1. Introduction

CPAG

1. Introduction

Normally, a creditor can only force a client to pay their debts if they take the correct legal action. This requires them to get a court order or a tribunal decision. The action such creditors take to enforce payment of their debt is referred to as diligence. However, some creditors have fast-track powers that do not require them to go to court to recover the debt, therefore the action they take is not classed as diligence.

Money can be taken from a client’s earnings without a creditor going to court or a tribunal but only in certain circumstances. These are:

•‘direct earnings attachment’ (DEA) – used by the DWP, HMRC and local authorities (see here);

•‘deductions from earnings order’ (DEO) – used by the Child Maintenance Service (see here).

Statutory moratorium

Note that a statutory moratorium does not stop a DEA or a DEO as they do not count as diligence.

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1. Introduction

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Outstanding Actions

Current Changes

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