CTAX - Bailiffs fee when debt adjusted

[G7980]

Hope I can explain this well enough.

Moved into property in 2015. It is the annexe of my parent's house. 

2015-2017 Paid Band A ctax in full for the annexe.

2017-2019 Was a full time student and granted exemption from Council Tax.

2019-2022 Had to pause full time education due to ill health and financial reasons. Buried head in sand and did nothing about paying ctax. Council took me to Court and eventually in late 2022 passed the account to bailiffs for the 3 years unpaid.

After one bailiff visit, agreed payment plan and have been paying on time every month.  Bailiff added one £235 visit fee, plus 7.5% for debt over £1500 (for each year), plus £75 compliance fee for each year of ctax owed.

Realised last month I could be entitled to a family annexe discount and single person discount. Applied to council for these, both discounts were granted and backdated to 2019 onwards.

This reduced the debts for ctax to just over £500 per year.

The Council confirm I have now paid ctax in full for all 3 years and the outstanding amount left is made up purely of the interest the bailiff added for the original debts being over £1500.

My argument is that as the debt has been adjusted to well below £1500 for each year,  I should not be paying this interest now.

Bailiff says the fee/interest was correct at the time it was added and is therefore owed in full.

Can anyone point me to legislation or guidance as to whether I should pay this interest to the bailiff?

 

 

 

[G7980]

Apologies, can't edit the above post. When I say interest, I  actually mean the added fee of 7.5% on debts over £1500.

[Andyorch]

Welcome tot he forum.

https://www.citizensadvice.org.uk/debt-and-money/action-your-creditor-can-take/bailiffs/how-bailiffs-should-treat-you/check-bailiffs-fees/

https://www.stepchange.org/debt-info/bailiffs/bailiffs-fees-and-costs.aspx

https://www.hceoa.org.uk/fees-charges/fees-charges-for-recovering-a-debt

 

[Bailiff Advice]

In the first instance, well done for managing to get the Family Annexe and Single Person discount and most importantly, getting the agreement from the council to 'back date' the discounts to 2019. 

When the enforcement company were instructed (in 2022) they were entitled to add the 7.5% uplift (on amounts over £1,500). They were within their rights to do so and it would not be for them to amend their account. Instead, they are instructed by the local authority and it is up to the LA to make any adjustments.