dro question

swim1

I dont think thats really an option.
-
Im due to do my application this week..
If you show a preference to a creditor/s your app can be rejected.
But if like in my case you cant stop the payments to the creditor(credit unions) and if the credit unions wouldnt stop taking the payments direct from source(wages),then surely you cant be accused of (deliberately) giving preference to them?
Credit unions reduced the payments but wouldnt stop them.
I stopped paying other creditors 2 months ago.
9 week backlog with application..national debtline.

swim1

Anyone advise/help?

debt_doctor

Hi,

I agree with you that this cannot be a preference as the 'action' and the 'intent' behind a preference must belong to you.
For a preference to exist, the 'action' is that you make the payment (not someone takes it) and the 'intent' (did you do this to put the creditor in a better position if you became insolvent) is irrelevant as the 'action' wasn't yours so you could not have an intent.

I would not indicate preference to the DRO unit.

What about the savings as an asset? - or have they now taken that money to reduce the debt?

DD

swim1

Thanks for reply.
Yes,after I spoke to them regarding situation..a few days later they altered amount owed.

swim1

My budget sheet/disposable income comes out at minus £20.
Are 'minus' figures allowed when I come to fill in form with intermediary?

swim1

Anyone know?

debt_doctor

They are certainly alright by me - I often submit negative financial statements to the DRO unit.

It gives a cushion to the £50 pm disposable income limit.

My explanation (if asked) would be that the applicant was reducing his reasonable housekeeping costs still further to make this budget balance.
DD

swim1

Im in a pension with company I work for.
And for a year 93-94,I had a private pension. The value of which is approx £5000
Will this be an issue?