Because the solicitors were aware that their “collection charges” were unlawful, in cases that were defended or were likely to go before a judge, they would often withdraw them  (this is from a letter written by Restons to Whitehaven County Court prior to a hearing in 2007):

Some judges were wise to bank’s practices if they did take the risk. This transcript from a hearing in Eastbourne County Court on another of HFC’s claims shows how the judge disallowed the “collection charge” out of hand:

It was indeed a percentage calculation, of 16.4%, added to the debt before the solicitors had even written one letter. However, most claims against debtors will have been undefended and the charges will have been literally “rubber stamped”, in addition to the costs allowed by the court.