The Pitfalls of Money Claim Online: Unravelling the Dark Side of Digital Justice

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There’s no denying that the digital world has changed the way we do things, speeding up and simplifying many aspects of our day-to-day lives. It’s also changed various legal processes, including claiming money that’s rightfully yours. Money Claim Online (MCOL) is a digital platform, provided by the government, that enables you to make claims against businesses and individuals online. Though it’s convenient, it’s not always the best option when you are owed money, and there are various pitfalls of Money Claim Online to be aware of.



The Main Pitfalls of Money Claim Online


  • MCOL’s Limited Jurisdiction – One of the main pitfalls of Money Claim Online is its limited jurisdiction, and the act that it only handles very specific claims. MCOL can be used for unpaid invoices, personal injury claims and small debts, but only those up to £100,000. If a claim is more complex – for example, if intellectual property or contract disputes are involved – MCOL is unable to handle the claim. MCOL only works well when the legal side of things is simple.


  • Difficulty Enforcing Judgements – Even if you win a claim and a judgement is made in your favour through MCOL, enforcing the judgement and recovering the owed money can be difficult. Defendants can still fail to comply with the court’s orders, which can lead to further legal proceedings and costs. There’s no guarantee that a defendant will pay, even with MCOL.


  • The Costs of MCOL – Though MCOL is a relatively affordable way to pursue a claim, compared to traditional court proceedings, it’s not free. There are various costs and fees associated with MCOL including court fees, legal costs and enforcement expenses, which can impact the overall cost of the claim.


  • Lack of Legal Knowledge and Expertise – MCOL operates within a specific framework of legal procedures, which can be complex and intimidating for those without legal expertise. Navigating the MCOL process – such as the court forms, legal terminology and documentation requirements – can be challenging and may lead to errors or omissions that jeopardise the success of the claim. There’s a lack of legal knowledge, expertise and guidance, which can lead to errors.


  • Risk of Incomplete Information – MCOL relies on the accuracy of the information provided by you when you initiate a claim, and there’s no one there to confirm or check the details. Inaccurate or incomplete information can result in delays, mistakes or even complete claim dismissal.


  • Everything’s Done Online – There are undeniable benefits to the digital nature of MCOL, and everything being online makes it quick, easy and convenient. But, this also leads to minimal support and guidance, and no ‘human’ element to the claims process. MCOL is a self-service platform, and support from a real person is hard to come by.


Sometimes, it’s best to pursue an unpaid debt using a debt collection agency. At Cobra Financial, we provide a wide range of debt collection services, all of which are focused on recovering funds that are rightfully yours, and doing so as quickly as possible. Get in touch to find out more.

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