The Legal Actions subtab provides important information about any legal action taken against an applicant. This includes County Court Judgements (CCJs), insolvencies, and other debt remedies and their Scottish equivalents.
This section helps Loan Officers assess an applicant’s recent legal history. Because legal action is a last resort it can indicate serious repayment difficulties. On the other hand, someone leaving a Debt Remedy or Insolvency might be considered a fresh start, which could indicate lower risk as there are fewer debts outstanding.
Insolvencies
Insolvencies include bankruptcy, Individual Voluntary Arrangements (IVAs) / Trust Deeds in Scotland, and Debt Relief Orders (DROs). If any insolvency event has been recorded within the last six years, it will appear here, along with the following details:
Type of insolvency: The nature of the insolvency event (bankruptcy, IVA, DRO).
Date issued: When the Insolvency Order was made.
Date discharged: When the insolvency was legally concluded.
These records are kept for up to six years, offering insights into the applicant's past financial difficulties. Y
Read more about insolvencies.
County Court Judgements (CCJs)
The Legal subtab lists any County Court Judgements (CCJs) issued against the applicant within the last six years. This includes:
Total value of the CCJ: The amount awarded to the claimant.
Court name: Whether the judgement was issued by the County Court Business Centre (often involving creditors) or a local court (typically involving individual claimants).
Judgement and satisfaction dates: The dates when the judgement was issued and when it was satisfied (if applicable).
If a CCJ is marked as satisfied, it means the applicant has repaid the debt. However, a record of repaying a judgment is only recorded if the applicant has paid a fee to the court for a Letter of Satisfaction. If an applicant pays off a CCJ within 30 days of it being issued, the CCJ will no longer shown on the credit file.