What is a Third Party Debt Order?

A Third Party Debt Order works by allowing the creditor to take money directly from money owed to the debtor, bypassing the debtor.

TPDOs will normally be taken out on the bank or building society of the debtor. They can, however, also be taken out on a customer of the debtor where they are due to make a payment to the debtor. A TPDO was previously known as a ‘Garnishee Order’.

There are costs associated with issuing a TPDO that are levied by the County Court / HM Courts and Tribunals Service. All of the costs will be added to the debt. A TPDO cannot be considered until after a judgment (for example a County Court Judgment often known as a ‘CCJ’) has been granted and not complied with. A TPDO is one of the enforcement options that DCS may recommend to a client.

For further information see leaflet EX325 published by HM Courts & Tribunals Service [link to .pdf].