Hi Michelle

Welcome to posting on the Fool.

If you have a clear, preferably in writing, agreement to pay off the debt weekly, and have complied with your side of the undertaking, then it sounds to me like they are trying it on. A £40 debt hardly sounds like it would be worth their while going to court for, and if you have been paying it off in a reasonable manner I would have thought a court would be more annoyed with them than you.

But you will get much better advice over on the Dealing with Debt board, they are experts on all things to do with debt. You could either just post a link on that board to this post, or repost there in which case you might add a bit about form of the agreement to pay off weekly, and whether you had fully complied with the agreement.

Link to Dealing with Debt board: http://boards.fool.co.uk/Messages.asp?bid=50079

Rik