Get a loan with CCJs against you

If you want to take out a personal loan but have CCJs on your credit file, you may find it difficult getting a loan from a high street lender.

County Court Judgements (CCJs), are issued when people fail to pay a bill or repay money they have borrowed and the party who is owed the money has gone to court to enforce payment. A CCJ stays on the public record for six years from the date of judgement.

When a CCJ is issued, the debtor has the opportunity to pay the debt in full within one month of the date of judgment which will prevent the CCJ from being listed on the register. If the debtor pays up in full after this, the CCJ will remain on the register, but it will be marked as 'satisfied' (Certificate of Satisfaction). If the debt remains outstanding it will be shown as unsatisfied.

The CCJ register is administered  by Registry Trust Ltd, an independent organisation set up by the Lord Chancellor's Department

Their address is:

Registry Trust Ltd
153-157 Cleveland Street
London
W1T 6QW

Entries on the Register can only be removed by the court in light of additional evidence, and the circumstances for this are rare. The CCJ can only be annulled if it was wrong at the time it was entered or if it was assigned to the wrong person.

The Registry Trust supply details of the CCJ register to credit reference agencies who incorporate this data into credit reports.

A person's credit report will show the amount and date of the County Court Judgement; the name of the court where the judgement was given and the claim number  Details of CCJ will remain on a person's credit report for 6 years from the date it was issued.

A CCJ is a clear indication to a lender that the person has experienced previous financial difficulties and many lenders will be reluctant to offer that person credit. Statistically those who have got into problems before are likely to again in the future.

Fortunately, having a CCJ against your name does not prevent you from getting finance as there are a small number of lenders sympathetic to people with previous credit problems. If you know you have a CCJ you'll need to consider your loan applications carefully. It makes sense to apply to companies who are outwardly less rigid in their acceptance criteria. Some firms promote products as being suitable for 'people with poor credit' and you are more likely to get accepted for these than if you were to apply for a product which tops the best buy tables which will almost certainly be for the exclusive benefit of those with pristine credit histories. You will suffer in terms of interest charges which will be markedly higher with poor credit products, but providing you keep to the terms of the agreement and pay back what you borrow in full and on time, you'll find this will help to strengthen your credit profile for future applications should you need to borrow again.

Occasionally mistakes do occur so it's important to check the information on your credit report is accurate. It is possible that a CCJ may have been paid off, but could still show on your credit report as being unsatisfied. In this case you should apply to have your report amended.

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