Debt Relief Orders (DRO) - Information & help thread

scarlet55

Beki88 wrote: »

Thats great thanks so much Her food was put down at 110 a month which is what she genuinely spends sometimes less if she needs gas or electric.

I do have another query though, was going to ask CCCS but couldn't get through to them.
Currently she is paying £23 a fortnight which includes rent arrears (about 3 quid) and a bit that her benefit doesnt cover (10 a week), this is becuase my brother lives with her but he doesn't pay towards it leaving her to pay it, he is hopefully moving out soon meaning she will get full HB again, leaving her with the £20 extra a fortnight. Would she be able to continue paying the 23 to get her arrears down or would the OR deem that to be spare income as it isn't something she has to pay but would be done by choice? God I am confusing myself here haha

who put the food down at £110...thats far too low...less than £30 a week.....the rent arrears will have to go in the dro..(i think ) as it may be seen as favouring other creditors...but it doesnt matter it will just be distributed on her soa as i said before....she probably thinks she will have spare income because she has been living hand to mouth for so long....she must put down realistic figures on her soa..ie....what she should be living on....not what she is living on..:)

Beki88

When we did the budget online I put down what she actually spends, and it has never been queried by CCCS, but several people on here have said its too low. If we put what she should be spending it wouldn't balance up.
She lives on borrowed money as it is, between one pay and another she borrows from friend/family then come payday she pays it back then is skint again a few days after so has to borrow again. I can see if I can find out her actual budget that we did if that would help?
We did include the rent arrears and they have said that is the only one she is allowed to keep paying as there is a suspended possession order.

scarlet55

Beki88 wrote: »

When we did the budget online I put down what she actually spends, and it has never been queried by CCCS, but several people on here have said its too low. If we put what she should be spending it wouldn't balance up.
She lives on borrowed money as it is, between one pay and another she borrows from friend/family then come payday she pays it back then is skint again a few days after so has to borrow again. I can see if I can find out her actual budget that we did if that would help?
We did include the rent arrears and they have said that is the only one she is allowed to keep paying as there is a suspended possession order.

just do a new soa...iff it helps i can tell you what was put on mine...monthly total income £404.95........life insurance £10...gas £40...electricity £30...water £26...tv licence £13....mobile phone...£10...travel £14....housekeeping....£216....other expenditure (this is my internet landline tv)..£42......i dont actually get £404 a month but they work it out over 52 weeks and divide it by 12...iff her adsviser said its ok to keep paying the rent arrears then that should be ok...:)

scarlet55

why not post ur mums soa on here and we can have a look at it and see iff it needs "tweaking "

Beki88

All figures are approx a month worked out as you said (52 weeks divided by 12).

Income support: £338 (after the loan is taken off)

Rent: £50 (includes £10 towards arrears of £546.)
Water: £50 (includes £19 towards arrears of £113)
Council tax: £15
Gas: £30
Elec: £30
Mobile: £10
TV license: £13
Food, toiletries, cleaning: £110
Hairdressing: £5
clothing footwear: £12
sundries emergencies: £12

She doesnt actually spend 5 a month on hairdressing, same for clothing footwear, she does pay towards petrol each month for being taken to her hospital appointments but they didnt seem to include that. She said that she needed to apply the "spare" money elsewhere which is why she added it onto those as apparently they are allowable amounts.

From the rent downwards to food that is exactly what she spends. Although elec and gas can vary as she is on prepayment, most of the time her mantra is when its gone its gone but she may occasionally "top up" with a bit extra gas so she can cook, things like that.

scarlet55

Beki88 wrote: »

All figures are approx a month worked out as you said (52 weeks divided by 12).

Income support: £338 (after the loan is taken off)

Rent: £50 (includes £10 towards arrears of £546.)
Water: £50 (includes £19 towards arrears of £113)
Council tax: £15
Gas: £30
Elec: £30
Mobile: £10
TV license: £13
Food, toiletries, cleaning: £110
Hairdressing: £5
clothing footwear: £12
sundries emergencies: £12

She doesnt actually spend 5 a month on hairdressing, same for clothing footwear, she does pay towards petrol each month for being taken to her hospital appointments but they didnt seem to include that. She said that she needed to apply the "spare" money elsewhere which is why she added it onto those as apparently they are allowable amounts.

From the rent downwards to food that is exactly what she spends. Although elec and gas can vary as she is on prepayment, most of the time her mantra is when its gone its gone but she may occasionally "top up" with a bit extra gas so she can cook, things like that.

im sure her water arrears has to go in....on mine my clothing and hairdressing ect all went in with housekeeping....tell your mum to put down at least 200 for that....and you do put travel in...my adviser was going to put more on but it wouldve put me in defecit...the cccs must work differently than the cab (who i went with)....i found them really good as u get to sit face to face with them......as i said your mum has to put realistic amounts down....iff u can get thru to the cccs have a word with them about it....iff wba comes on later he will be able to advise you more....but as i said with ur mum being on benefits there is no way she will have surplus income...:)

Beki88

She did try going through the CAB before but the guy was a jerk to put it politely.
We would h much rather be able to sit down witsomeone to work it all out but she will not go back to CAB as the experience as left her a little sour.

As far as we are concerned any money that may freed up would be put back in straight away, ie more food etc but I don't want them to say no you can't do that.

Just don't want to screw her chances up really.

scarlet55

Beki88 wrote: »

She did try going through the CAB before but the guy was a jerk to put it politely.
We would h much rather be able to sit down witsomeone to work it all out but she will not go back to CAB as the experience as left her a little sour.

As far as we are concerned any money that may freed up would be put back in straight away, ie more food etc but I don't want them to say no you can't do that.

Just don't want to screw her chances up really.

no they wont ...or shudnt, say that....iff ur adviser knows wot they are doing (and they shud )then it wont be screwed up........no-one on income support would get turned down due to surplus money.....as i said b4 the dwp only give you living expences.....iff they thought any of it would be surplus they would be taking it back...lol....tell your mum not to worry....she will be fine...:)

michellew_2

michellew wrote: »

Couple of questions for you clever folk please

My husband and I are looking at a DRO each, I understand the £50 or less disposable income - as pretty much everything is joint is that £50 (less than) each or joint in the family budget ( we are on benefits and everything goes into the "pot")?

We are also hopeful of some PPI from the bank after the recent ruling how would this change things?

If one of us were to find a job that drastically increased our income (unlikely but possible) how would this affect us if it was within the "moratorium" period?

Social Fund loan - is this added to DRO as we obviously have less benefit coming in due to payments to SF?

Is DLA (my sons) taken as income?
Thanks

Also forgot to ask - when doing a budget do we put in the Council Tax & Housing Benefit in then take them out again - if you see what I mean
Thanks

scarlet55

michellew wrote: »

Also forgot to ask - when doing a budget do we put in the Council Tax & Housing Benefit in then take them out again - if you see what I mean
Thanks

do u actually pay it yourself or is it paid automatically
by the benefit office, if its already paid for then no you dont put it in...:)