Third party debt order: taking money from bank accounts

A third party debt order (formerly called a garnishee order) lets you take money directly from a debtor's bank account to pay a CCJ. It's one of the most direct forms of enforcement - if they have money in the bank, you can take it.

How does it work?

1. You apply to the court for an interim third party debt order
2. The court freezes the account immediately (the bank can't let them withdraw)
3. A hearing is held to decide whether to make the order final
4. If final, the bank pays you directly from the frozen funds

The debtor doesn't get a choice. The order is served on the bank, not on them (initially).

When to use a third party debt order

Ideal situations:

• You know which bank the debtor uses
• They have money in the account
• You want a lump sum payment
• Other enforcement has failed

Not suitable when:

• You don't know their bank
• The account is likely empty
• The money isn't or may not be theirs (joint account complications)
• They only receive protected benefits

The two-stage process

Stage 1: Interim order

You apply without telling the debtor. This is deliberately secret to prevent them moving money.

What happens:

• Court issues interim order
• Order is served on the bank
• Bank freezes the amount claimed (or whatever's in the account)
• Debtor is notified after the freeze

Cost: Court fee of £135 (added to the debt)

Stage 2: Final hearing

About 4 weeks later, a hearing is held. All parties can attend:

• You (the creditor)
• The debtor
• The bank

The court considers:

• Is there money in the account?
• Does it belong to the debtor?
• Would payment cause hardship?
• Are there good reasons not to make the order?

If the court makes a final order, the bank pays you the frozen amount.

What you need to know

You must know the bank

The order is served on a specific bank. You can't send orders to all banks hoping to find their account.

How to find out:

• Previous payments from them (check your records)
• Invoices or correspondence mentioning bank details
• Order to obtain information (court process to make them disclose)

The account might be empty

If there's no money when the order is served, you get nothing. The order only freezes what's there at that moment.

Joint accounts are complicated

If the account is in joint names:

• Only the debtor's share can be taken
• The court may refuse if it's unclear whose money it is
• The other account holder can object

Some money is protected

Courts may protect certain funds, particularly benefits like Universal Credit, from being taken. The exact amount protected depends on the debtor's circumstances.

How to apply

Form N349 - Application for a third party debt order

You'll need:

• CCJ details (case number, amount, date)
• Name and address of the bank/building society
• Debtor's account details (if known)
• Statement of how much is still owed

Submit to the court that made the CCJ.

Costs

The fee is added to the debt.

Timeline

What can go wrong?

Account is empty: If there's nothing in the account, you get nothing but still pay the fee.

Money is moved: If they move money between you applying and the order being served, it's gone. This is why the process is initially secret.

Joint account disputes: The other account holder claims the money is theirs, not the debtor's.

Hardship arguments: The debtor argues they need the money for essentials.

Wrong bank: If you guess the wrong bank, you've wasted £135.

Tips for success

Do your research: Only apply if you're confident they bank there and have money.

Time it well: If you know they receive payments on certain dates (salary, rental income), time your application accordingly.

Act fast: Once you have the information, apply immediately before they move money.

Consider multiple accounts: If they have accounts at different banks, you may need separate applications.

Comparison with other enforcement