Sue for money owed.
Through the small claims court.

Is it a debt the court can order them to pay?

To win, you need to show on the balance of probabilities that the money was a loan that had to be repaid, not a gift, and that it is now due. A written agreement helps but is not required: bank transfers with a reference such as "loan", messages discussing repayment, and any part payments are all evidence.

If the borrower says it was a gift, the court looks at everything said and done at the time. Messages where they acknowledged owing you, or repayments they made, are often decisive. Our private loans guide covers the evidence in more detail.

Time limits: the 6-year rule

• Under section 5 of the Limitation Act 1980, you generally have six years from the date the money became due to issue a claim.
• If there was no fixed repayment date (a loan "repayable on demand" or "pay me back when you can"), section 6 says time usually runs from when you make a written demand for repayment. That is one reason to put your demand in writing.
• If the borrower acknowledges the debt in writing and signs it, or makes a part payment, the six years can start again from that date (sections 29 and 30).

Limitation rules have exceptions. If the debt is close to six years old, consider getting advice before you rely on it.

The letter before action you must send first

Before you go to court, you are expected to send a letter before action. Which rules apply depends on who you are:

• You are an individual claiming from an individual (for example, a loan to a friend): follow the Practice Direction on Pre-Action Conduct. Set out how much is owed and why, ask for payment by a date, and give a reasonable time to respond. For a simple debt, 14 days is common.
• You are a business claiming from an individual (including a sole trader): the Pre-Action Protocol for Debt Claims applies. You must give at least 30 days to reply and include an information sheet and reply form. See our unpaid invoice claims page.

If you ignore these rules, the court can penalise you on costs or interest, even if you win.

How to file a small claim, step by step

1. Gather your evidence. Bank statements showing the transfers, messages or emails about the loan and repayment, any written acknowledgment, and a list of any repayments. Note the date the money became due.
2. Check they can pay. A judgment is only worth what you can enforce. If the borrower has no income or assets, think carefully before spending money on court fees.
3. Send the letter before action. Use the right pre-action rules for your situation (see above), keep a copy and proof of sending, and wait for the deadline to pass.
4. Issue the claim online. If the deadline in your letter passes without payment, you can issue the claim yourself through Money Claim Online or the GOV.UK "Make a money claim" service. You state a fixed sum, a short description of the claim and any interest, and pay the issue fee. The defendant needs an address for service in England or Wales.
5. Wait for the response. Once the claim is served, the defendant normally has 14 days to pay, admit, or file a defence, or 28 days in total if they file an acknowledgment of service first. If they do nothing, you can ask the court for judgment in default.
6. Free mediation if it is defended. Most defended small money claims are now referred to a free one-hour telephone session with the HMCTS Small Claims Mediation Service before a hearing is listed. See our guide to mandatory mediation.
7. Directions and the small claims track. If it does not settle, both sides complete a directions questionnaire and the court allocates the case. Claims up to £10,000 normally go to the small claims track, where the procedure is simpler and each side usually pays its own legal costs. The court then sets dates for exchanging documents and witness statements, and you pay the hearing fee.
8. The hearing. Small claims hearings are informal and often short. A district judge reads the papers, asks both sides questions and gives a decision, usually the same day. Our guide to what to expect at the hearing covers the day itself.
9. Judgment and enforcement. If you win and they still do not pay, the court has enforcement options such as a warrant of control or an attachment of earnings order. Each has its own fee.

Claiming interest on money owed

Unless your agreement set its own rate, you can ask the court for simple interest at 8% a year under section 69 of the County Courts Act 1984, usually from the date the money was due. You must claim it on the claim form, with the total to the date of issue and a daily rate going forward. The award is at the court’s discretion. The interest calculator works out both figures.

The separate Late Payment of Commercial Debts (Interest) Act 1998 rate only applies between businesses.

Small claims court fees for money owed

The issue fee is based on the total you claim, including interest, and is paid when you file. The hearing fee is only payable if the claim is defended and listed for a hearing. Use the court fee calculator for your exact figure.

The issue fee runs from £35 for a claim up to £300 to £455 for a claim of £10,000. If the case goes to a hearing there is a second fee, from £27 to £346 on the small claims track. See the full fee table by claim amount or use the court fee calculator for your exact figure.

Fees from the HMCTS fee list (EX50), last checked against gov.uk on 2026-10-19. Fees change, so check gov.uk before you pay. If you are on a low income you may qualify for Help with Fees (form EX160). Court fees you pay are normally added to the claim and can be ordered against the other side if you win.

Worked example

Related guides and tools

• Private loans guide: proving a loan and answering the "it was a gift" defence.
• Unpaid invoice claims: for businesses and freelancers owed money by clients.
• N1 claim form guide: if you file on paper instead of online.
• Enforcing a judgment: what to do if they still do not pay after you win.
• How to write a letter before claim: what the Practice Direction on Pre-Action Conduct expects you to include.
• Money Claim Online, step by step: filing the claim yourself and what each screen asks for.
• Court fee calculator: the issue and hearing fee for your exact claim amount.
• Statutory interest calculator: works out 8% simple interest and the daily rate for the claim form.
• What to expect at a small claims hearing: how the day runs and how to present your evidence.