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Debt Relief Orders (DRO) - Information & help thread - Page 493

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Debt Relief Orders (DRO) - Information & help thread

edited 13 March 2019 at 2:26PM in IVA & DRO
4.9K replies 1.9M views
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  • fatbellyfatbelly
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    Hi

    You might be better posting on the main board rather than the DRO thread. You've probably got more than 20k of debt and so a DRO isn't in the picture.

    You'll need to give some figures about your new income and debts but you would hope that your adviser considered bankruptcy at the start and didn't just mis-sell an IVA because of the fees they receive.

    You cannot just switch from one insolvency solution to another. So you cannot consider bankruptcy until the IVA is terminated, which could take a long time.
  • Hi and thank you for reply. My debt is £37,500. Does that mean i have to make the IVA fail if i was to go bankrupt? Not really sure what to do and worried i will destroy my family over something that is my fault.
  • fatbellyfatbelly
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    steveado wrote: »
    Hi and thank you for reply. My debt is £37,500. Does that mean i have to make the IVA fail if i was to go bankrupt?
    Yes, but look - start a new thread in the main part of the board
  • So guys any help appreciated I am in the process of starting a dro I have been in contact with stepchange and have advised for dro I met all the criteria have all the information and am going to send my application form back today, what im worried about is i have been reading online about using credit.

    So basically i became single lately and cant afford to pay my cards off
    So basically what I was doing was my cards where at there credit limit for the last few months
    So all my wages except my rent and insurance and tax I was putting the cash onto my cards to meet the minimum payments etc but I was spending the credit on them for my everyday living so basically I was stuck in a cycle of just paying my cards on time but spent the money again as soon as it cleared
    Will this be a problem as I thaught i was doing good to try keep my credit score level.

    Will this be a problem do you think?
  • fatbellyfatbelly
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    United_ wrote: »
    So guys any help appreciated I am in the process of starting a dro I have been in contact with stepchange and have advised for dro I met all the criteria have all the information and am going to send my application form back today, what im worried about is i have been reading online about using credit.

    So basically i became single lately and cant afford to pay my cards off
    So basically what I was doing was my cards where at there credit limit for the last few months
    So all my wages except my rent and insurance and tax I was putting the cash onto my cards to meet the minimum payments etc but I was spending the credit on them for my everyday living so basically I was stuck in a cycle of just paying my cards on time but spent the money again as soon as it cleared
    Will this be a problem as I thaught i was doing good to try keep my credit score level.

    Will this be a problem do you think?

    I see you got good advice on the other thread.

    In the lead-up to a DRO:

    Make sure you are banking where you do not have debts.

    Stop paying the creditors. That way you are treating everyone the same and speeding up the process of getting £90 together. Most organisations have a bit of a backlog anyway. You can have surplus of up to £50 per month and capital/assets of up to £1000 so a little delay in submitting the DRO is not a problem unless you are right up against the 20k maximum limit.
  • Robbie64Robbie64
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    Hi, thanks for the help I've received in this thread so far with the queries I've posted.


    I'm now in a DRO which was granted on 25/09/19. It's a bit of a struggle at times as I'm on a low income but I've learned to budget much better and I always make sure my priority bills are paid on time and none of them (rent, gas, electricity, insurance etc) are in arrears.


    My question relates to defaults and default dates. I know it's early days yet and my DRO still has another 10+ months to run. None of the accounts I have for non-priority debts, all of which were included in my DRO, had defaulted when I was granted a DRO. Three have now defaulted but all on various dates and three are still showing as late payments though all should have defaulted by the end of the year.


    Will the default dates still apply going forward from when my DRO ends or would I be able to get the default dates changed to when my DRO was granted or is that not how it works? As I posted above, at the moment I'm not long into my DRO so don't need to be chasing up any creditors to have information to be corrected if the dates do need changing but it's something for me to keep an eye on.


    Thanks in advance for any information you can provide.
  • fatbellyfatbelly
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    Yes, the default dates should be the date of the DRO or earlier.

    You can ask them to amend this.
  • Hi, I posted a while ago regarding applying for a DRO via stepchange. I started the process in July and have had to make a complaint as I have still not had an answer. I have sent them all
    of the information they have requested and it seems from a call
    to them yesterday that they can not find my paperwork which they confirmed receipt of in September. The complaints team emailed me to say I would get a call today to discuss my application, but no call was received. I am
    lost as to what to do. Any advice would be appreciated.
  • fatbellyfatbelly
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    Hi, I posted a while ago regarding applying for a DRO via stepchange. I started the process in July and have had to make a complaint as I have still not had an answer. I have sent them all
    of the information they have requested and it seems from a call
    to them yesterday that they can not find my paperwork which they confirmed receipt of in September. The complaints team emailed me to say I would get a call today to discuss my application, but no call was received. I am
    lost as to what to do. Any advice would be appreciated.

    Just posted on another thread to say they were dragging things out a bit but that progress was being made.

    In your case it does seem to have come to a halt. It's worth pushing them to send you a copy of the draft application and the barcode letter to make the payment.

    If that doesn't work then a formal complaint (in writing) seems in order and then you may have to try another route, maybe CAB.

    If the stepchange application comes back to life you can always ditch the second application - the DRO Team in Plymouth don't see anything until it is submitted, which you wouldn't do unless the fee had been paid.
  • Many thanks. I feel frustrated and shocked that its now November and Im no further forward. There is only so long my creditors will tolerate this. I did consider a 2nd DRO application so will book an appt with my local CAB.
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