Debt Recovery: what if I ignore my debt?

What happens if I ignore my debt?

If you do not respond to our attempts to contact you regarding your debt, it may be referred to a debt collection agency.

We may also obtain a County Court Judgement against you which allows us to recover the debt (and any additional costs) by the following means: -

Warrant of Execution

An enforcement agent will be instructed to remove belongings so that they may be sold at public auction to pay off what you owe; in this case, you will be liable for any additional fees or costs the enforcement agent incurs in taking this action.

Writ of Fieri Facias

This means that, if the amount you owe is over £600, the debt could be transferred to a High Court Enforcement Officer to seize goods to that value.

Charging Order

The outstanding debt is secured against a property that you own and is recovered from any profits made when that property is sold. In certain circumstances, an order can be sought from the courts to force you to sell the property so that recovery can be made.

Third Party Debt Order

This enables the council to obtain the debt from your bank account, or from directly from someone who owes you money.

Oral Examination

You can be ordered to attend court to disclose your financial circumstances and your failure to pay.

Attachment of Earnings or Benefits

Deductions can be made directly from your wages/benefits by direction to your employer/the DWP.

Bankruptcy

The Official Receiver will be initially appointed to realise your assets in order to pay your debts

Any County Court Judgement will affect your credit rating, making it difficult for you to obtain credit (i.e. bank cards, a mortgage, a loan, etc.) in future.