Can they revoke DRO from extra money?

LisaMarieMMA

I’m only getting Carers Allowance and Universal Credit and sometimes get a bit of extra money from family to help me but there’s never anything left over each month. I just wanted to ask, it’s my birthday soon and will be getting a bit of money. Nothing life changing just a few hundred but would they stop my DRO if it goes in my bank account? It’s only a one of as it’s birthday money but don’t really know how it works. I’ve just read that if you have more than £50 left over each month they can revoke the DRO.

Annie35

Could you ask for cash? You can still spend it right

I'm in a similar situation myself

LisaMarieMMA

Hi Annie,

Sorry i didn’t mention it is cash i’ll be getting but i wanted to put it in my account to spend it. I shop online etc

Annie35

Debt camel has a relevant article, it seems you can have assets upto 1000£ but much over could mean the OR considering revoking the DRO.


https://debtcamel.co.uk/dro-income-up/

sourcrates

Hi,

I would not worry about it, you are not checked up on, and you are allowed £1000 in assets (cash), the £50 surplus only applies to regular income.

Revocation happens at £1850.

Spend your money, enjoy your birthday, forget about it.

fatbelly

LisaMarieMMA wrote: »

I’m only getting Carers Allowance and Universal Credit and sometimes get a bit of extra money from family to help me but there’s never anything left over each month. I just wanted to ask, it’s my birthday soon and will be getting a bit of money. Nothing life changing just a few hundred but would they stop my DRO if it goes in my bank account? It’s only a one of as it’s birthday money but don’t really know how it works. I’ve just read that if you have more than £50 left over each month they can revoke the DRO.

This wouldn't be regarded as surplus income, it would be regarded as a lump sum:

This applies where a debtor receives a lump sum during the moratorium period after a DRO has been made.

Where a lump sum is received and the value of the debtor’s total property (including the lump sum) does not exceed £1,000 no action will be taken.

Where a lump sum is received and the value of the debtor’s total property (including the lump sum) is between £1,000 and £1,990 the Official Receiver will consider the circumstances of the case and may not revoke the DRO.

Where a lump sum is received and the value of the debtor’s total property (including the lump sum) exceeds £1,990 the Official Receiver will consider the circumstances of the case but it is likely the DRO will be revoked.

Where a DRO is revoked and the debtor remains insolvent the debtor can use the lump sum to enter a different insolvency remedy e.g. bankruptcy/IVA.

LisaMarieMMA

sourcrates wrote: »

Hi,

I would not worry about it, you are not checked up on, and you are allowed £1000 in assets (cash), the £50 surplus only applies to regular income.

Revocation happens at £1850.

Spend your money, enjoy your birthday, forget about it.

Thank you, i will try