DRO and DLA

little.miss.sunshine.1

Hi,

I'm disabled, and only just really got myself through the winter, I'm coming out of hiberanation (so cold!!)

My DLA is being reviewed and will hopefully be considerably increased in the next few months. If I apply for a DRO, will they leave my DLA money for me to spend on disabled things I need ie. Swimming, chiro, etc. or will they expect me to use it to start paying off my debts.

If they will want me to use it for my debts, will it be worth going bankrupt as IVA's etc. will probably be the same and take the DLA money?

help........please
:j

Ames

When I was looking at bankruptcy, CAB told me to put down the DLA as income, but in the expenditure part put down my care needs as the same amount. Your DLA is for your care needs, not for your debts.

HTH and if you want to know more just ask.

Tixy

Hi

I have to say i don't know a lot about DROs but it is really a form of bankruptcy, usually whether you chose a DRO or bankruptcy depends on how much your debts are and your assets are (debts need to be less than £15k for a DRO).

Like bankruptcy with a DRO you don't pay off your debts as such. Providing you have less than £50 disposable income you would qualify for the DRO, if you had more than this you wouldn't qualify.

Have you prepared an income & expenditure account to see what your monthly surplus is?

Have you sought advice from any of the debt charities?

[Deleted User]

little.miss.sunshine.1 wrote: »

Hi,

I'm disabled, and only just really got myself through the winter, I'm coming out of hiberanation (so cold!!)

My DLA is being reviewed and will hopefully be considerably increased in the next few months. If I apply for a DRO, will they leave my DLA money for me to spend on disabled things I need ie. Swimming, chiro, etc. or will they expect me to use it to start paying off my debts.

If they will want me to use it for my debts, will it be worth going bankrupt as IVA's etc. will probably be the same and take the DLA money?

help........please
:j

make as appt with CAB they will go through it all with you and if you appear to qualify they will act on your behalf,the charge for a DRO is £90 which isnt refundable if the ISA dont accept you
On what basis do you hope your DLA will be considerably increased in the coming months?remember it could also decrease

fatbelly

The guys are right - the DRO official guidance says that DLA can be shown as income and expenditure - so it does not count to your surplus income