If you’ve ever had a CCJ – or, to give it its proper name, a County Court Judgment – then you’ll be aware that they stay on your credit file for 6 years. 6 years with a CCJ on your credit file is a very long time – especially when they can have a huge knock on effect on your credit score and likelihood of being granted credit or borrowing money. However, don’t panic – there are a few ways that you can arrange for a CCJ removal to fix your credit score.
CCJ Removal Option 1: If you don’t owe the money (or there has been a mistake)
If you feel that you don’t owe the money, then you are entitled to ask the court to re-open the case. However, you must be able to demonstrate that you have a legal reason that you do not owe the money.
To do this, you need to contact the court and ask them to set aside the CCJ. You can do this by sending them a letter or using form N244.
Unfortunately, there’s usually a small fee for this. However, acting quickly means that you can prevent a lot of damage to your credit score. If you have a valid reason for not having to pay the money and the court agrees, the CCJ will be removed from the Registry of Judgments, Orders and Fines. This CCJ removal takes around three to four weeks to complete.
CCJ Removal Option 2: Pay the debt off within a month of the CCJ
If you pay off the debt you owe – in full – within one calendar month of the date of the CCJ, you’re entitled to have the CCJ removed.
And, as a little bonus, you only need to obtain a certificate from the court to say you’ve paid it and – just like that – your CCJ removal is done. It costs £15 to do, but surely that’s worth paying in exchange for no damage to your credit score?
Once your CCJ removal is complete, all credit agencies will be notified and your file updated. That means that the CCJ won’t show up if you apply for a loan, credit card or overdraft. Result.
CCJ Removal Option 3: Get the CCJ noted as ‘satisfied’
If you can’t pay off the outstanding debt within the first month, don’t give up hope. As soon as you’ve paid off your debt, you can apply to have the Register changed.
You’ll need a certificate (like in Option 2) that costs £15 and – just to be clear – you won’t get a full CCJ removal. However, the debt will be marked as paid (or, in finance lingo, the debt is satisfied).
Once this is done, the credit agencies will be informed and the record will show that you’ve paid it off in full. The CCJ will still be on your record for 6 years (unfortunately), but it’s much easier to obtain credit with some lenders if the CCJ has been satisfied.
If I can’t organise a CCJ removal, will I be able to get a loan?
Even if you’ve got a CCJ on your file, Bamboo will still consider you for a loan.
That’s because we know that there’s more to you than just your credit history.
It’s why we have created a way of making loans fairer for everyone. At Bamboo, we’ll do our best to find a loan that works for you, whatever your circumstances.
With our free loan quote service, you can check how likely you are to be approved for a Bamboo loan with no impact on your credit score.
And remember, over time, a bad credit loan from Bamboo may help you to improve your credit score. If you make your regular monthly payments on time, this will show that you are taking credit seriously and negate the effects of CCJ on your file.