Options when you cannot pay CCJ fees

I can't afford to pay CCJ court fees

It’s a challenging situation when your business is in financial difficulty and a creditor applies for a County Court Judgment (CCJ) against you, but when you can’t afford to pay the court fees the problem is further compounded. If you choose to dispute the debt in question you can apply to have it ‘set aside’ by the court, but the application may attract a fee of £255.

If you don’t have a legitimate reason to challenge the creditor’s application, and the court issues a CCJ, it can severely impact your business’ reputation and ability to secure borrowing in the future.

What are CCJ court fees?

When a creditor applies to the court to obtain a County Court Judgment for non-payment of a debt, various fees may apply that can worsen a challenging financial position to the point where the business has to close.

If you want to apply for the CCJ to be set aside, the application involves a court fee. In certain cases you may also have to pay some or all of your creditor’s court fees – if you’ve deliberately taken no action in relation to their letter of claim, for example.

It’s good to know there are ways of boosting your working capital or restructuring your business finances that allow you to pay court fees and escape further sanctions when you think there’s no hope, however.

What should I do if I can’t pay my CCJ court fees?

The first step is to seek advice from a licensed insolvency professional, who can assess the situation and formulate a plan that allows you to meet your liability for CCJ court fees. Licensed IPs focus on business rescue rather than closure and there may be a relatively simple solution to your problems.

If additional funding is the answer you may meet the eligibility requirements for a range of alternative finance options that could help, including invoice finance that provides regular cash injections each month.

Your business may also be eligible for other procedures that could help you pay your County Court Judgment court fees, including formal solutions if the business is approaching insolvency.

For more information about your options if you can’t pay CCJ court fees, or indeed any other insolvency or debt related issue, call our team of experts at Real Business Rescue. We have a wide network of offices around the country, and offer free same-day consultations so you’re never far away from independent professional advice.