DRO and 'cost of living' payments.

Hheyes

While awaiting a reply from The Insolvency Service, can anyone point me to definitive/official guidance on how the DWP 'cost of living' payments affect DRO?

I'm wondering about a situation whereby receipt of them increases assets to more than £2k, and also 'appears to suggest' having more than £75 'spare' income each month.

Common sense suggests that the payments are to cover ongoing expenditure over an undefined(?) future period.

Please and thanks.

sourcrates

This from the Debt Camel website -

Exception – extra cost of living payments in 2022

You do NOT need to tell the DRO Unit if you receive any of these including:

• £150 because you are in Council Tax band A-D;
• £650 (paid in two parts in July and the autumn) because you are on some benefits;
• £150 if you are receiving a disability benefit;
• £300 extra payment if you are a pensioner who gets the Winter Fuel Payment;
• £400 reduction in your electricity bill.

So relax, and carry on.

Hheyes

sourcrates said:

This from the Debt Camel website -

Exception – extra cost of living payments in 2022

You do NOT need to tell the DRO Unit if you receive...

So relax, and carry on.

Thankyou.

That appears to cover the issue of 'unexpected additional income' going beyond the £75 monthly limit.

I hope 'do not need to tell' also covers the scenario in which the received payments remain unspent and accrue - thus potentially directly increasing a bank account balance to more than £2k.

In my own case, I've received 150 'council tax' rebate, 650 'cost of living', 500 'winter fuel', plus an additional 'not sure what' 200 from my local authority - a total of 1500 and much of which (because I haven't yet paid some bills or otherwise used the money for food and other allowable expenses) remains in my bank account. 

sourcrates

Hheyes said:

sourcrates said:

This from the Debt Camel website -

Exception – extra cost of living payments in 2022

You do NOT need to tell the DRO Unit if you receive...

So relax, and carry on.

Thankyou.

That appears to cover the issue of 'unexpected additional income' going beyond the £75 monthly limit.

I hope 'do not need to tell' also covers the scenario in which the received payments remain unspent and accrue - thus potentially directly increasing a bank account balance to more than £2k.

In my own case, I've received 150 'council tax' rebate, 650 'cost of living', 500 'winter fuel', plus an additional 'not sure what' 200 from my local authority - a total of 1500 and much of which (because I haven't yet paid some bills or otherwise used the money for food and other allowable expenses) remains in my bank account. 

You do not have to declare them, and you are not checked up on........relax.