Debt Relief Orders (DRO) - Information & help thread

Dizzymum_3

HI DD

Total income will be 991.01 month / 228.69 week

this is income support 278.64 month / 64.30 week
child tax credit 395.16 month / 91.19 week
child benefit 143.87 month / 33.20 week

plus my sons NON-dependant contribution 173.34 month / 40.00 week

at the moment i recieve 42.34 a week income support as they are deducting
21.96 a week for social fund loan. i was told to do SOA on full benefit as no deductions would be taken after DRO .

hope i havent confused you

Thank you

debt_doctor

Hi,

It is very difficult to answer because the fact is, nobody knows ! My feeling is that the creditor could well object and you could be the first person with a DRRO !

They could argue that you have assets over £300, you could argue they are essential goods. If you lose the argument your order would be revoked and you would lose your £ 90.

I asked a similar question during the training and was told " yes, you'll have to look out for that"....and the answer is..????

DD

NeedToWorry?

Godiva500 wrote: »

My cooker is very old(inherited and about 10 years old), and has just gone bang, and i desperately need to replace it, and my settee ( about 15 years old) has a cracked frame and is falling apart.

Have you thought of Freecycle? (www.uk.freecycle.org)

It's people basically giving away stuff they no longer want/need. I have friends who have picked up vitrually all their furniture from freecyclers, and it's good stuff too! I have a few bits and pieces from there too...

HTH

debt_doctor

Dizzymum wrote: »

at the moment i recieve 42.34 a week income support as they are deducting
21.96 a week for social fund loan. i was told to do SOA on full benefit as no deductions would be taken after DRO .


Thank you

This question came up too, in two seperate groups that my colleagues attended. One trainer said deductions would stop immediately, another said they would stop after one year !

All those entering in to a DRO in the first few months are part of a large experiment until we see what the practice is going to be.

Your soa is reasonable, id say you all eat slightly too much but dont seem to travel anywhere at all- if you get my drift;)- and wot no mobile?

DD

debt_doctor

blind-as-a-bat wrote: »

I can here it now 'but CAB/CCCS/etc checked it all and said it was OK, so i want my money back'

:rolleyes:

...and so can we - the training got pretty hostile in the end - the only people who can advise you are the authorised intermediaries and I guarentee you - WE DONT KNOW.

DD

Dizzymum_3

Hi DD

Thank you so much for your advice,

This is my SOA with the amont of benefit as what i recieve now.
not what i hope to recieve if they stop deductions.

I thought 2 trips a week on the bus ( £8.00 return. 1 adult 1 child) 69.00 a month would be classed as going out to much . so cut it to 40.00 on last SOA have put it back to 69.00

I havent included mobile as thought this had to come out of my surplus.

thank you


Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 0

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 0
Benefits................................ 722.51
Other income............................ 173.34
Total monthly income.................... 895.85

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 75
Management charge (leasehold property).. 0
Council tax............................. 12
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 56.55
Telephone (land line)................... 40
Mobile phone............................ 0
TV Licence.............................. 12.5
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 440
Clothing................................ 65
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 69
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 12
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 882.05


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
all............................6455......453.......0
Total unsecured debts..........6455......453.......-


Monthly Budget Summary
Total monthly income.................... 895.85
Expenses (including HP & secured debts). 882.05
Available for debt repayments........... 13.8
Monthly UNsecured debt repayments....... 453
Amount short for making debt repayments. -439.2

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -6,455
Net Assets.............................. -6,455

Created using the SOA calculator at https://www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.




many thanks again,

I_know_my_ABC_and_my_CMYK

I think this is a brilliant idea, I just wish there was something similar for the rest of us struggling the pay debts and a mortgage.

ManAtHome

CCCS_Matthew wrote: »

Most people will have £300 worth of possessions, but it's items of large value or possessions you could sell and get substantial money for that exclude you from getting a DRO.

Seems a very low "bar" - does that include jewellery, TVs (eg more than 1 as well as the massive plasma), hi-fi, computer kit, games consoles, iPods etc, flash mobiles, CD/DVD collections. Do you think this will help a substantial number of people, or is it just more smoke and mirrors?

Esio_Trot_2

stedxxx wrote: »

The Insolvency Service who accepted their application must have trust and faith in their abilities to have given them the authority to carry out this work.

I hear from a good source that the The Insolvency Service did not consult the OFT before including B+E in the "competent authority" list - and that the OFT went ape when they found out.

JCS1

blind-as-a-bat wrote: »

Just been told by another intermediary that the IS has anounced to them today that if you have more than £300 in a pension pot you will not be able to go for a DRO, Has this been mentioned before and i missed it, i dont think it has

If not and its correct and not another missunderstanding (which i doubt)any more info on this is needed, is it included as an 'assett' or seperate?

And following on from this, if pension is an asset, what about life assurance?