How to Pay a County Court Judgment in Instalments

If you’ve got a County Court Judgment (CCJ) and can’t pay the whole amount at once, no need to stress. There are ways to handle the debt and set up a plan for paying in smaller amounts. Here’s what to do:

Income and Expenditure with Pro-rata Split Calculator

Utilise the Johnny Debt Income and Expenditure Form to figure out the amount you can reasonably pay to each creditor through a pro rata split. A pro-rata split ensures fair distribution of available funds among creditors based on the proportion of debt owed to each. It avoids favouring one creditor over another, promoting transparency and fairness in debt repayment. This method reflects a responsible approach to managing financial obligations, treating all creditors equitably. Now you will know how much you can afford to pay the creditor who has issued you with a CCJ.

Which Court Forms to Use When Responding to a County Court Claim?

Court Form	When to use it
N9A	If you respond to the claim within 14 days of receiving it
N245	If you miss the deadline to respond to the claim

Take swift action: Time is crucial. When you receive a CCJ, respond promptly—ideally within 14 days—to acknowledge the debt and express your intent to pay. This shows your commitment to resolving the issue and could impact the court’s decision on payment arrangements.

Communicate with the creditor: Reach out directly to discuss your financial situation and propose a realistic payment plan. Clearly explain your inability to pay the full amount and suggest a monthly instalment that you can afford. Open communication may lead to a mutually agreeable solution.

Use Court Forms N9A which is the response form included with your CCJ or Court Form N245: If the creditor is unresponsive, formally apply for a variation order through the court. For responses within 14 days, use Form N9A to admit the debt and propose a payment plan. For responses after the 14-day deadline or to modify an existing plan, use Form N245.

Provide Financial Information: When submitting either form, provide accurate details about your income, expenses, and assets. This helps the court or creditor assess your financial situation for a realistic payment plan. At Johnny Debt we have found that enclosing the income and expenditure as well as additional evidence has proven to be very useful in getting favourable results. Consider also medical evidence or anything else that you consider may be useful for your case.

Seek Debt Advice: If managing your finances and negotiating terms is challenging, consult a debt advisor. They offer impartial advice, aid in budgeting, and assist in communication with creditors or the court. Perhaps your local CAB may be able to assist you?

Example of Paying a CCJ in Instalments

In the above example, you will see the sum of £2,132.94 can be paid by instalments of £1.00 per month. Now that you have achieved this, make sure that you set up a standing order to make payment to the creditor, NEVER miss a payment!

Remember, acknowledging the debt and taking proactive steps can help you navigate the situation and avoid further complications.#johnnydebt