Evicted but when should we enforce £20,000 debt?

Evicted but when should we enforce £20,000 debt?

9:27 AM, 24th January 2020, About 2 years ago 14

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We managed to evict our tenant after she was many months in arrears. We got a CCJ for eviction and a money demand for about £20,000. She did a moonlight flip but we traced her through a tracing agency. The CCJ was not registered with the Registry-Trust but by continuously chasing the Court we got the CCJ registered.

We understand that we have up to 6 years to do “Enforcement”. The tenant claimed that she has no savings, car or any wealth, however we know that she is now receiving over £5000 a month from a Company, but this is classified as Consultancy work and not a PAYE job.

I have 2 questions:
1) Are we best to leave enforcement for 4 or 5 years by which time she may have savings or be in a PAYE job. She was once in a £100,000 pa job until she was made redundant.
2) If we did enforcement now will the Judge possibly make monthly deductions, to pay us, from her “Consultancy” role or would that not happen as it is not a PAYE role?

Many thanks




by Chris @ Possession Friend

10:55 AM, 24th January 2020, About 2 years ago

John, we handle this kind of question - dilemma for Landlords quite often ( as I'm sure you can imagine ) you are already thinking along the right lines and I'd be happy to have an initial conversation and advice ( Pro-bono, as a member of P118, - so therefore I'm sure the site owners wouldn't object if I gave my details )

by Dave Driver

10:57 AM, 24th January 2020, About 2 years ago

If she is in a consultancy role she will be one of three things:

1. Self-employed (unlikely because companies won't usually accept this due to the possibility of her being classed as an employee)
2. Working through her own personal services company.
3. Working through an umbrella company.

For 2 and 3 she will almost certainly be an employee of some company.

Might be worth chasing the debt after all.

by terry sullivan

11:02 AM, 24th January 2020, About 2 years ago

enforce via debt collection agency?

by Paul Shears

11:15 AM, 24th January 2020, About 2 years ago

Reply to the comment left by Dave Driver at 24/01/2020 - 10:57
Interesting but possibly irrelevant point here is that from the tax man's point of view, if you work for an umbrella company it is irrelevant that the company is your paid employee.
I found this out as a result of a tiny genuine mistake on my part. A simple mental aberration.
It confused the hell out of the tax authorities for about a year until they found a member of staff who understood tax.
I am not sure if the umbrella company could be instructed effectively to make any additional deductions by a court. Obviously the "employee" could simply dismiss the service and move to another umbrella company.

by JohnCaversham

11:49 AM, 24th January 2020, About 2 years ago

Wow-when i read stories like these i wonder why we bother at all-i suggest you lobby your MP, write to your local paper & post your experience on SM etc, far far more dodgy tenants out there than dodgy landlords yet we have no recourse, are beaten with a stick lambasted as villains and our pockets raided-I've just had our yr end through! I will indeed be putting up the rents across our 17units and will no longer 'take a view' on prospective tenants who don't quite make the grade.
I wish you the very best of luck in chasing your rouge corrupt ex tenant...

by Peter Fredericks

12:04 PM, 24th January 2020, About 2 years ago

I suggest you try this:
Identify her PERSONAL bank account, the one from which she probably paid you rental or anything else. Your bank should be able to help you if you do not know this, as it can trace sort codes and account numbers for payments you receive. You or your agent may have her bank details from the tenancy application form anyway.
Apply to the County Court for a Third Party debt Order and get the Order served when you think she might have money in the account ; easier for salaried people as they have a set pay day. You might also be able to "freeze" the balance in the Company bank account if you can show that as a third party it has assets that belong to her. Timing is all sometimes with the TPDOs.

by John

16:38 PM, 24th January 2020, About 2 years ago

Reply to the comment left by Peter Fredericks at 24/01/2020 - 12:04
Thanks Peter, but I do already know her Bank details the problem is that she will have nothing like the £20,000 she owes in the account. However she will have the £5000 a month going in and almost £5000 a month going out of her account. So I wouldnt have thought it is worth taking it to Court at this stage?

by John

16:43 PM, 24th January 2020, About 2 years ago

Reply to the comment left by Chris Daniel at 24/01/2020 - 10:55
Thanks Chris,
I have clicked on the hyperlink you gave but it just takes me to your website. I cant find a phone number on it . You suggested we have a conversation but I need a phone number.

by John

16:47 PM, 24th January 2020, About 2 years ago

Reply to the comment left by Dave Driver at 24/01/2020 - 10:57
Thanks Dave but I am 90% sure that she is just self employed.
She is Irish and is acting as a "consultant" to an Irish Health organisation.

by Charles Anderson

16:49 PM, 24th January 2020, About 2 years ago

Reply to the comment left by John at 24/01/2020 - 16:38Use a debt recovery company that can undertake a “fact find”, some companies offer this service for around £30.. this will give you an idea of what accounts they hold and which ones are active.
Using a TPDO does not stop you from using other methods of enforcement if you only recover some money. Nor does it stop you from having another go at a later date .
If they’ve got assets worth seizing eg vehicles not on finance , then you could also get a writ of control from the High Court as well ..
A TPDO only costs £110 for the court fee (per order) if you are doing it yourself , so worth going for it !

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