Debt Relief Orders (DRO) - Information & help thread

immoral_angeluk

astra_man wrote: »

We signed the logbook over, is it V5?

Being the registered keeper does not make a person the legal owner of the car. Whoever bought and paid for the car is the legal owner, and as said above, if you 'sold' the car to your sister for nothing then this would be a transaction at undervalue and your DRO would be revoked.
If you are still the legal owner, and the value is over 1k (if not adapted for a disability) then you would not be eligible for a DRO. You need to check the parker's private poor valuation to see if this is over 1k.

astra_man

I was also told, I wouldnt have to enter the car into the DRO?

The private poor valuation is about £1200

wba31

astra_man wrote: »

I was also told, I wouldnt have to enter the car into the DRO?

The private poor valuation is about £1200

For a start, if the car is worth £1200 I wouldn't proceed at this moment in time. that value on Parkers will reduce as time goes on, so once it is under £1000, if the car is yours you can then proceed.

You would have to enter it in 1 of 2 ways. Either that it is still your car (however the V5 is not in your name for insurance purposes) or that you have given away an asset for less than it's true value.

I must say that it is not best to put down the answer that sounds best, but what is the truth. the DRO is a legal action, and part of the declaration that anybody entering into a DRO must agree to says
"I confirm that the information provided by me is, to the best of my knowledge and belief, correct at the date of submission."
and
"I am aware that a failure to be truthful in my application may lead to any subsequent order being revoked, and I may be subject to other enforcement proceedings including prosecution. I am also aware that if the application is rejected my application fee will not be refunded."

If you no longer want the car and you have given away, I would advise you admit to that on the forms

astra_man

Fingers crossed for April!
I cant do it till then due to the pension restriction.

wba31

astra_man wrote: »

Fingers crossed for April!
I cant do it till then due to the pension restriction.

As far as i am aware the date in April has not been confirmed so check with your advisor towards the end of March

astra_man

How would the OR know I had the car?
Is that relying on me telling them?

tigerfeet2006

They would check with the DVLA to see if you own or have recently disposed of a vehicle.

Orville

Do they?.

I am not so sure of that. My dro was granted in less then 24hrs which would seem a really quick time for them to be able to check considering the volume of applications they must get per day.

I would say they don't but you would be taking a chance on your application not being one of the random ones that does get flagged for a proper check.

wba31

Orville wrote: »

Do they?.

I am not so sure of that. My dro was granted in less then 24hrs which would seem a really quick time for them to be able to check considering the volume of applications they must get per day.

I would say they don't but you would be taking a chance on your application not being one of the random ones that does get flagged for a proper check.

Approvals are automated providing there is nothing in the forms that could cause a problem, they will then request information from 3rd parties during the moratorium period, and if anything comes to light they will then revoke the order.

wba31

astra_man wrote: »

How would the OR know I had the car?
Is that relying on me telling them?

They would know the full position of the car because you will be honest when completing your forms on the position of the vehicle. The reason you will be honest is because once the forms are submitted you will be signing a document (which is part of the forms) which says

"Debtors Declaration Statement
I confirm that the information provided by me is, to the best of my knowledge and belief, correct at the date of submission.

I am aware that some of this data will be checked using sources external to The Insolvency Service including credit reference agencies.

I am aware that a failure to be truthful in my application may lead to any subsequent order being revoked, and I may be subject to other enforcement proceedings including prosecution. I am also aware that if the application is rejected my application fee will not be refunded.

I am aware that the creditors listed in the application will be advised of the making of the order and all the debts you have listed. The lists sent to the creditors may be in electronic unencrypted format.

I am aware that should any of my debts have been incurred in respect of any fraud or fraudulent breach of trust to which I was a party, they will not be discharged at the end of the moratorium period."

You will see that it mentions that you are fully aware that all information is correct. It mentions data will be checked with 3rd party organisations. The key one is that if you are found to have not been truthful in your application that you could be liable to prosecution.