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6. What happens when my creditor takes me to court?
If you have not paid your debt, your creditor can take you to court.
How do I know if I am being taken to court?
You will know that court action is being taken if you receive a summons or an initial writ. The summons or initial writ should tell you who is taking you to court and how much they think you owe them. It should also tell you which court the action is being taken in and what they want the sheriff to do.
A money adviser or solicitor will be able to explain the court process. Information is also available from your local sheriff court or at www.scotcourts.gov.uk . You may have to go to court. |
What can the sheriff be asked to do?
Usually, the creditor will ask the sheriff to order you to pay the amount you owe. If the money that you owe is for a car or other item that you have bought on credit or hire purchase, your creditor may also ask the sheriff to order you to return the goods. If the money that you owe is for rent or mortgage payments the sheriff may be asked to order you to leave your home.
What can I do if I receive a summons or writ?
The summons or initial writ will ask you to advise the court what you intend to do by a specified date. Do not ignore this date.
You can:
- Pay the money you owe.
- Tell the court you owe the money, and ask for a time to pay direction or a time order under the Consumer Credit Act 1974. You will get the application form for a time to pay direction with the summons or initial writ. If the direction or order is granted the court will issue a document called a decree detailing how much you must pay and how often.
- Tell the court you do owe the money but do not ask for time to pay. The court will issue a document called a decree which will order you to pay the debt as well as interest and court expenses.
- Tell the court you don't agree you owe the money. A hearing date will then be set for the court to listen to you and your creditor before making a decision.
- Do nothing. The court will presume you do owe the money and will issue a decree which will order you to pay the debt as well as interest and court expenses.
It is important to get help and advice if you are not sure what to do. A money adviser or solicitor (who may charge you) can help you decide what to do. It is still not too late to speak to your creditor but don't delay. |
What are time to pay directions and time orders?
Time to pay directions and time orders under the Consumer Credit Act 1974 are formal ways of paying your debt over a longer period of time. You can make an application to the court for a time to pay direction when you receive a summons or an initial writ.
You can get more information about the Consumer Credit Act 1974 from a money adviser or from the Office of Fair Trading or a trading standards office. |
Your creditor can object to your application for time to pay. If this happens the sheriff will listen to you and your creditor at a hearing before deciding on your application. It is up to you to find out from the court if your offer has been accepted or objected to. If you are given formal time to pay, the creditor that took you to court can not take further action to recover what you owe unless you stop paying but your other creditors can.
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