Debt Relief Orders (DRO) - Information & help thread

immoral_angeluk

pauli wrote: »

I live with my fiance but the tenancy agreement and bills are all in his name, although we go 50/50 on everything, now this is fine for the DMP as they don't need any evidence of how muich your rent and bills are, they just take your word for it, but with a Debt relief order would they need actual proof of how much i pay for things like gas and electric?

They won't need proof no, they just need to know the contribution you make to the household in as much detail as possible to ensure your financial statement is accurate.

Also I am in arrears with council tax from a previous address, council tax couldn't be included in my debt management plan as it's an essential service - i am assuming the same applied with a DRO, in which case can the amount i am paying each month on my council tax arrears be taken into account as part of my normal expenses?

Thanks very much

Council tax arrears are included in a DRO so on the financial statement you should put your current bill amount in your expenditure, and the old council tax arrears as a debt in your DRO and would count towards the 15k limit too.

sarah1773

Hi Pauli

I was also on a DMP and advised to apply for a DRO, I have recently sent all the paperwork off to do this.

You do not usually need proof of your expenditure, just written proof of your income and debts. I haven't had to provide proof of any bills though I can't remember if I had to send a copy of the tenancy agreement or not-I don't think I did. Even if you had to, if it is just in your fiances name, it shouldn't matter as it will be noted that you contribute half towards it.

I am not too sure about your council tax arrears, I'm sure I read in the information that council tax debts can be included in a DRO.

Hope that helps a bit, I'm sure someone with a lot more knowledge than me will be along soon to clarify.

sarah1773

Immoral Angel can you advise me on something please - do I apply for a basic bank account now in case my current one gets closed if my DRO application is successful? Or do I wait until the actual application has gone through? I have seen that there is a Co-op Cashminder but some of my debts are with the Co-op and not sure they would give me one? Is there one you could suggest?
Thanks hope you can help

immoral_angeluk

sarah1773 wrote: »

Immoral Angel can you advise me on something please - do I apply for a basic bank account now in case my current one gets closed if my DRO application is successful? Or do I wait until the actual application has gone through? I have seen that there is a Co-op Cashminder but some of my debts are with the Co-op and not sure they would give me one? Is there one you could suggest?
Thanks hope you can help

A DRO shouldn't have any effect on your bank account and is not frozen by the insolency service. The only way it would be affected is if the bank credit checks you and sees your credit file has worsened due to the DRO, which puts you out of their criteria for holding that account, but it's not something I've come across before. Unless you have a premium account or one with high benefits that stipulates you have to have an excellent credit rating then personally I wouldn't worry about it.

Smart_Mart

Can I ask you a question too, Immoral Angel?

I owe £916 council tax arrears and am in the process of sorting out a DRO through the CCCS. Unfortunately, the bailiffs came around this morning and look likely to want the full amount very shortly. I sent an I & E form to them recently offering £50 a month and they wrote back stating it was £141 a month or nothing.

Two points. Firstly, he mentioned to me this morning saying that he will consider my plight but that the office will probably take it "to committal" as I have no realistic assets ( I told him I have no assets....which is true.) Secondly, can I hold out for payment and include it in the DRO because surely if I settle him up, I am preferring him as a creditor.

I am just waiting for letters from a few of my creditors with the balances of my account to send off to the CCCS.

immoral_angeluk

Smart_Mart wrote: »

Can I ask you a question too, Immoral Angel?

I owe £916 council tax arrears and am in the process of sorting out a DRO through the CCCS. Unfortunately, the bailiffs came around this morning and look likely to want the full amount very shortly. I sent an I & E form to them recently offering £50 a month and they wrote back stating it was £141 a month or nothing.

Two points. Firstly, he mentioned to me this morning saying that he will consider my plight but that the office will probably take it "to committal" as I have no realistic assets ( I told him I have no assets....which is true.) Secondly, can I hold out for payment and include it in the DRO because surely if I settle him up, I am preferring him as a creditor.

I am just waiting for letters from a few of my creditors with the balances of my account to send off to the CCCS.

Has he gained peaceful entry or gotten walking possession? Have you told them you are going for a debt relief order? The council tax arrears would definitely be included. You could always try contacting the council involved and explain you are waiting for a DRO. How long are you expecting it to take?

Smart_Mart

immoral_angeluk wrote: »

Has he gained peaceful entry or gotten walking possession? Have you told them you are going for a debt relief order? The council tax arrears would definitely be included. You could always try contacting the council involved and explain you are waiting for a DRO. How long are you expecting it to take?

Hi there, blimey that was quick! :eek:

Thanks for your reply. In order of questions.... no he's not gained peaceful entry or walking possession and he doesn't know I'm going for a debt relief order. Regarding the council, I'll have a try but last time I rang to discuss it, they said it was in the hands of the bailiffs now and I'd have to discuss with him.

How long will it take? I reckon I'll have all the statement letters within a week, the money will be ready by about the 20th as well so it's down to the CCCS as to how long they take. I've got my credit report ready so maybe 4-5 weeks, I suppose.

immoral_angeluk

The council are talking rubbish, they can call the bailiffs off at any time but often they just pass the buck, so to speak. I'd write a letter to the council explaining the situation and that you are waiting for a DRO, and CC it to the bailiffs. If you liked you could offer then a token payment of x a week to prevent any further visits to your home but it's up to you. Whatever you do just don't let them in, although depending on the warrant they may have powers to break in to seize goods BUT hopefully writing a letter to them and the council should put a hold on action until such point as you've done your DRO.

It may be worth contacting the court and seeing if you can apply to have the warrant suspended pending your DRO also.

Smart_Mart

Thanks Immoral Angel, it's much appreciated....:T

The only thing I worry about is him breaking in, that concerns me.:(

immoral_angeluk

Smart_Mart wrote: »

Thanks Immoral Angel, it's much appreciated....:T

The only thing I worry about is him breaking in, that concerns me.:(

Which is why you should not ignore it and do everything in your power to placate them until the DRO goes through.