DRO Questions

Drakes

Evening all I have being reading the countless pages about DROs and people's experience with them
I'm currently considering a DRO as the debts are just getting hard to keep up with.
I currently have just two creditors I owe money two,6k each.defaulted 2009 the other 2012
I have received a summons for the 2009 debt
I fall into everything I need to get one,no asset's over £300 car under £1000.only £50 left each month we'll nouthing left to be honest.
My main concern is I'm married and renting I work only 16hrs a week my wife pays the bulk of the outgoings I just put my wages into the pot and go from there,which is all fine and has being for some time,just the debts are crippling me.
I have a mobile contract all upto date and has being for over 6 years I will still be able to afford it as I've included it in my SOA and it will not go into the DRO(can I keep this,will it affect me once I'm due the usual upgrade)only answer on this I can find is you can't get credit on a DRO that's ok but what if you already have it will the phone company not know and carry on.
I also have 2 bank accounts no overdraft no debt to these banks and again no need to enter the DRO (would these be closed?)once again only answer I can find is if you put in DRO the bank will obiously close them as there not getting there money back)but I don't owe them anything.
Also I have being asked to check my tenency agreement(I have no arrears and never have and won't in the near future as the household income covers this in my SOA)only answer on this I can find is you can put arrears in your DRO but the landlord can evict you just not get the arrears(but as said above no arrears so no need to include rent in DRO will I need to run the risk of telling my landlord or just stay quiet? Don't want to open a can of worms if there's no need

Sorry for the long post any help answering the points would be really appreciated.:j

National_Debtline

Hello there.

What have you done in relation to the summons? if you decide against the DRO you'll need to respond to the claim with an offer of payment. You can find information on doing that here: http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=20_replying_to_a_county_court_claim_form. if you do go ahead with the DRO you can place the debt within the order. You could respond to the claim with an offer of payment and still include the debt within the DRO.

You'll need to complete a joint financial statement for the DRO. The intermediary will then work out your share of the income and proportionate share of the outgoings when it comes to working out whether or not your disposable income is below the required £50.

Your mobile contract should be fine - so long as you're on a reasonable tariff.

The banks may close the account(s) if they have a policy to do so. Many banks are quite OK with people being under a DRO.

It'll be worth finding a copy of your tenancy although I've yet to see one that specifically objects to DROs.

Really hope this answers your questions!

David @ NDL.

bell123321

Hi ya my personal experience with some of your questions

- Mobile phone is fine and I was advised when it comes to renewal to get a same priced plan (If going lower will make you go over the £50 spare each month). I have upgraded whilst having a DRO but I stayed with the same company who didn't appear to re-credit check me.
-I had a bank account that I owed no money to and all money went into, they closed my account within 2 days of me getting a DRO (I didn't owe them anything or any of their partner banks). I would advise getting a Barclays cash account before as they accept people with DRO's. My partner had the same thing happen with him, again owed nothing with them or their partner banks (He opened the account in advance for the DRO), which left us in a really difficult situation for a week.
-I wouldn't tell your landlord or include them in your DRO (Unless you had arrears) unless your contract says you have to.

Good luck with what you decide

Drakes

Thank you for the replys
In relation to the summons I've sent off the claim fourm with a token £1 a month payment till I get all the paperwork together to apply for the DRO

That's good news about the phone as I'd hate to loose it after all these years

About the banks closing the accounts seems a little unfair as it would just be my money going in and out,so no risk to them(can't have it all my own way I suppose)
All the bills get payed threw my wife's account(this won't be affected will it)apart from my mobile contract,I could just use that when I phone up to pay?

Once again thanks for your time in replying:)

longtermplanner

Drakes wrote: »

All the bills get payed threw my wife's account(this won't be affected will it)

Your wife's account will not be affected.

If you have any joint accounts, her credit rating will be affected. but not her accounts in her own name.