The number of Personal CCJs issued for the year 2019 hit a record high. The level of CCJ’s issued against individuals is now double the figure of 8 years ago.
According to figures released by the Registry Trust, the new findings show households are struggling with paying their debts.
Data findings showed that claims against individuals rose by 30,138 to 1.15m for the year 2019.
This number of CCJ’s is double the number it was in 2012. The Registry Trust has stated that the number of Personal CCJ’s is also probably going to increase in the year 2020 too.
A CCj or County Court Judgment is a Court Order made for money owing. Once a person has a CCJ on their credit file, it can make it very difficult for them to obtain credit.
Mick McAteer, the chair of the Registry Trust commented on the figures. He said that they showed that a growing number of vulnerable households were facing severe financial strain. The increase comes despite low interest rates, which have reduced the cost of borrowing for most consumers.
“Low interest rates have cushioned the impact of debt levels on the typical household, but it conceals the fact that large numbers of more financially vulnerable consumers are facing real financial strain for a number of reasons,” McAteer said.
County Court Judgments are usually erased from the register if discharged within one month of issue.
Any person or Business can apply for a CCJ against a person for the non payment of debt. If the debt is not paid, it remains on the register for six years.
The figures released by the Registry Trust showed the average value of CCJ debts rose 5% to £1,506
The large number of Personal CCJs has seen growth in the Debt Collection and Enforcement industry. Unpaid CCJ levels have also increased. The options on how to enforce payment of a CCJ vary. These include High Court Enforcement and Charging Orders on debtors property.