a hearing date or apply to have the defence struck out.

[sionnach67]

Ah, yes, thanks.

The N9 was theform the solicitor claimed was never received, hence the 'forthwith' judgement.

Blimey...'tis a complicated business isn't it

[sionnach67]

Update

I've found out today that , following the N245 process, the creditor has accepted my offer of £138.

 

Phew... that's such a relief, I have been so anxious about the prospect of DCA's and Bailliffs that I've hardly slept for a fortnight.

 

BUT, for fear of sounding a wee bit churlish, I can't help but feel rather aggrieved. I've been paying £138 for the last 9 months, they always rejected the offer, hence the CCJ. Can't help but think it was just a way to add on £1000 of charges and court costs and scar my credit score for years? Maybe I'm just being paranoid.

 

 

Anyway...... just wanted to say a huge thank you to CAG and it's incredibly knowledgable and supportive posters for helping me through it. You've been brilliant!

 

 

S x

[cups]

Hi

 

Think you could be right about the Claimant, seems a rather pointless thing to take you to court if you have no assets for them to try and secure against the debt.

 

At least it is over though and worked out for you in the end.

 

Cups x

[sionnach67]

Indeed, at least it's over for now, thank you cups x

[Ell-enn]

It's unfortunate about the court costs, but the good news is you get to pay what you can afford - well done

[sionnach67]

Thank you Ell-en . Yes, absolutely ,I shall focus on the good news aspect and have a good nights sleep uninterrupted by bailliffy dreams:-)

[AndyOrch]

Delighted its been resolved to your satisfaction Sionn.

 

Regards

 

Andy

[sionnach67]

Thank you Andy... your advice and calming influence were very much appreciated