Amending DRO

Hellothere96

Hello,

Wandering if anyone has had experience of amending their DRO once approves?
My DRO was approved on the 20th (yayyy) but the next day I received a letter from one of my creditors that were listed on my application that I have an extra £462.68 in arrears due to missed payments.
I wasn’t aware of these arrears before submitting my application as when I rang the morning of my meeting to submit, they told me the balance I put on my application!

I’m going to ring the insolvency service tomorrow and fingers crossed they’ll be able to amend this debt on my DRO.
I’m really worried they won’t and it could cause issues for me so if anyone has been through this, please let me know your experiences

Thanks!

Hellothere96

Anyone? :(

Craig1981

morning. If the DRO was officially approved on the 20th, then you will not be able to add this debt to it, however, you must still tell the OR about it and that it was forgotten

if this debt pushes you past £20k debt, your whole DRO might fail though.

what are the arrears for? if it is for an already inluded debt, it may be that the whole mount of debt is set aside, dependant on the company. - Rent Arrears for example, ones my tenants have done through various SL i have worked for, include debt to the date, not the amount listed on the DRO. However they do not need to do this

other, will chase you for the amount not listed, and if not listed at all, then you will need to make a separate arrangement to get that cleared yourself

Hellothere96

Hi Craig,

The arrears are for missed payments on my Sainsbury’s bank loan of £11K which was included on my DRO, I don’t need to add the £462, I just want to amend the amount already on the DRO. Adding this amount will not bring me over the 20K at all.

I have spoken to an intermediary who said the OR can amend a DRO but it’s up to their discretion so I am phoning this morning and will let you know the outcome.

Thanks

fatbelly

Hellothere96 wrote: »

Hello,

Wandering if anyone has had experience of amending their DRO once approves?
My DRO was approved on the 20th (yayyy) but the next day I received a letter from one of my creditors that were listed on my application that I have an extra £462.68 in arrears due to missed payments.
I wasn’t aware of these arrears before submitting my application as when I rang the morning of my meeting to submit, they told me the balance I put on my application!

I’m going to ring the insolvency service tomorrow and fingers crossed they’ll be able to amend this debt on my DRO.
I’m really worried they won’t and it could cause issues for me so if anyone has been through this, please let me know your experiences

Thanks!

Did you pm me about this? Yes, it's fine

Either the creditor or the debtor can ask for a balance to be amended.

You can do this by phone or in writing (latter may be better)

I write to request an amendment of the Debt relief order following an error. One of the debts included in my DRO has been scheduled incorrectly as follows:-
[Insert details of the creditor/reference/amount of debt as they appear in the application as submitted to the DRO Unit]

The debt should have been scheduled to the DRO as follows:-
[Insert amended details of creditor/reference/amount of debt as appropriate]

The debt was not scheduled correctly to the DRO because [explain reasons and refer to any documentary evidence and attach this]

Under sections 251L(1) & (8) of the Insolvency Act, the Official Receiver has discretion to amend a DRO during the moratorium to correct an error in or omission from anything specified in the order. I ask that you please use your power and amend the DRO to correct this error.

I would be grateful if you would confirm your decision in writing.

Hellothere96

Hi Fatbelly,

Yes it was me!
I have rang them up this morning and they have told me to send an email with the letter I received and they will write to me if they will amend it for me!
The lady didn’t seem surprised or anything so I assume it’s a common thing with DRO’s.

Now just the torturous wait till new year for the decision ��

Thanks Fatbelly

Hellothere96

Hi Fatbelly,

This is what I wrote in my email, is this ok/appropriate?

Good Morning,

I rang up this morning to ask if it was possible to amend a debt amount on my DRO******* and was told to email proof of the amount.
Please see attached a letter from Sainsbury's Bank loan stating I have £462.78 in arrears due to missed payments.

The morning of submitting my DRO application (18/12/18) I rang Sainsbury's Bank to request an up-to-date account balance to which they gave me the amount of £10,454.40 which was the figure I put down on my application.

My DRO was approved on the 20th December 2018 and the next day (21/12/18) I received a letter dated the 14th from Sainsbury's Bank with this extra amount I owe, that I wasn't aware of before submitting my application.

I am just wandering if it is possible to amend this Debt on my DRO to £10,917.18 to include these arrears?

Thank you,

Kind Regards

Hellothere96

I’ve resent the email with the template you sent, is it ok that I sent multiple emails to the DRO unit?
I’m sure they will see that they’re all together?

Thanks

fatbelly

Hellothere96 wrote: »

I rang up this morning to ask if it was possible to amend a debt amount on my DRO******* and was told to email proof of the amount.
Please see attached a letter from Sainsbury's Bank loan stating I have £462.78 in arrears due to missed payments.

The morning of submitting my DRO application (18/12/18) I rang Sainsbury's Bank to request an up-to-date account balance to which they gave me the amount of £10,454.40 which was the figure I put down on my application.

It sounds like you're getting confused between arrears (which is the amount you are behind with your contractual payments) and balance (which is the amount you owe). The balance would normally take account of the arrears figure, so £10,454.40 would be the correct figure.

Hellothere96

Hi Fatbelly,

I’ve worked it out on the statement they sent and it doesn’t seem that the arrears are included in the balance.
Will the DRO unit look into this and let me know if it doesn’t need including anyway?
Thought it’s better to be safe and send the email but thank you for your advice.

sourcrates

I would not worry too much about this, the debt will most likely be written off in its entirety at the end of the DRO regardless.

Worst case scenario you will owe £400 odd quid in a years time, not the end of the world.

Enjoy your Christmas.