How does a Third-Party Debt Order Work?
A Third-Party Debt Order is a method of legally enforcing a County Court Judgment by obtaining payment from a third party that owes money to your debtor. This approach is often used by creditors who know the debtor’s bank account details, or they are aware of a large contract that a debtor may have.
The major benefit of using a Third-Party Debt Order to enforce your debt is that you retain an element of surprise. The debtor will not know when you make the application, and they will not be notified until after you have served the third party with the Court Order. By the time the debtor is made aware of your application and Court Order, their bank account or funds held by a third party have already been frozen either in full or part.
Timing is crucial with Third-Party Debt Orders as funds are frozen on the day of receipt of the Order by the Third-Party, therefore if there are no funds available on that day, the application would fail.
If you would like further information on making a Third-Party Debt Order application, or for any other debt recovery matter, please contact Jodie Sumner on 0161 475 7606 or email jodie.sumner@sasdaniels.co.uk.
How does a Third-Party Debt Order Work?
A Third-Party Debt Order is a method of legally enforcing a County Court Judgment by obtaining payment from a third party that owes money to your debtor. This approach is often used by creditors who know the debtor’s bank account details, or they are aware of a large contract that a debtor may have.
The major benefit of using a Third-Party Debt Order to enforce your debt is that you retain an element of surprise. The debtor will not know when you make the application, and they will not be notified until after you have served the third party with the Court Order. By the time the debtor is made aware of your application and Court Order, their bank account or funds held by a third party have already been frozen either in full or part.
Timing is crucial with Third-Party Debt Orders as funds are frozen on the day of receipt of the Order by the Third-Party, therefore if there are no funds available on that day, the application would fail.
If you would like further information on making a Third-Party Debt Order application, or for any other debt recovery matter, please contact Jodie Sumner on 0161 475 7606 or email jodie.sumner@sasdaniels.co.uk.