How to get a CCJ discharged

Receiving a County Court Judgment (CCJ) can be stressful for any business. It can damage your company’s credit profile, limit access to finance, and impact supplier and customer confidence. Understanding how a CCJ works, and more importantly, how to discharge it, is key to protecting your financial reputation and getting back on track. This guide walks you through what a CCJ means for a business, how to discharge or remove it, and what steps to take if it was issued in error.

What is a CCJ and how does it affect your business?

A County Court Judgment (CCJ) is a legal order made by a county court when a business (or individual) fails to repay a debt. It’s a common route used by creditors when previous repayment attempts have failed. For businesses, the effects of a CCJ can be significant:

• It is added to the Register of Judgments, Orders and Fines and appears on your business credit file.

• It can make it more difficult to secure funding, renew supplier terms, or agree trade credit.

• It may increase insurance premiums and reduce tendering opportunities.

• Repeated CCJs could raise insolvency concerns among lenders or partners.

In short, a CCJ damages commercial credibility. Acting quickly to resolve or challenge it is essential.

What does “discharged” mean in the context of a CCJ?

When a CCJ is discharged, it means the debt has been paid off, or resolved to the creditor’s satisfaction. This is also known as a satisfied judgment. A CCJ that has been satisfied still appears on your business credit file for six years, but has less negative impact than one left unpaid. It demonstrates that your business has taken responsibility and fulfilled its obligations, an important sign of reliability for lenders and trading partners.

The critical 30 day period

When a CCJ is issued against your business, the first 30 days are critical:

• If your business pays the full amount within 30 days of the judgment, the CCJ can be removed entirely from the public register and your business credit record. Once payment has been made, you’ll need to provide proof of payment from the creditor and send it to the court. The court will then update the record and confirm the CCJ’s removal.

• If payment is made after 30 days, the CCJ will remain visible on your record for six years from the date of the judgment, although it will be marked as “satisfied.”

This difference can significantly affect how lenders and suppliers view your company. Prompt payment within that first month can prevent long term credit damage. That’s why staying on top of your company’s credit profile is so important. With a Capitalise account, you receive real-time alerts whenever anything changes on your credit report, including if a CCJ or legal notice is registered against your business. Early warnings like these can help you act within that critical 30 day window and avoid lasting consequences.

Can you get rid of a CCJ?

Removing a CCJ depends on how and why it was issued. The two main routes are payment or legal challenge.

1. Pay the debt

If the CCJ was correctly issued, you can minimise its impact by paying the debt as soon as possible. Payment within 30 days of registration will remove the CCJ completely from both the public register and your credit file, this is the only way to fully ‘get rid of’ a correctly issued CCJ.

If payment is made after 30 days, the CCJ will remain visible on your credit record for six years from the date of judgment. After this period, it will be automatically removed, but during those six years it will be marked as “satisfied” to show that the debt has been paid. Once payment has been made, you can apply to the court for a Certificate of Satisfaction, which officially confirms that the debt has been settled. This helps to demonstrate your financial responsibility and can help improve your business’s credit reputation over time. If you cannot pay the debt in full, you should contact the creditor to agree to a manageable payment plan. Negotiation is always preferable to allowing the debt to escalate further.

2. Apply to have the CCJ set aside

In some cases, you may believe the CCJ was issued in error. In that case, you can apply to have it set aside. The grounds for contesting a CCJ are:

• You didn’t receive the original claim form or court documents.

• You have a valid defence, for example, the debt amount is incorrect or has already been paid.

To apply to have a CCJ set aside, you must submit an application to the County Court using form N244 under Part 13 of the Civil Procedure Rules (CPR). You can find full guidance and the application form on the UK Government website. If you have genuine grounds, it can result in the judgment being removed entirely from your record. 

How to apply for a certificate of satisfaction

If your business has paid the judgment, your next step should be to obtain a Certificate of Satisfaction. This certificate is issued by the court that made the judgment and provides proof to credit agencies and lenders that the debt has been settled. To obtain a certificate of satisfaction, you must provide proof of payment from the person or business you owed the debt to and send a request to the county court who issued the judgement. You will need to fill out an N443 form to do this, full details of which can be found on the government website: N443 form.

The impact of a discharged CCJ on your business credit

Even after a CCJ has been discharged, it can still appear on your business credit report for up to six years (unless removed within 30 days). Although any CCJ can lower your credit score, a “satisfied” judgment is generally viewed more positively, as it shows your business has taken responsibility and resolved its obligations. As you continue to trade responsibly and maintain timely payments, its impact will gradually lessen.

With Capitalise, you’ll receive instant alerts if your CCJ status changes or if any new legal filings are added. This helps you protect your credit profile and business reputation by allowing you to take action as soon as an event occurs. Removing a CCJ can also support your business credit score recovery. To find our more, you can read our recent article on how having a CCJ removed can impact your credit score.

Tips for managing debt and avoiding future CCJs

Strong financial management is the most effective way to prevent CCJs from arising in the future. Keeping close control of your business finances helps you spot potential issues early and take action before they escalate. Here are some key ways to manage debt and reduce the risk of future CCJs:

1. Maintain strong cash flow management.

Cash flow planning ensures your business has the funds available to meet its obligations on time. Regularly reviewing income and expenditure, forecasting future payments, and maintaining a financial buffer can prevent shortfalls that might otherwise lead to unpaid debts.

2. Communicate early with creditors.

If you anticipate difficulty meeting payment terms, contact your creditors as soon as possible. Open and honest communication allows you to negotiate revised payment schedules or temporary arrangements, helping to maintain trust and prevent legal proceedings.

3. Keep accurate and detailed financial records.

Maintaining clear records of invoices, payments, and correspondence supports transparency and helps to resolve disputes quickly if they arise. Accurate record-keeping also demonstrates sound financial management to lenders, investors, and suppliers.

4. Seek professional financial advice when needed.

If your business experiences cash flow pressures or growing debt, seek expert advice early. Accountants, financial advisors, and debt management specialists can help you assess your position, manage liabilities, and create a realistic repayment plan.

Moving forward after a CCJ discharge

Discharging a CCJ is a great step and will allow your business to start rebuilding its credit history. Once it's been resolved, make sure to continue to monitor your credit profile and ensure all information is accurate. With Capitalise, you can track your business credit health in real time and receive alerts whenever a CCJ or legal notice appears, helping you stay one step ahead. To strengthen your credit profile further, you can read our article on how to improve your business credit score. By acting quickly, communicating openly, and maintaining strong financial management, your business can recover from a CCJ and move forward with renewed confidence and stability.