can anyone help me regarding DRO advice please

stressedtoo

Hello

To cut a long story short i have applied for a DRO through stepchange im at my final steps of paying the £90 fee to send it off but i have one queiry that they did not know the answer to, basicly as one of my debts is an £5000 overdraft with halifax i had to open another bank elesewhere before the DRO gets processed but i stupidly opened with Lloyds TSB not knowing halifax and Lloyds where the same the company, sooo i am go reopen and it with HSBC, but i also have a business account with Lloyds TSB with my business partner and its too messy to start changing that to another bank, so what i want to know is, as im not going to be paying my overdraft wit halifax, can they touch my business account?

thanks, hope someone can help.

wba31

stressedtoo wrote: »

Hello

To cut a long story short i have applied for a DRO through stepchange im at my final steps of paying the £90 fee to send it off but i have one queiry that they did not know the answer to, basicly as one of my debts is an £5000 overdraft with halifax i had to open another bank elesewhere before the DRO gets processed but i stupidly opened with Lloyds TSB not knowing halifax and Lloyds where the same the company, sooo i am go reopen and it with HSBC, but i also have a business account with Lloyds TSB with my business partner and its too messy to start changing that to another bank, so what i want to know is, as im not going to be paying my overdraft wit halifax, can they touch my business account?

thanks, hope someone can help.

They weren't for a long time, but I heard recently that they might be able to. hopefully someone else can provide some insight

stressedtoo

Thanks appreciate your reply

debt_doctor

Hi,

I don't believe they can touch any of your monies in other accounts after your DRO has been approved as this would be a 'remedy for the debt' and contrary to s251g of the Insolvency Act 1986.

Of course that doesn't stop them actually doing the deed but I believe the financial ombudsman would rule in your favour and get your money back - eventually.

DD

caz2003uk

I had overdraft debt with Halifax and a basic account with Lloyds, I still have the Lloyds account it wasn't closed down and now has been upgraded to a current account