CL Finance is a trading name of Hoist Finance UK Limited (Company 08303007), a debt purchaser owned by Swedish financial services company Hoist Finance. Unlike standard debt collectors who work on behalf of creditors, CL Finance buys debts outright at a discount. This means they own your debt. Here’s what matters: CL Finance are NOT bailiffs. They can’t enter your home or take your belongings.
If you owe £6,000+ across multiple debts, an Individual Voluntary Arrangement (IVA) can stop CL Finance immediately and write off the remaining debt after 5-6 years.
Quick answers#
Can CL Finance send bailiffs? No. They’re debt purchasers, not bailiffs.
Are CL Finance legitimate? Yes. CL Finance is a trading name of Hoist Finance UK Limited (Company 08303007), FCA-authorised and owned by Sweden’s Hoist Finance.
Can an IVA stop CL Finance? Yes. Once approved, they must stop contact.
Who are CL Finance?#
CL Finance is a trading name of Hoist Finance UK Limited (Company 08303007), part of Hoist Finance AB, a Swedish financial services company listed on the Stockholm Stock Exchange. Hoist Finance specialises in purchasing and managing non-performing loans across Europe.
Company details:
- Registered name: Hoist Finance UK Limited
- Company number: 08303007
- Trading name: CL Finance
- Parent company: Hoist Finance AB (Sweden)
CL Finance purchases debt portfolios from banks, credit card companies, and utilities. They pay a fraction of the debt’s face value—typically 5-20p per £1—then collect the full amount from you.
Why is CL Finance contacting me?#
CL Finance contacts you because they own your debt. They purchased it from your original creditor.
This is why you might not recognise CL Finance’s name:
You had a credit card with Lloyds. You fell behind on payments. Lloyds wrote the debt off and sold it to CL Finance. CL Finance now owns the debt and is contacting you directly. You think “I don’t owe money to CL Finance, I owe Lloyds”—but Lloyds sold the debt, and CL Finance is now the legal owner.
Who sells debts to CL Finance:
- High street banks (credit cards, loans, overdrafts)
- Utility companies (gas, electricity, water)
- Telecoms providers (mobile phones, broadband)
- Catalogue and mail order companies
- Store cards
Check the original debt:
Every CL Finance letter must state the “original creditor”—the company you originally owed money to. If you’ve never heard of that creditor, or if you believe the debt is wrong, you have the right to dispute it and request proof.
Can CL Finance send bailiffs?#
No. CL Finance are debt purchasers, not bailiffs.
They have no legal power to enter your home or take your belongings unless they first obtain a County Court Judgment.
What CL Finance CAN do:
- Send letters and emails
- Call you (between 8am and 9pm)
- Report the debt to credit reference agencies
- Take you to court (see below)
What CL Finance CANNOT do:
- Force entry to your home
- Enter without your permission
- Take your belongings
- Clamp your vehicle
- Threaten you with immediate bailiff action
- Claim they’ll “seize your goods” without a court order
Can CL Finance take me to court?#
Yes—and as a debt purchaser, they’re likely to pursue court action.
CL Finance purchased your debt at a discount. If they can obtain a County Court Judgment, they can enforce through bailiffs and recover the full amount, making substantial profit.
The legal escalation process:
1. Pre-Action Protocol (30-day warning)
Before CL Finance can issue a court claim, they must follow the Pre-Action Protocol for Debt Claims. They’ll send a formal “Letter of Claim” giving you 30 days to respond.
2. County Court claim
If you don’t respond or arrange payment, CL Finance will instruct solicitors to issue a County Court claim. You’ll receive court papers (form N1) at your address.
3. County Court Judgment (CCJ)
If you don’t defend the claim, the court will enter a judgment against you. This is a County Court Judgment (CCJ), which:
- Stays on your credit file for 6 years
- Makes it nearly impossible to get credit, mortgages, or phone contracts
- Allows CL Finance to enforce through bailiffs
4. Enforcement after a CCJ
Once CL Finance has a CCJ, they can apply for:
- Attachment of Earnings Order: Your employer deducts money from your wages
- Charging Order: CL Finance secures the debt against your property (if you’re a homeowner)
- Warrant of Control: The court issues a warrant allowing actual bailiffs to seize goods
Don’t ignore court papers. If you receive a “Claim Form” (form N1), you have 14 days to respond. Ignoring it guarantees a CCJ.
Is the debt really yours?#
Before you pay CL Finance anything, verify the debt is actually yours.
Request proof under the Consumer Credit Act 1974:
If the debt is a credit agreement (credit card, loan, mobile phone contract), you have the right to request a copy of the original agreement under Section 77 or 78.
