Debt Relief Orders (DRO) - Information & help thread

justlaugh2

Have a SOA and would also be grateful if anyone can tell me if any of these things are not allowed or if i need to jig things around a little bit

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 379
Partners monthly income after tax....... 0
Benefits................................ 636
Other income............................ 0
Total monthly income.................... 1015
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 147
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 50
Gas..................................... 39
Oil..................................... 0
Water rates............................. 33
Telephone (land line)................... 30
Mobile phone............................ 35
TV Licence.............................. 6
Satellite/Cable TV...................... 20
Internet Services....................... 20
Groceries etc. ......................... 346
Clothing................................ 20
Petrol/diesel........................... 65
Road tax................................ 10
Car Insurance........................... 40
Car maintenance (including MOT)......... 20
Car parking............................. 6
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 32.5
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 12.24
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 20
Total monthly expenses.................. 971.74

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 700
Other assets............................ 0
Total Assets............................ 700

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
wonga.com......................210.......210.......0
capital one....................183.......15........0
vanquis........................400.......19........0
money shop.....................300.......300.......0
express payday.................400.......100.......0
quick quid.....................200.......200.......0
provident......................4180......270.......0
Total unsecured debts..........5873......906.5.....-

Monthly Budget Summary
Total monthly income.................... 1,015
Expenses (including HP & secured debts). 971.74
Available for debt repayments........... 43.26
Monthly UNsecured debt repayments....... 906.5
Amount short for making debt repayments. -863.24
Personal Balance Sheet Summary
Total assets (things you own)........... 700
Total HP & Secured debt................. -0
Total Unsecured debt.................... -5,873
Net Assets.............................. -5,173
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

immoral_angeluk

justlaugh2 wrote: »

I too am thinking of applying for a DRO, I have spoken to a really nice guy from cccs and he has sent paperwork through. Have been stuggling for months now, taking out more payday loans to extend others. My biggest loan is to provident and my biggest problem as i quite like the agent and will have to tell her face to face that i cannot pay anymore! She will be round tomorrow and im getting so stressed about it. the last 2 times i have given cheques that will bounce although agent doesnt know this yet. Has anyone else had to tell provident the same thing?
Also have 3 cheques in the moneyshop, do i let them go through and bounce? or just tell them?

Would be grateful to hear from anyone with advice or similar problem

Thanks in advance

Becky

If you're worried about speaking to your agent then call their head office instead. In my experience provident are usually happy to help. With moneyshop I would cancel the cheques and tell them, to save you additional fees.

immoral_angeluk

justlaugh2 wrote: »

Have a SOA and would also be grateful if anyone can tell me if any of these things are not allowed or if i need to jig things around a little bit

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 379
Partners monthly income after tax....... 0
Benefits................................ 636
Other income............................ 0
Total monthly income.................... 1015 Is this including housing benefit/council tax benefit?
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 147 Is this net of housing benefit? Same for council tax..
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 50
Gas..................................... 39 This seems high, have you checked for cheaper deals?
Oil..................................... 0
Water rates............................. 33
Telephone (land line)................... 30
Mobile phone............................ 35
TV Licence.............................. 6 Why only £6? Usual tv licence is £12-£13.
Satellite/Cable TV...................... 20 Is this essential? Are you in a minimum contract term?
Internet Services....................... 20 This should be added to your total phone costs really. Your phone costs in all may be too high to be acceptable without good reason (needed for work etc)
Groceries etc. ......................... 346
Clothing................................ 20
Petrol/diesel........................... 65
Road tax................................ 10
Car Insurance........................... 40 This seems high, can you cut it down any?
Car maintenance (including MOT)......... 20
Car parking............................. 6
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 32.5
Medical (prescriptions, dentist etc).... 0 Nothing? Not even dental/optical?
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 12.24
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 0 Nothing? Really?
Holiday................................. 0
Emergency fund.......................... 20
Total monthly expenses.................. 971.74

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 700 How have you valued this? Check out it's value on the parkers website with the 'private poor' valuation.
Other assets............................ 0
Total Assets............................ 700 Anything of realisable value? Etc large nonessential tvs, antiques, high value jewellery etc? Anything that in total comes to over £300 (not including household goods)

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
wonga.com......................210.......210.......0
capital one....................183.......15........0
vanquis........................400.......19........0
money shop.....................300.......300.......0
express payday.................400.......100.......0
quick quid.....................200.......200.......0
provident......................4180......270.......0
Total unsecured debts..........5873......906.5.....-

Monthly Budget Summary
Total monthly income.................... 1,015
Expenses (including HP & secured debts). 971.74
Available for debt repayments........... 43.26
Monthly UNsecured debt repayments....... 906.5
Amount short for making debt repayments. -863.24
Personal Balance Sheet Summary
Total assets (things you own)........... 700
Total HP & Secured debt................. -0
Total Unsecured debt.................... -5,873
Net Assets.............................. -5,173
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

You're close to the £50pm limit, but there is stuff you haven't included like social costs etc... My only real concern would be your combined telephone costs as mentioned above.

