County Court Administration Order (CCAO)

An administration order is a way to deal with debt if you have a court judgement against you and you can't pay in full.

An administration order allows you to make affordable payments to cover all your debts when one or more of them is already subject to a Court order.

Swift do not currently offer administration orders. However we can advise you if you’re likely to meet the criteria and can offer you some free assistance in applying.

County Court Administration Order (CCAO)

Don’t prioritise debts with a CCJ to the detriment of your other debts and financial commitments.

If you’ve been taken to Court over a debt, a County Court judgment (CCJ) is issued formally detailing the terms you are required to repay it. However, the Court does not necessarily know your financial situation nor of other debts you must pay.

If you cannot afford to meet the terms the of the CCJ and you have other debts, you can explain this to the Court in applying for a CCAO.

If the CCAO is awarded, you make a single regular payment to your local Court who then divides this money between your creditors.

There is no upfront fee, but the court takes 10p of every £1 you repay.

Can I get an Administration Order?

You can ask the Court to make an administration order if:

  • You owe no more than £5,000 in total to at least 2 creditors; and
  • You have a CCJ entered against you by one of your creditors that you can’t pay in full.

Under the order, you must make regular payments from your income to the Court, which shares them among your creditors, in proportion to the amounts owed to each.
If you fail to maintain the payments, the Court may make an attachment of earnings order which instructs your employer to make deductions from your wages to be paid directly to the Court.

Administration Order Benefits

Creditor Protection

None of the creditors listed on the administration order can take further action against you without the Court’s permission.

One easy payment to make

The court deals with the creditors and shares out the payments for you.

Flexible

If your circumstances worsen, you can apply to the court to make reduced payments.

Stops all interest and charges

This applies to all debts included in the order.

Administration Order Considerations

Creditors can object

Creditors can put objections to the Court and ask to be left out of the order. The Court need not agree to this.

Failure to maintain payments

If you don’t keep up your payments, the order can be revoked and the creditors can pursue you again.

Risk of attachment of earnings order

If you don’t keep up your payments and the Court makes an attachment of earnings order, your employer will find out about your money troubles.

All unsecured debts to be included

You can’t be selective. You must treat all your unsecured creditors equally and include them all.

This type of order should not be confused with a company going into administration – it does not impact the running of any business you have; nor is it a form of insolvency.

Composition Order

A Composition Order is a variation to a CCAO where, instead of being ordered to repay the full amount of your debts, you will be ordered to only pay a percentage of what you owe, with the remaining amount being written off.

Further Information

Further information is available from the HM Courts and Tribunals Service in Form N270 notes for guidance, and form N92 Application for an administration order.

It is likely that you will need to complete the application yourself, more general information is available via the Money Advice Service an independent service, set up by Government.

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