Debt Relief Orders (DRO) - Information & help thread

immoral_angeluk

justlaugh2 wrote: »

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

In all honesty I don't think you've much to worry about, the only real affect this would have would it being deemed as a preference to a creditor, however, there has to be a 'desire' to put this creditor in a better position that others whilst insolvent so I would mention it to CCCS and see what they say. I don't think it would be seen as fraudlent as you were basically just trying to manage is the only way you could think of at the time under the pressure from provident and weren't purposefully trying to defraud the company (At least it sounds that way from what you've said.)
Put it this way, tell CCCS, see what they say, but I think the only way it may affect you is if you declare it, the OR looks into it and decides it was a severe enough preference to warrant revoking your DRO or in rare circumstances giving you a DRRO. So in laymans terms your DRO restrictions could either be extended longer than a year, or you could lose your £90 and then have to go on a DMP or whatever instead.
I wouldn't lose sleep over it...

justlaugh2

Wheeew! thats a relief. i did tell provident agent at the time that it was to pay off other debts and she watched me take from the money she gave me to give her the 2 weeks worth of payments . I will call CCCs in the morning and tell them thanks again Immoral Angel

moomoo22_2

Thankyou Fatbelly very much for your reply,

I have just one more question if somebody doesn't mind answering:

I am currently unemployed, my partner works full time and at the minute is paying the rent/council tax/bills but none of my debts or anything.

I have just put in a claim for jobseekers allowance, which I'm guessing I'll attend an interview for in the next couple of weeks.

Even though I am not claiming any money yet, should I put JA down as my income on my financial statement?

My interview with a cab advisor is on wednesday and I am very stuck with this financial statement as I have not a penny income.

Thankyou once again, all advice is greatly appreciated

Orville

moomoo22 wrote: »

Thankyou Fatbelly very much for your reply,

I have just one more question if somebody doesn't mind answering:

I am currently unemployed, my partner works full time and at the minute is paying the rent/council tax/bills but none of my debts or anything.

I have just put in a claim for jobseekers allowance, which I'm guessing I'll attend an interview for in the next couple of weeks.

Even though I am not claiming any money yet, should I put JA down as my income on my financial statement?

My interview with a cab advisor is on wednesday and I am very stuck with this financial statement as I have not a penny income.

Thankyou once again, all advice is greatly appreciated

Yes if i were you i would if i were going for a DRO. When the JSA does kick in then you will have an extra income of about £65 a week, under the terms of a DRO you would have to notify them by law that your circumstances have changed. With an income of £65 a week you would then not meet the conditions of a DRO.

So when doing your figures, i would work them out including your JSA.

This is of course assuming you actually get awarded JSA.

immoral_angeluk

Orville wrote: »

Yes if i were you i would if i were going for a DRO. When the JSA does kick in then you will have an extra income of about £65 a week, under the terms of a DRO you would have to notify them by law that your circumstances have changed. With an income of £65 a week you would then not meet the conditions of a DRO.

So when doing your figures, i would work them out including your JSA.

This is of course assuming you actually get awarded JSA.

Also CAB will want to see proof of your JSA, so they may not be able to process a DRO until it's gone through anyway..

justlaugh2

Right, I have now done SOA again with accurate figures, Do you think anything on there unaccepatable or too much. Would be grateful for any advice anyone could give
Number of adults in household........... 2 Brother living with me, applying for JSA so unable to contribute anything unfortunatly
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 working and child tax credits + child benefit
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 Benefit covers this
Electricity............................. 50
Gas..................................... 39
Oil..................................... 0
Water rates............................. 31.6
Telephone (land line)................... 20
Mobile phone............................ 20
TV Licence.............................. 26 on a prepay scheme ( have to make bigger payments) £6 per week
Satellite/Cable TV...................... 20
Internet Services....................... 20
Groceries etc. ......................... 350This incudes ciggarettes and petfood
Clothing................................ 15 Daughter will be moving up to secondarary school next year so im allowing for a whole new uniform
Petrol/diesel........................... 50
Road tax................................ 10
Car Insurance........................... 33 This is the best quote i can find ( due to be renewed 15/12/2010)
Car maintenance (including MOT)......... 20
Car parking............................. 20
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 32.5 School dinners
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 12.24
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 15
Haircuts................................ 10
Entertainment........................... 15
Holiday................................. 0
Emergency fund.......................... 20
Total monthly expenses.................. 986.34


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..........................210.......210.......0
capital one....................183.......13........0
vanquis........................400.......21........0
provident......................4410......62.5......0
quick quid.....................200.......56........0
express payday.................400.......100.......0
Total unsecured debts..........5803......462.5.....-


Monthly Budget Summary
Total monthly income.................... 1,015
Expenses (including HP & secured debts). 986.34
Available for debt repayments........... 28.66
Monthly UNsecured debt repayments....... 462.5
Amount short for making debt repayments. -433.84

Personal Balance Sheet Summary
Total assets (things you own)........... 700
Total HP & Secured debt................. -0
Total Unsecured debt.................... -5,803
Net Assets.............................. -5,103

justlaugh2

justlaugh2 wrote: »

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

Spoke to provident Head Office this morning and lady was really nice about it.
But just had a call from the local office and she was NOT, told me its classed as a fraudulent application. Says i must have known id never be able to afford payments, ( i told her that up until Friday i didnt know my hours were being reduced at work)offered me reduced payments, but i said i shouldnt do that as it would be favouring one creditor over another.
Im at work now so cannot call cccs for advice

moomoo22_2

Orville wrote: »

Yes if i were you i would if i were going for a DRO. When the JSA does kick in then you will have an extra income of about £65 a week, under the terms of a DRO you would have to notify them by law that your circumstances have changed. With an income of £65 a week you would then not meet the conditions of a DRO.

So when doing your figures, i would work them out including your JSA.

This is of course assuming you actually get awarded JSA.

Thankyou for replying both of you.

The thing is, even if I did get rewarded JSA, I would still meet the criteria for a DRO because I would have ALOT more going out than I would have going in.

The reason I ask is because I did not know if they would an accept a financial statement simply saying I have zero income and then my £900+ rent/bills etc going out?

Orville

moomoo22 wrote: »

Thankyou for replying both of you.

The thing is, even if I did get rewarded JSA, I would still meet the criteria for a DRO because I would have ALOT more going out than I would have going in.

The reason I ask is because I did not know if they would an accept a financial statement simply saying I have zero income and then my £900+ rent/bills etc going out?

Well i would definately include it. I don't think you can get a DRO if you have a negative amount left over each month. So if you had NOTHING coming in and £900 going out you would not qualify. (I think). You'll have to wait for Fat or Immoral to come along and clarify that.

moomoo22_2

oh my god I am really panicking and stressed now

I will include the JSA and full bills but I would not be paying the full amount anyway as my partner would be, and I would just be paying a contribution...

So say I would be getting £65 per week max, and I paid a contribution to my rent and household bills, as long as my surplus income is less than £50 per month, I would still qualify for a DRO.

I am really sorry if this is confusing and I really appreciate the help and advice from everyone, I am finding this hard to get my head around.