dro

amstuck

Hi I would really like it if someone could clear a few things up for me please, I have around £10,000 worth of debt and I am thinking that a DRO could be my only way out.

The debt is solely in my name, myself and my partner are both unemployed and he claims joint job seekers allowance for us, I claim child benefit in my name only and we both claim joint child tax credits for our 3 children.

Is all of this classed as my income?

My partner has recently passed his driving test and my parents have given him their car so this car is now in his name.

Will his car effect my attempts to get a DRO?

Thank you for reading I keep saying am going to see the cab people but am really scared of admitting how stupid I have been they scare my more then the baliffs!

debt_doctor

amstuck wrote: »

Hi I would really like it if someone could clear a few things up for me please, I have around £10,000 worth of debt and I am thinking that a DRO could be my only way out.

The debt is solely in my name, myself and my partner are both unemployed and he claims joint job seekers allowance for us, I claim child benefit in my name only and we both claim joint child tax credits for our 3 children.

Is all of this classed as my income? Would depend upon the intermediary - if it were me I would count all of your CB and 50% of your tax credits. I wouldn't count the JSA as your income - but someone else legitimately might.

My partner has recently passed his driving test and my parents have given him their car so this car is now in his name.

Will his car effect my attempts to get a DRO? If the car is owned by you it must be worth less than £1000.

Thank you for reading I keep saying am going to see the cab people but am really scared of admitting how stupid I have been they scare my more then the baliffs!

I am not more scary than a bailiff!;):D

DD

amstuck

Thank you so much for your reply.

I can't drive, the car is owned by my other half, its in his name, but we live together so am not sure where I stand regarding it. According to the parker website its valued at £1200 in poor condition (due to a dint and interia being ate by mothers pooch) but its stated average milage is 80000 where as his cars milage is 96000 as my mother is a district nurse and used the car to travel a lot! So I don't think I would qualify for a DRO because of this.

Thanks again, I think it is time I bit the bullet and go to the CAB offices I maybe able to start a dmp type thing instead.

debt_doctor

amstuck wrote: »

Thank you so much for your reply.

I can't drive, the car is owned by my other half, its in his name, but we live together so am not sure where I stand regarding it. According to the parker website its valued at £1200 in poor condition (due to a dint and interia being ate by mothers pooch) but its stated average milage is 80000 where as his cars milage is 96000 as my mother is a district nurse and used the car to travel a lot! So I don't think I would qualify for a DRO because of this.

Thanks again, I think it is time I bit the bullet and go to the CAB offices I maybe able to start a dmp type thing instead.

Then if the car is owned by your partner, it will play no part in your DRO.

DD

amstuck

That's really helpful to know thank you, so not to waste time when I do go to CAB what will I need to take with me?

Benefit letters
Bank statements for the past 3 months or 6 months or 12 months
All debt letters can I also include debts that have been passed on to debt recovery agencys do you know please?

Sorry for all the questions I have read a few articles on DRO but I just assumed my partners car would put a spanner in the works, am really pleased it won't, as for Joint job seekers allowance they could class the whole lot as my income and I still could not afford to pay all of my debts its a very embarrassing/stupid position to be in my only saving grace is I am no longer credit worthy!

debt_doctor

We all vary on the proof of income and other evidence we might need, but what you suggested certainly sounds fine to me.
Certainly debts sent to collectors will count for DRO purposes - it is best if you list the last company that chased a particular debt, as that is the company that the DRO unit will contact.

DD

amstuck

Brilliant thank you so much =D am feeling so much more positive now I have been finding it hard to sleep, and with 3 children under 5 I shouldn't have a problem, one is only 3 weeks old lol, thank you so much I really look forward to updating on Monday.

amstuck

Well I went to my local cab office at 10am when they opened I filled out a form with basic info on and sat down with my number, about 20 mins later I was called up to the reception to be told they are only dealing with debt via appointments so I now have a appointment for tomorrow at 2pm she have given me a more detailed form to fill in its about the debt amounts and expenditure.

Am glad I have gone but I had my self psyched up to get the ball rolling today which I have in a way, but this is me all over once I have decided to do something I just want it done there and then!

Having looked at the spare money while counting all of the income as my own, I still only have 55 a month to spread between the 11 debtors!!! 11 I can't believe I have let it get to this stage still its just less then £9000 owed which is huge amount to me but am sure its a drop in the ocean to some people. Even if they arrange a debt repayment plan for me it will be a HUGE help.

fatbelly

amstuck wrote: »

Having looked at the spare money while counting all of the income as my own, I still only have 55 a month to spread between the 11 debtors!!! 11 I can't believe I have let it get to this stage still its just less then £9000 owed which is huge amount to me but am sure its a drop in the ocean to some people. Even if they arrange a debt repayment plan for me it will be a HUGE help.

The options may be:

• see if the figures can be reworked to give a surplus less than £50 per month & do a DRO
  
• use £55 surplus on a 13 and a half year DMP

I know which I'd prefer.

amstuck

Is that you in the pic fat belly?, thank you I know what your saying it seems almost too good to be true this DRO thing so I am just going to prepare myself for the worse, 13 years! I am hoping unemplyment won't last that long for me haha.

The 55 is left after normal expenditure without attempting to any make min payments, also it does not include water rates as its the one bill I have fallen behind with and was hoping to include it in the DRO.

I could easily put down more petrol as my oh has 140 mile rond trip to pick up and then again to drop off his children, then there's the extra food they cost us each weekend but am really not wanting to rock the boat with the application as I have read if my expenditure is unrealistic they will decline my application.

I don't know if you just send them facts and figures or you can give reasons for certain aspects of your expenditure, I mean what's reasonable food costs for 2 adults, 3 children under 5 (one on formula) and 3 children under 10 from Friday tea time till Sunday tea time, I just know at the moment I spend way too much, but having spoken to my health visitor today there are things called healthy start vouchers that I will be able to apply for and that should help towards the cost of formula which will inturn lower my food shop BUT that can take 4-6 weeks so am not counting on them just yet.

fatbelly

It's a puppet from a 1970s kids series. But it does look like me, yeah.

You will have to put the arrears figure in for water but you will be liable to pay for your ongoing usage so that should bring your surplus below £50.

Also 'realistic' means what you really spend, within reason. There is a trigger figure for travel (2 people with one car) and your intermediary will know what that is.

There is a space for comments on expenditure, yes, and that might be appropriate if you are transporting and feeding an extra 3 children for part of the week but not getting benefits for them.

Clocking off now!