Debt Management. In our last ‘Blog’ we discussed the first stage of solving debt problems and trying to work with your creditors, this week we are going to look at the next stage, what happens when either you ignore them or they won’t play ball!
Creditors have the legal right to recover monies owed through the courts, these are the county court, not the criminal court, a big difference. If a creditor wishes to do this they have to obtain a County Court Judgment (C.C.J.) to do this they have to apply to the court, pay a fee, then ask the court to issue the summons, these all come out of St Katherine’s House in Northampton.
DO NOT IGNORE THIS – Firstly acknowledge receipt and ask for the 28 days to decide if you are accepting the Debt or Contesting it, all or in part, the 28 days gives you time to prepare your case. You will feel better as you are taking your first steps in debt management.
Debt Management – Professional advice
Seek professional advice from a Debt Management company such as Financial Vision Partnership or from the charitable sector, the former will do this all for you the latter will advise you what to do.
You do get what you pay for professional advice may cost, but will save you a lot more in the long run. Would you buy a house or sort out a divorce utilising a charitable organisation? No you want to make sure everything is done for you and that you have redress if things go wrong, try suing the C.A.B. Debt Management companies and Insolvency Practitioners are professional and are regulated by the Financial Conduct Authority.
Debt Management- Buy yourself some time
Consider putting in a Statutory Access Request (S.A.R.) Google this it may give you more time and it may even demonstrate that the Debt is un-enforceable.
One you get to court put your case clearly as to why you feel the debt is not yours the Judge does not what to hear a history of events just facts.
If you admit the debt complete the application request to pay by monthly instalments and fill in the Income & Expenditure the court provide, if the creditor does not accept your proposal it will go back before a Judge for a decision.
O.K. so you have a C.C.J. not the end of the world, but you must now pay it.
Don’t pay it and the creditor will ask the court to enforce it, this is when you will become acquainted with:
A Court Bailiff
A Private Bailiff
Immediate Advice -never let a Bailiff into your house or allow him to gain access.
They have no legal right of entry – Call the Police if they will not go away.
Get Professional Advice.
Next Blog will be ‘ How to Deal with Bailiffs’ in greater detail.