What is a CCJ?

CCJ is a County Court Judgement and applies in England and Wales only. If you owe someone money and don't pay them, they can apply to the court for a CCJ against you.

How CCJs Work

If someone believes you owe them money, they can take you to court. If the court agrees, they issue a CCJ requiring you to pay. This stays on your credit file for six years, which can significantly impact your credit score.

Impact on Your Credit

A CCJ seriously damages your credit score. It makes it harder to get credit, mortgages, and can even affect employment and rental applications.

What to Do If You Get One

If you receive a CCJ claim, respond within 14 days. You can accept and pay, dispute the claim, or propose a payment plan. For more information on managing your credit, see our post on getting a CCJ off your credit report.

Removing a CCJ

If you pay within one month, you can apply to have the CCJ removed from your record. Otherwise, it stays for six years even if paid.

Conclusion

CCJs have serious implications for your financial life. Understanding them helps you avoid or deal with them effectively if they occur.