Debt Relief Orders

tiggeryfun79

Hi All,

Been with CCCS on a DMP for a few years but haven't been able to pay for a few months due to maternity leave. I have heard about DROs and not sure if they would be suitable and if CCCS do them. Does anyone have any insight? Debt is about £13k and my DFD is so far in the future I dread to think about it

Thanks.

Tixy

A DRO is quite a serious step - its like a form of bankrupty.
It could be an option if your finances are not likely to improve back to when you set up your DMP (when you presumably paid at least £100 per month)
I'd suggest you speak to your CCCS advisor. To qualify you need to own less than £15k, which you obviously do and to have less than £50 surplus money each month (thats £50 after household expenses but before debt repayments). If you have more than that £50 then you would not qualify. You also need to have assets of less than £300 (although I think a car can be excluded from this).

Here is a little info on CCCS website - http://www.cccs.co.uk/faqs/Debt_Relief_Orders.aspx

fatbelly

Tixy wrote: »

You also need to have assets of less than £300 (although I think a car can be excluded from this).

...provided it's valued at less than £1000 on Parker's Guide.

Also note that property owners are excluded from DROs even if they have no equity - it's the gross value of the asset that counts.