DRO and Social Fund Loan.

mancmike_2

Hi all,
I finished my DRO over a year ago,this included an amount from the social fund.They were still taking payments from my JSA (i think) during my DRO and after it because I was still on JSA.I think I looked it up then and appears they were right to do that.
Since then I'm working part-time and have done for just over a year,today I have a letter from DWP to repay said Social Loan,question is Do I have to pay it even though it was on my DRO?

Thanks Mike.

wba31

If the social fund loan was included on your DRO it should have been discharged at the end of your moratorium period. Send them a copy of your DRO and a copy of your DRO approval and advise you will not be paying it

debt_doctor

Hi,

Yes I completely agree with the above, social fund loans are provable in a DRO. At the time of your DRO payments were allowed to be taken from benefit during the moratorium period. That is no longer the case. In all current DROs, deductions for social fund loans and all benefit overpayments MUST stop immediately the DRO is approved.

DD

mancmike_2

Thank you both!
Mike

lozzy0506

hi sort of related to the above question, i have gone through the dro process in june of this year ,i rang the social fund and they stopped the deductions, when i rang up last week to apply for a crisis loan(boiler blew up) they said my loans are still there just inactive and once june of next year comes round they will start taking the debt out of my benefits again , the lady from the cab said they will be wiped after the year is up , but the bloke from the social fund says they just hold it for a year and it does not get wiped as it is the governments money they just put it on hold for a year ,any one know who is right as i am starting to panic now ,he also said that any council tax i owe will need repaying next year too , any help is appreciated thanks

caz2003uk

lozzy0506 wrote: »

hi sort of related to the above question, i have gone through the dro process in june of this year ,i rang the social fund and they stopped the deductions, when i rang up last week to apply for a crisis loan(boiler blew up) they said my loans are still there just inactive and once june of next year comes round they will start taking the debt out of my benefits again , the lady from the cab said they will be wiped after the year is up , but the bloke from the social fund says they just hold it for a year and it does not get wiped as it is the governments money they just put it on hold for a year ,any one know who is right as i am starting to panic now ,he also said that any council tax i owe will need repaying next year too , any help is appreciated thanks

As far as i know this is incorrect! Any debt included on a DRO that after the 12 months is wiped and no longer your debt. This includes council tax!!!

Obviously the current year council tax is payable and of course any other debt or payments due since your dro that are not listed as part of the DRO.

fermi

lozzy0506 wrote: »

hi sort of related to the above question, i have gone through the dro process in june of this year ,i rang the social fund and they stopped the deductions, when i rang up last week to apply for a crisis loan(boiler blew up) they said my loans are still there just inactive and once june of next year comes round they will start taking the debt out of my benefits again , the lady from the cab said they will be wiped after the year is up , but the bloke from the social fund says they just hold it for a year and it does not get wiped as it is the governments money they just put it on hold for a year ,any one know who is right as i am starting to panic now ,he also said that any council tax i owe will need repaying next year too , any help is appreciated thanks

He is talking utter nonsense.

immoral_angeluk

fermi wrote: »

He is talking utter nonsense.

I'll second that.