General information, not legal advice.
After a parking charge has gone unpaid, the company may pass it to a debt collection agency, often owned by or linked to the parking company. The letter will add a fee, but that does not turn the charge into a court debt.
What a debt collector can and cannot do
- They can write and phone, and the company can start a court claim.
- They cannot send bailiffs or take your goods without a court judgment.
- They cannot demand money you do not owe, or threaten what they cannot do.
The fee
An additional debt recovery fee of up to £70 is still allowed under the proposed code, and a consultation on it is planned for 2027. The CMA wrote an open letter to parking firms on 16 July 2026 about late-payment and debt-collection fees. A letter is not a ruling, so do not assume any fee is unlawful: you can ask what the fee is for and challenge it.
What to do
- Do not ignore the letter. Note the date.
- Check whether you have already appealed or can still appeal. Check POPLA or IAS deadlines.
- Reply in writing, saying the charge is disputed. Ask for the original notice, the evidence and proof the company can claim from you (see Notice to Keeper and POFA).
- Keep copies of everything.
The letter generator has a debt collector reply.
If a Letter of Claim arrives
That is a court step. See Letter of Claim and court claims.
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