DRO & Maternity Pay Query

Just_Peachy

Hi,
I am planning on applying for a DRO when i go on Maternity leave in November as my income is going to drop by 2 thirds and I have no way of making my repayments. I have read all the criteria etc and I think I will be eligible for a DRO.

However I am on a temporary contract at work and have just found out that when I leave in November I will get my Statutory maternity pay in one lump sum as I am not returning to work there, which by my workings out (so could be wrong!!) would be a lump sum of £5120 after tax and NI deductions.

Does this mean I will not be able to apply for a DRO? Although I am getting the payment in a lump sum, it is actually my wage for the 39 weeks of maternity leave. I have to live off this and am planning on dividing it into weekly or monthly amounts and living from these amounts. I will be able to get letters from my work stating that this is a lump sum statutory maternity payment and will also have my Maternity forms from my midwife to prove I am an expectant mother.

This has confused me lots and I am hoping it does not stop my application for a DRO - any advice is much appreciated.

Thanks in advance
JP

radio-jo

It's possible that this payment will make you ineligible, unfortunately. You should check with CCCS or National Debtline (who are open until 8pm, I think).