Write to CL Finance at the address provided on their letters.
Say:
“I’m writing regarding account reference [your reference number]. Under Section 77/78 of the Consumer Credit Act 1974, I request a true copy of the executed credit agreement for this debt. I also request a full breakdown of how the current balance has been calculated, including proof that you own this debt. I don’t acknowledge this debt until I receive proof.”
CL Finance has 12 working days to respond. If they can’t provide a valid agreement or proof of assignment (proof they own the debt), they can’t enforce the debt through the courts.
When is a debt statute-barred?
If you haven’t acknowledged a debt or made a payment in 6 years (England/Wales) or 5 years (Scotland), it might be statute-barred.
Statute-barred debts can’t be enforced through the courts. CL Finance can still ask you to pay, but they can’t take legal action.
Warning: If you make a payment (even £1) or acknowledge the debt in writing, the 6-year clock resets.
Will CL Finance accept a settlement?#
Yes—and as a debt purchaser, they’re often very willing to settle.
CL Finance purchased your debt for 5-20p per £1. This means they can accept settlements of 40-70% of the debt value and still make significant profit.
How to negotiate a settlement:
- Don’t offer first. Let CL Finance tell you what they want.
- Start lower. If they want 70%, offer 40-50%.
- Explain your circumstances. “I’ve been offered help from family, but they can only lend £X.”
- Get it in writing. Never pay until you have written confirmation that the settlement clears the debt in full and that CL Finance won’t sell the remaining balance to another collector.
- Pay via bank transfer and keep proof of payment.
How to stop CL Finance with an IVA#
An Individual Voluntary Arrangement (IVA) is a legally binding agreement between you and all your creditors (including CL Finance) to repay what you can afford over 5-6 years. At the end, any remaining debt is written off—typically 60-80%.
Why an IVA stops CL Finance:
Once your IVA is approved, all creditors—including CL Finance—must:
- Stop contacting you
- Stop legal action
- Freeze interest and charges
- Accept the monthly payment your Insolvency Practitioner distributes
What debts can be included?
All of the debts CL Finance purchases are unsecured, which means they’re includable in an IVA:
- Credit cards
- Personal loans
- Overdrafts
- Mobile phone contracts
- Catalogue debts
- Store cards
- Utility arrears
To qualify for an IVA, you typically need:
- £6,000+ in unsecured debt
- Two or more creditors
- A regular income (employed or self-employed)
- Spare income after essential bills (usually £80-100/month minimum)
Check if you qualify for an IVA
How to deal with CL Finance calls#
You have rights:
Request written communication only. You can tell CL Finance (verbally or in writing) that you only want to be contacted by post. They must comply under FCA rules. This stops the calls.
Don’t admit the debt until you’ve verified it. If you don’t recognise the debt, say: “I need to see proof of this debt in writing, including proof that you own it, before I can discuss it.”
Don’t make a payment just to make them go away. Paying even £1 can restart the statute-barred clock if the debt is over 6 years old.
If you’re vulnerable, tell them. If you have mental health problems, serious illness, disability, or are in crisis, declare this. CL Finance must follow FCA “Consumer Duty” rules and adjust their approach.
How to complain#
1. Complain directly
Write to CL Finance at the address provided on their letters.
Include your reference number, dates of the issue, what happened, and what you want.
They have 8 weeks to respond.
2. Financial Ombudsman Service
If they don’t respond or you’re not satisfied:
- Website: www.financial-ombudsman.org.uk
- Phone: 0800 023 4567
3. Financial Conduct Authority
If CL Finance has breached FCA rules:
- Website: www.fca.org.uk/consumers/report-firm
- Phone: 0800 111 6768
If you’re struggling with debt, use our free IVA calculator to see if you qualify.
Frequently Asked Questions#
Can CL Finance send bailiffs?#
No. They’re debt purchasers, not bailiffs. They need a County Court Judgment first.
Are CL Finance legitimate?#
Yes. CL Finance is a trading name of Hoist Finance UK Limited (Company 08303007), FCA-authorised and owned by Sweden’s Hoist Finance.
Why did CL Finance buy my debt?#
Your original creditor sold the debt to CL Finance at a discount (typically 5-20p per £1). CL Finance now owns the debt and will try to recover the full amount.
Will they take me to court?#
Yes, they can. As a debt purchaser, CL Finance is likely to pursue court action if you don’t pay or arrange a plan.
Can I stop them with an IVA?#
Yes. Check if you qualify
Will they accept a settlement?#
Yes. CL Finance typically accepts settlements of 40-70% because they purchased the debt at a huge discount. Get agreements in writing.
How long can they chase me?#
6 years in England/Wales, 5 years in Scotland.