You Cannot Pay a Judgment Against You
If a court has entered judgment against you and you cannot pay the full amount, you can apply to pay by instalments. Acting quickly protects you from more aggressive enforcement.
Quick Answer
If you cannot pay a county court judgment in full, apply immediately to pay by instalments using Form N245. The court can suspend enforcement while the application is decided. If you ignore the judgment, the creditor can use a warrant of control, attachment of earnings, or apply for a charging order against your property.
Full Explanation
When a court enters judgment against you for a sum of money, you are required to pay it — either immediately or by the date specified. If you cannot pay, the worst thing to do is ignore it. The judgment will be registered on the Register of Judgments, Orders and Fines, which damages your credit rating for six years, and the claimant can apply for various forms of enforcement without further notice.
The most immediate step available to you is to file Form N245 (Application to suspend a warrant and/or vary the rate of payment). This asks the court to accept a lower periodic payment in line with what you can genuinely afford. You must file a Statement of Means (also on the N245) setting out your income, essential expenditure, and other debts. The court fee is modest, and in some cases the fee can be remitted if you are on a low income.
Once an N245 is filed, any warrant of control (bailiff action) is suspended pending the hearing. A district judge will consider whether the proposed instalments are realistic. If the judge approves, enforcement is stayed so long as you keep to the instalment plan. If you default on instalments, the creditor can immediately resume enforcement.
The Charging Orders Act 1979 allows a creditor to apply for a charging order over your property (including your home) once judgment is entered, even if you are paying by instalments. A charging order does not force an immediate sale but means the debt is secured against the property and can be enforced on sale or through a separate order for sale application.
If the judgment debt is significant and you genuinely cannot pay, consider whether a Debt Relief Order (if debts under £30,000 and few assets), an Individual Voluntary Arrangement, or bankruptcy is more appropriate. Contact a free debt advice service — National Debtline or StepChange — before the judgment creditor takes further action.
Legal Basis
- §County Courts Act 1984, s.71 (variation of judgment)
- §CPR Part 70 (general enforcement) and CPR Part 73 (charging orders)
- §Charging Orders Act 1979
- §Attachment of Earnings Act 1971
What To Do
Act Within 30 Days of Judgment
A judgment paid in full within 30 days is not recorded on the public Register of Judgments. Even if you cannot pay in full, acting quickly demonstrates good faith and may deter the creditor from aggressive enforcement.
File Form N245 to Request Instalments
Complete Form N245 (available on GOV.UK) with a full Statement of Means. List all income, essential outgoings, and other debts. Propose a realistic monthly instalment. File at the court that issued the judgment and pay the fee (or apply for a fee remission on Form EX160).
Contact the Claimant Directly
Write to the claimant or their solicitor before or alongside the N245. Many creditors will agree to an instalment plan without a court hearing, particularly if you are transparent about your financial position. Get any agreement in writing.
Attend the Hearing if Listed
A district judge may decide the application on the papers or list a short hearing. Attend and bring evidence of your financial position (bank statements, payslips, benefit letters). The judge has wide discretion to set instalments at a level you can genuinely afford.
Get Free Debt Advice
Contact National Debtline (0808 808 4000) or StepChange (0800 138 1111) immediately. They can advise on whether an IVA, Debt Relief Order, or bankruptcy might be more appropriate than fighting individual judgment creditors.
Important Deadlines
Important Warnings
Ignoring a judgment leads to enforcement without further notice — bailiff visits, attachment of earnings, or a charging order over your home — act immediately.
A charging order can be made even while you are paying by instalments; it does not force a sale but secures the debt against your property.
If the judgment debt is over £5,000 and you are a homeowner, the creditor can apply to the court for an order for sale — although courts rarely grant these for consumer debts where you are cooperating.