justlaugh2

Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 379
Partners monthly income after tax....... 0
Benefits................................ 636
Other income............................ 0
Total monthly income.................... 1015 Is this including housing benefit/council tax benefit? Housing Benefit gets paid direct to landlord
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 147 Is this net of housing benefit? Same for council tax.. This is the amount i have to pay to landlord to make up the shortfall after benefit
Management charge (leasehold property).. 0
Council tax............................. 0 Benefit covers this
Electricity............................. 50
Gas..................................... 39 This seems high, have you checked for cheaper deals?
Oil..................................... 0
Water rates............................. 33
Telephone (land line)................... 30
Mobile phone............................ 35
TV Licence.............................. 6 Why only £6? Usual tv licence is £12-£13. Whoops £6 is per week!
Satellite/Cable TV...................... 20 Is this essential? Are you in a minimum contract term? will check to see when contract ends
Internet Services....................... 20 This should be added to your total phone costs really. Your phone costs in all may be too high to be acceptable without good reason (needed for work etc)
Groceries etc. ......................... 346
Clothing................................ 20
Petrol/diesel........................... 65
Road tax................................ 10
Car Insurance........................... 40 This seems high, can you cut it down any? I wish i could, but after doing online comparison this is the cheapest available. Only have a citreon saxo, never claimed in my life, i dont understand it either
Car maintenance (including MOT)......... 20
Car parking............................. 6
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 32.5
Medical (prescriptions, dentist etc).... 0 Nothing? Not even dental/optical?
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 12.24
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 0 Nothing? Really? Cant afford to go out
Holiday................................. 0
Emergency fund.......................... 20
Total monthly expenses.................. 971.74

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 700 How have you valued this? Check out it's value on the parkers website with the 'private poor' valuation. Just a rough estimate but i dont think a 10year old citreon saxo would be worth much more
Other assets............................ 0
Total Assets............................ 700 Anything of realisable value? Etc large nonessential tvs, antiques, high value jewellery etc? Anything that in total comes to over £300 (not including household goods) only regular household goods, second hand tv, second hand laptop, no jewellry or expensive items

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly.. .APR
wonga.com......................210.......210...... .0
capital one....................183.......15........0
vanquis........................400.......19....... .0
money shop.....................300.......300.......0
express payday.................400.......100.......0
quick quid.....................200.......200.......0
provident......................4180......270...... .0
Total unsecured debts..........5873......906.5.....-

Monthly Budget Summary
Total monthly income.................... 1,015
Expenses (including HP & secured debts). 971.74
Available for debt repayments........... 43.26
Monthly UNsecured debt repayments....... 906.5
Amount short for making debt repayments. -863.24
Personal Balance Sheet Summary
Total assets (things you own)........... 700
Total HP & Secured debt................. -0
Total Unsecured debt.................... -5,873
Net Assets.............................. -5,173

Thanks for taking a look, i will try to get my costs down, although that will then give me more availible income. Its all getting so stressful with christmas round the corner

justlaugh2

I will go through it all again later, im at work at the moment and have put in the figures as i recall them, so they may not be accurate but i think the net outcome was about the same.
Thanks also with the provident & money shop advice, i will call them in the morning to try to avoid the doorstop confrontation

Thank immoral angel, you have been a great help

justlaugh2

Also, do i tell them that i am applying for a DRO or should i wait until its been granted (hopefully)

immoral_angeluk

It's not DRO related, but have you considered claiming discretionary housing payments for the council to help with the rent shortfall for a temporary period?
When you tell them is up to you, some may chase you harder, some may back off completely.. Provvie are usually good though ad will put a temporary hold on.

Orville

immoral_angeluk wrote: »

Very true, but in most circumstances if you're paying board they won't allow payments to utility bills from the person paying board, as that's essentially what board is for, to cover your increased costs..
Personally I'd say it depends on the arrangement. The DRO aren't interested in who moves in or out of the property, as in itself that wouldn't affect DRO eligibility, it would just be if their circumstances changed meaning they were no longer eligible..

Do you know off hand what ways they have of actually monitoring people under a DRO. I mean say if you worked but did not inform them, how would they find out..?. If you come into money say and never said how would they find out..?.

I have seen so many posts on different sites from people saying that once they were granted a DRO they have never heard a thing throughout the whole 1 year period and beyond. I do wonder if once granted, do they actually make checks to see if the dro is being adheared to.?.

immoral_angeluk

Orville wrote: »

Do you know off hand what ways they have of actually monitoring people under a DRO. I mean say if you worked but did not inform them, how would they find out..?. If you come into money say and never said how would they find out..?.

I have seen so many posts on different sites from people saying that once they were granted a DRO they have never heard a thing throughout the whole 1 year period and beyond. I do wonder if once granted, do they actually make checks to see if the dro is being adheared to.?.

Same as bankruptcy really, they'll have records of your NI number, tax office etc. With DROs generally when they're approved nothing else happens and it just runs along without investigation by the OR, BUT they insolvency service have the right to investigate people and so the advice is to always inform them, and if they do decide to and they find out you will possibly face criminal penalties.

justlaugh2

Also at the risk of throwing myself to the lions, I refinanced my provident loan a few weeks ago in order to pay a couple of the other debts + 2 weeks of payments to provident as the agent didnt show up the previous week. I was just reading through another thread on here that didnt go too well! in my own defence i really thought i could cope with the payments although with hindsight i had my head in the clouds or the sand and would not have knowingly taken another loan if id realised the payments plus all the other debts would have been too much to handle.
Perhaps i would be better off ( not financially) if i applied for a DMP instead of a DRO. I havent submitted any paperwork to anyone yet. Or Neither if that would mean being fraudulent.
Im not look for a magic wand or for any consoling words, but just need a way forward and out of this mess.
Becky