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  • FIRST POST
    • Megandots
    • By Megandots 11th May 17, 1:45 PM
    • 2Posts
    • 0Thanks
    Megandots
    DRO question
    • #1
    • 11th May 17, 1:45 PM
    DRO question 11th May 17 at 1:45 PM
    Hi, I'm new here. I have struggled with debt for many years. I successfully completed an IVA in Jan '16 but since then have just slipped back into debt again. I realised I needed help and asked my creditors (credit cards and catalogue) if they would accept reduced payments but none replied and now I can no longer pay the minimum monthly amount. I researched my options and spoke to Step change who discussed my options and we came to the opinion that a DRO would be the best bet so I went with that. Today I received my barcode to pay the 90 fee but before I go ahead I have a couple of questions as I want to get this right and not risk getting declined.

    Q1: Would my recent completion of my IVA (although now not even on the Insolvency register) have an effect on my DRO being accepted by the Insolvency service?
    Q2: My most recent spend on a credit card was the middle of April so would I be better waiting to pay the 90 fee?

    I am getting letters already from my creditors as I am not keeping up the minimum payments but my bigger worry would be that my DRO would be rejected then I wouldn't know where to go next.

    I hope someone can advise me as I cant get this wrong.
    Thanks in advance.
Page 1
    • sourcrates
    • By sourcrates 11th May 17, 1:55 PM
    • 10,547 Posts
    • 10,340 Thanks
    sourcrates
    • #2
    • 11th May 17, 1:55 PM
    • #2
    • 11th May 17, 1:55 PM
    Hi,

    If there's a chance of the DRO been rejected your intermediary would not submit it.
    It's there job to make the case as watertight as possible.

    As long as you have a reasonable explanation of why you got back into debt, it won't be an issue.

    Trust your intermediary !!!
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Legal advice see : http://legalbeagles.info/
  • National Debtline
    • #3
    • 11th May 17, 4:56 PM
    • #3
    • 11th May 17, 4:56 PM
    Hi Megandots

    Welcome to MSE. I would reiterate what Sourcates said, your intermediary is there to guide you and should have explained any risks they felt there were with submitting your application to the Insolvency Service.

    What I would add, to really make the DRO count make sure you now have a monthly budget you can stick to so you don’t slide back into debt again. You can complete a SOA here http://www.stoozing.com/calculator/soa.php. Remember you won’t be able to have another DRO for 6 years.

    Susie
    @Natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
    • Megandots
    • By Megandots 16th May 17, 6:38 PM
    • 2 Posts
    • 0 Thanks
    Megandots
    • #4
    • 16th May 17, 6:38 PM
    • #4
    • 16th May 17, 6:38 PM
    Many thanks for your replies it has put my mind at rest.
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