DRO and change of circumstances

ClaireRowe84

Hi, 

I am sorry, I have searched the forum and I found one post that doesn't fully confirm my question. I hope somebody can help me to understand the statue of limitations. 

I was accepted for a DRO in November last year and I have been offered a promotion. If I take this job offer, I could be earning more and my DRO will be cancelled. 

The pay rise takes me just over the threshold but not enough to completely pay off all my debts that are in the DRO.

My question is the debts and the statue of limitations.

If I do take up this job offer, and my DRO gets cancelled, does the 6 years re-start from November 2022 or is it still from February 2018. 

I hope that makes sense? It's just one of the debts is going to be 6 years old in February 2024. 

I honestly don't know what to do. I want to be debt free and I was so happy and relieved when it got accepted, I had a lot of sleepless nights over it.

But I am also proud of myself for being able to get a promotion and really want to further myself at work. 

Thank you in advance for any help and advice that you can give me.  

flipflopflo

The statute of limitations comes into play when you have 6 years of non payment or acknowledgement in writing of the debt. 

How much above the £75 will you be with the new wage?

Have any of your outgoings increased since you started the DRO? 

sourcrates

The Limitation act 1980.

It`s likely that preparing the paperwork for a DRO, obtaining outstanding balances etc, would be classed as acknowledgement of your debts, if it was done in writing.

If it was done verbally, that does not count, so it depends on how that was approached.

If that does not count as acknowledgement, the original default dates still stand, if it does, then the date of the start of your DRO would be the new cause of action date.

However, lets not get ahead of ourselves, I`d like to see the answers to flipflops question above first.

StevenB12

I started a new job on better pay when I had about 6 months of my DRO left. Technically I was no better off as everything else had also gone up in price at this point. I would have been worse off remaining where I was, I more or less went back to square one. 

When you work out how much extra you may be better off against the rise in costs of everything around you, you'll probably find your not much better off, if anything. 

As others may say if you're going to be £20 or so over the limit, I wouldn't worry.