Debt Relief Orders (DRO) - Information & help thread

Pickles112

Thank you for your reply. I think that is what my meeting is about on Wednesday. I have filled in the income/outgoings/arrears & debt forms ready for then. When I went to CAB for advice with my rent arrears and done my forms for that my outgoings were more than my income she mentioned a DRO to me then & I didn't know anything about it so I said not at the moment just want to get my rent arrears sorted first.. now I wish I went for it then! All the stress would of eased a bit by now! I just can't stop worrying if I won't get accepted and don't know what my options would be.

fatbelly

You've probably checked out the qualifying criteria. Prvided you meet them, a DRO application will be accepted. Briefly:

• Debts under 20k
• surplus income under 50 per month
• assets under 1k
• car (if any) also under 1k
• not had one in past 6 years, not undischarged bankrupt or in an IVA
• not a homeowner
• resident in england/wales, now or in past 3 years

Pickles112

Yeah and as far as I'm aware I fit all of those. The only thing I've read which makes me think I won't get accepted is that I'm still paying a couple not that I can afford to its mainly I feel I have no choice. I work in a fashion shop and have to buy my own uniform so I have a store card that I'm paying, my loan with my bank & barclaycard for my food. Will that make a difference? Thank you again for replying

fatbelly

Pickles112 wrote: »

Yeah and as far as I'm aware I fit all of those. The only thing I've read which makes me think I won't get accepted is that I'm still paying a couple not that I can afford to its mainly I feel I have no choice. I work in a fashion shop and have to buy my own uniform so I have a store card that I'm paying, my loan with my bank & barclaycard for my food. Will that make a difference? Thank you again for replying

In the lead-up too your DRO you should be treating all creditors equally. The easiest way to do that is to pay them all nothing, and concentrate on paying the £90 fee. If the conclusion of Wednesday's appt is that you're going to go for one then stop paying them.

You will need a bank account for your income that is not connected to your debts.

Pickles112

I haven't paid barclaycard this month as I couldn't afford it And I didn't pay enough last month either. Both of the other bills are due beginning of June. So if I cancel payment to them will that be okay or will it look like I've just done that for a DRO?

Would you recommend I open a basic bank account before the appointment? Also with all this research I've been doing I've read that my bank could take away my overdraft without any notice which means if they do I'll have no money? As I'm constantly in my overdraft and get my tax credits weekly can I withdraw that and put it in my new account or will that look dodgey? Thank you for all your help and sorry for all the questions.

fatbelly

You definitely need a new account, unconnected with your debts. You may be able to get some switching bonus

http://www.moneysavingexpert.com/banking/compare-best-bank-accounts

I would however avoid Nat West group

The overdraft goes in the DRO, along with any other debts to that bank. If the overdraft goes in at its max, so be it.

Pickles112

Thank you for all your help. I'm going to have a look at bank accounts now. Fingers crossed all goes well.
Thanks again.

Pickles112

Hiya
Just one quick question I'm just going through my paperwork ready for tomorrow. I live with my Partner and 2 children. Do I need to put down his income & outgoings too if im going for the DRO?
Thank you.

fatbelly

Pickles112 wrote: »

Hiya
Just one quick question I'm just going through my paperwork ready for tomorrow. I live with my Partner and 2 children. Do I need to put down his income & outgoings too if im going for the DRO?
Thank you.

Yes.

Although his income doesn't count as yours, it's needed to apportion the expenses fairly.

Your adviser should also check you are getting the benefits you are entitled to.

Pickles112

Hiya Thank you for your reply. I have had my meeting at CAB and have been advised to go for a DRO. I have a meeting with the lady that does them on 22nd June. What do I need to take with me? & what to expect at this meeting?
Also I have cancelled all direct debit for my loan which is meant to go out on 1st June. I just worried that now I've cancelled it that they will also take my overdraft away which will leave me with nothing.. do I open a bank account today and move my money there? Or what shall I do? Nothing was mentioned about it today.
Thank you.