Guidance

Apply for a third party debt order

Updated 26 March 2024

Before applying

Before applying for an order you must first read what to do if you have a judgment but the defendant has not paid. You can find out:

• what help is available to get your money after judgment – this is called ‘enforcing your judgment’ 
• which method of enforcing your judgment is best for your situation

If you have a legal issue you must ask for help from an advice agency, law centre or a solicitor.

If you receive any payments from the defendant (debtor) during enforcement proceedings, you must let the court know immediately. This is especially important if payment is made before a hearing is due to take place.

Third party debt order

A third party debt order is an order of the court that freezes money that might otherwise be paid to the defendant of a judgment. This order can be made against a: 

• person 
• organisation or institution – such as a bank or building society

The person or organisation holding the money is called the ‘third party’. A third party debt order will stop the defendant having access to the money until the court makes a decision. The person who owes the money is the ‘debtor’, and the person who is owed the money is the ‘creditor’.  

The money held by the third party must only be held for the debtor. For example, you cannot apply for a third party debt order against a joint bank account unless the money is owed by all the account holders.

When to apply

You can apply after you have a judgment. The judge will only make an order if the debtor has failed to pay either: 

• the amount of the judgment when it was due  
• one or more of the instalments due under the terms of the judgment 

It is important to consider when to make your application. The court order sent to the third party will only freeze money held in an account on the day it is received by (served on) the third party. For example, if the order is received before the debtor’s salary is paid into their account, you are likely to receive little or nothing. This is because the freeze will not be applied to any money paid into the account after the court’s order was received.

How to apply

You must complete form N349.

If you have a money claim issued in the Civil National Business Centre you must apply to the court that covers the debtor’s homes address. You can find the nearest court using the debtors address.

Application fee

There is a court fee that must be paid when you apply. The court will add the fee to the amount the debtor already owes, however they cannot refund the fee if your application is not successful. You can find out about civil and family court fees.

You can pay the fee either by:

• a debit or credit card payment – you must provide the court with your phone number and ask them to call you so that payment can be taken

• cheque or postal order – this must be made payable to ‘HM Courts and Tribunals Service’

If you cannot afford the fee, you may not have to pay it in full. You can find out how to apply for help with fees.

Where to send the application form and fee

You must send the completed form and any cheques or postal orders to the county court nearest to the debtor’s home address. You can find the nearest court using the debtors address.

What happens to your application

Court staff will issue your application and refer it to a judge. If the judge is satisfied with the information you have provided, they will make an interim third party debt order.  

The order will be sent to you and the third party by first class post. A copy is not sent to the debtor until 7 days after it has been sent to the third party. This is to make sure the third party ‘freezes’ the money before the debtor knows about the order.

If you want a third party debt order to reach the debtor on a certain date, you can serve it yourself. You must ask to serve the order yourself in the covering letter when you send your application to the court. You must then complete form N215 at least 2 days before the hearing. Alternatively, you can produce a completed N215 form at the hearing.  

The order will include a hearing date. The judge will decide whether the money that has been frozen should be paid to you. You must attend the hearing otherwise the judge may dismiss your application.  

If the judge is not satisfied with the information you have given in your application, the court will let you know.

What the third party must do

If the third party is not a bank or building society, they must let you and the court know if they are claiming to: 

• not owe the debtor any money 
• owe the debtor less than the amount being claimed in the interim order 

This must be done within 7 days of the interim order being served.  

If you want to dispute this, you must file your written evidence with the court at least 3 days before the hearing. This must be in the form of a witness statement. You must also send a copy to the third party and the debtor. Court staff will be able to help you with your written evidence.

If the third party is a bank or building society, they must carry out a search to identify all accounts held in the sole name of the debtor. This must be done within 7 days of being served with the interim order. For each account identified they must tell you and the court: 

• the account number 

• if the account is in credit 

If the account is in credit, they must tell you and the court: 

• whether the account balance is enough to cover the amount being claimed in the interim order 

• the account balance at the time the interim order was served if it does not cover the amount being claimed 

• whether the bank or building society can hold some of the credit balance to offset debit balances or other amounts 

The bank or building society may charge you a fee for making the search. This will be deducted from any money outstanding to the credit of the debtor.

If the debtor or third party object to your application

The debtor or third party can object to your application by filing written evidence of their objections. This must be done at least 3 days before the hearing. They must send copies to you and either the debtor or the third party.  

If they have raised objections, the judge will expect them to attend the hearing.  

The third party and the debtor may apply to the court for the hearing to take place at a court nearer to their home or place of business. If an application is made the court will let you know.

The debtor has applied for a hardship payment order

If the debtor is one person (not a firm, company or corporation) and the third party is a bank or building society, an application for a hardship payment order may be made.  

A hardship payment order is made by a judge. It tells the third party to release some of the money frozen to the debtor or another named person. A hardship payment order may release: 

• a single amount of money
• specific sums of money over a period of weeks until the hearing 

The judge will only make this order if the debtor can prove that they and their family cannot afford daily living expenses because of money being frozen.  

The debtor can make an application at any court. It does not have to be the court where you made your application. A judge will decide how and when you are told about the order.

At the hearing

The judge will consider: 

• your application 
• any other evidence filed by you, the third party or the debtor

If there is enough money, the final order will allow the third party to pay: 

• the judgment debt and costs 
• your costs for making the application 

If there is not enough money, the costs of making the application will be paid first and part of the judgment debt will remain outstanding.  

A copy of the order will be sent to you, the third party and the debtor.  

The third party will be told how much to pay you and the payment date. The court cannot order the third party to pay you an amount that is more than the amount originally frozen. If this is less than you are owed, you may want to consider other enforcement procedures to get back the rest of the money.