Dro

silvertooth

What are the max allowances when working out your expenses?

we are earning £26k pa and our expenses don’t look that much but we really can’t pay our debts

TRX808

silvertooth said:

What are the max allowances when working out your expenses?

we are earning £26k pa and our expenses don’t look that much but we really can’t pay our debts

It depends on how many adults (and children) live in property I would suggest to complete online debt remedy tool on Stepchange web site, You said "We" but remember DRO application can not be joint. 

sourcrates

You most likely won`t qualify for a DRO when you earn so much, payments to creditors are disregarded for budgeting purposes in a DRO.

silvertooth

We are two adults and three kids

fatbelly

Post a statement of affairs and we'll have a look. You make it sound like you do have surplus income when you say 'our expenses don’t look that much' 

The 'max expenses' can be flexible if there is a genuine need for the expenditure.

silvertooth

When I fill out the forms it looks like we have enough but the reality is we don’t have enough to live on, let alone keep paying off all these monthly payments.

i supposed the problem is a lot of things our expanses go on may not be considered essential for example we do spend a lot on alcohol and cigarettes 

fatbelly

That's sort of the point of a statement of affairs - it makes you analyse where things are going.
So keep a record of what you spend on alcohol and what you spend on cigarettes and put those figures in - then ask some hard questions about what needs to be cut and how.