Debt Relief Orders (DRO) - Information & help thread

fatbelly

onaed81 wrote: »

Hello,

Just a questions regards a DRO.
I went thru debt advice with Step Change and they advisea DRO is the best form of action for me, i trust their advice but have a few worries.

I have various debts some range from this year to 3-4 years ago, some of them i have not heard off in over 6 months so have no letters etc i assume i would have to list all creditors on a DRO, my worry is i cannot find all the information and then when the DRO has gone thru i get a letter from a creditor asking for payment, if this happens can i then add this debt onto a DRO ? Or is there a way to find out all my debts, credit report or something

Any help would be great

Thanks

Step Change have produced a DRO Guide here.

At the CAB, I get the Experian report for the client. I'm not sure whether StepC work in the same way but one of you will need to get a copy of the report.

There are two other credit agencies that you could go to. If you are still not sure that you have captured all your debts (remember a lot of debts do not appear on a credit report) then you will have to do some more research.

All your debts must be included and, once it is accepted, you cannot add to it.

xenetia

I have received a letter from TTI SPC saying they have purchased my account from NEXT and that they will deal with my Nominee or Supervisor as required by law and that it will be dealt with by the Insolvency Exchange. This account was under a DRO which finished its moriatorium perriod in September so all debts are satisfied. I have never had and IVA or been bankrupt, I don't have (or know what) a nominee or supervisor and Next are saying they have not sold my account to anyone. Can anyone help with suggestions as to what they are on about or what i can do?

fatbelly

xenetia wrote: »

I have received a letter from TTI SPC saying they have purchased my account from NEXT and that they will deal with my Nominee or Supervisor as required by law and that it will be dealt with by the Insolvency Exchange. This account was under a DRO which finished its moriatorium perriod in September so all debts are satisfied. I have never had and IVA or been bankrupt, I don't have (or know what) a nominee or supervisor and Next are saying they have not sold my account to anyone. Can anyone help with suggestions as to what they are on about or what i can do?

Well I wouldn't do this more than once but they need to know they've bought a dud account so I would scribble your DRO number and morotorium end date on the letter and send it back.

They can take up any queries with the DRO Unit and then try to get their money back from Next.

ElleWoods

I'm not sure this is the way forward for me as I don't have a massive amount of debt but I'm struggling to service it. I have about £1800 on a credit card and go overdrawn every month by around £500, so total debt is approx. 2,300. I use my OD to pay my CC debt, and am constantly robbing Peter to pay Paul. I've been paying off almost £8k of debt for the last seven years and it seems never-ending, probably because I use one debt (the OD) to pay another (the CC). I've got an ok credit record as I've never missed a payment because I prioritise rent and bills, even if I use my OD to pay them (which reading back, sounds insane to pay debts with debts :rotfl:).

Is there any point applying for a DRO or is it pointless for someone with a relatively small debt?

Orville

Cuba_Cat wrote: »

I'm not sure this is the way forward for me as I don't have a massive amount of debt but I'm struggling to service it. I have about £1800 on a credit card and go overdrawn every month by around £500, so total debt is approx. 2,300. I use my OD to pay my CC debt, and am constantly robbing Peter to pay Paul. I've been paying off almost £8k of debt for the last seven years and it seems never-ending, probably because I use one debt (the OD) to pay another (the CC). I've got an ok credit record as I've never missed a payment because I prioritise rent and bills, even if I use my OD to pay them (which reading back, sounds insane to pay debts with debts :rotfl:).

Is there any point applying for a DRO or is it pointless for someone with a relatively small debt?

Well personally i wouldn't. Do you work..? If so you might be better going one of two routes.

1. Get a 0% credit card and Balance transfer the amount over pay it off and close it down. You can then pay the 0% card off with no interest. Bear in mind you have to show resilience and not spend on it otherwise you'll be back to square one again.

2. Get a loan, pay the card off and close it. OK you may have to pay interest off but at least if you close the card and go this way there is no temptation to spend.

I wouldn't go down the DRO Route for approx £2300 worth of debt, moreso if you are in employment.

ElleWoods

Yes, I work pt so have a low income. I'm so sick of the constant debt with no light at the end of the tunnel (at least if feels that way). The CC debt is already on 0%.

Orville

Cuba_Cat wrote: »

Yes, I work pt so have a low income. I'm so sick of the constant debt with no light at the end of the tunnel (at least if feels that way). The CC debt is already on 0%.

Well it is entirely up to you what you do. I can't tell you but if your already on a 0% card i'd say you have already done what i suggested in step 1 but have made the mistake of spending on it.?

ElleWoods

No, I haven't spent on it at all. I balance transferred to this card in the summer after looking on this site for the longest 0% BT card so that I don't have any interest to pay. Think I'll keep plugging away at it.

myth123

If an indiviual is married living in a mortgage property, but mortage is not in the individuals name (solely in partner's), would they qualify for a DRO?

fatbelly

myth123 wrote: »

If an indiviual is married living in a mortgage property, but mortage is not in the individuals name (solely in partner's), would they qualify for a DRO?

Provided that they were not recorded as an owner at the Land Registry, the house would not be regarded as an asset.

If they had been an owner (within the past 2 years) there would be questions to answer.

Hopefully that's enough to find an Approved Intermediary and let them look more closely at the situation.