According to new studies, the number of newly issued CCJ’s (county court judgements) has rose at an alarming rate over recent months. Experts suggest that the rise is further testament to the UK’s increasing debt problem.

For those not in the know, the courts issue county court judgements to borrowers on behalf of their creditors. Under usual circumstances, CCJ’s provide a means for lending and credit institutions to reclaim any lost monies owed to them, by making the debt known to the courts. In extreme circumstances, either due to an inability or blunt refusal to pay said debts, creditors may be entitled to reclaim their loss through bailiff action or even repossession of the persons assets (such as a home).

The number of active CCJ’s for the first half of 2007 is estimated to be at around the 900,000 mark, which represents a 30% rise faired against Q1 & 2 2006. Analysts suggest that there are a number of reasons to explain the rise although many believe it’s simply due to a change in approach by creditors. It is likely, that in light of our current financial condition (bad debt rising as a whole) creditors are less inclined to run the risk of a mis-payment transpiring into a bad debt, and as such are becoming more proactive towards late payers, for fear of not being paid at all.

Desperate times unfortunately call for desperate measures and indebted consumers (particularly over stretched homeowners) are likely to suffer as a result. The biggest concern for those who are genuinely unable to meet their creditor commitments is that such tactics can actually worsen their situation, forcing them to turn to more serious forms of debt control as a result.