Debt Arrangement Scheme - Realistic time until first payment?

AdviceSought

Hi folks

I'm about to send away my forms to enter into a Debt Payment Plan (DAS).

I want my repayments to start after I receive my salary at the end of August, as I've just made all the payments for this month, therefore I'd like a wee bit of breathing space before this commences.

Can anyone advise if this is likely to be the case if I send my forms now, or should I hang fire a bit before sending them in?

Advice greatly appreciated on this.

coolcait

Your money adviser should have given you an idea of how long it takes.

The first question is, how long does your money adviser take to get things sorted out once you send them the forms?

After that, they'll send a formal offer to your creditors, and you have to wait 21 days to see if the creditors accept it or not.

If they all accept it, the DAS will get approved and you have to start paying within 42 days.

If they don't all accept it, the DAS Administrator - the civil service folk that manage DAS - will decide whether or not it goes ahead. That takes time too.

If the DAS Administrator accepts the DAS, you have to start paying within 42 days.

If they don't accept it, you can ask for a review. That takes time to decide.

Your August salary might not even be part of the equation.

AdviceSought

Many thanks Cait.

Any idea what % of these don't get approved?

coolcait

Hi AS

I had a look at the Accountant in Bankruptcy's annual report for last year (AiB are the DAs Administrator too) to see if there's an answer there.

I can't say that I found their figures easy to follow! But it looks as if around 6% of DAS applications are rejected. It's certainly a small amount, even if I've got the percentage a bit wrong.

AdviceSought

coolcait wrote: »

Hi AS

I had a look at the Accountant in Bankruptcy's annual report for last year (AiB are the DAs Administrator too) to see if there's an answer there.

I can't say that I found their figures easy to follow! But it looks as if around 6% of DAS applications are rejected. It's certainly a small amount, even if I've got the percentage a bit wrong.

Thanks.

Certainly hope this will be accepted, as although I know it will damage my rating, although it will be very poor anyway due to loads of payday loans etc, it WOULD see me having everything paid off much quicker than the way things are currently going too, so the way I see it is, some short-term pain for much longer-term gain.

Fingers crossed.

sourcrates

AdviceSought wrote: »

Thanks.

Certainly hope this will be accepted, as although I know it will damage my rating, although it will be very poor anyway due to loads of payday loans etc, it WOULD see me having everything paid off much quicker than the way things are currently going too, so the way I see it is, some short-term pain for much longer-term gain.

Fingers crossed.

You can wait a few months you know, save up an emergency fund first.
The debt collection process can take many months, even years, nothing will happen if you miss a few payments.

Always best to have a little contingency fund, in case things go wrong.

Also your credit file is the last thing you should be bothered about at this point in time.

AdviceSought

sourcrates wrote: »

You can wait a few months you know, save up an emergency fund first.

Even if I send in the application pack to get the DAS process underway now?