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    • fatbelly
    • By fatbelly 4th Jul 19, 11:55 AM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    Quick question this. I have two cars both under 1k in value but prob over 1k together would that mean I donít qualify.
    Originally posted by Bcfc171081
    Not necessarily. One car would be covered by the vehicle exemption. The other would just count as an 'asset'. As long as your other assets (savings etc) did not take your assets over £1000 you would still qualify
    • Chezney19
    • By Chezney19 6th Jul 19, 9:47 AM
    • 2 Posts
    • 1 Thanks
    Chezney19
    Help
    Hi
    I am currently weighing up my options and speaking to advisor - they advise me of doing a DRO - my concern is 1) my car I use isnít owned by me (have letter proof) but need this due to living in rural area and have 4yr old 2) need for work

    Other worry I have is ... I lost my job March final pay was end of March and I have contact all debt people to inform of my situation, I am not entitled to benefits due to partner earnings, I also am self employed (sole trader) as set up ironing from home business 3yrs ago when little one was baby to earn some money ... I cut this more than half (clients done) when employed April 2018.... now unemployed and only doing ironing Iím literally getting £10-40 per week some weeks nothing !

    If I go for a DRO is this going to effect my self employment? Do I actually need to them advisor Iím self employed? As some clients pay me cash. Also do I loose my bank accounts?

    Iíve had a lovely visit from HCE guy this week right when trying to leave for school run, itís a debt which I actually spoke to the client about back in Oct 2016 , I informed them that I hadnít worked since 2012 (which I hadnít) that I had a baby and my situation wasnít going to be changing in near future (stay at home mum) I made them an offer of £5pm ... they never replied back to my email ... 3yrs later and this guys at the door, Iíve had no contact from the clients no paperwork and he said instructed to take my car which informed him isnít mine, that Iím unemployed, finally got rid of him for him to then follow me to my childís school!!!

    I have been speaking directly to the clients claiming by email , they said the offer back in 2016 wasnít good enough , my argument is the fact they didnít bother to reply to me or make any contact since! Iíve informed him that I am currently getting debt help and still sorting this out but it will take 16days for this to be processed etc (not mentioned DRO)

    He has instructed HCE to hold account but only given me until weds ! Iíve said this isnít long enough for me to sort something out. Iíve sent back expenditures form to them.

    What does anyone suggest I do ? I havenít stopped worrying, I should be classed as vulnerable due to having child and unemployment but he isnít interested, I even informed him (bailiff) that Iíve been updating everyone else every 30days with an update on my situation and they hold my account , obviously once I find work then happy to set payment plan, but right now my ironing money helps buy food shop or my fuel / insurance, my partner is paying for rent bills everything else and we are -£ as it is.

    Iím just not sure if DRO is best for me or administration order due to self employed?
    Plus want to keep bank accounts.

    Feeling so stressed with it all
    • sourcrates
    • By sourcrates 6th Jul 19, 11:11 AM
    • 18,051 Posts
    • 16,982 Thanks
    sourcrates
    Hi Chezney 19,


    If you have debt with your current bank, then obviously the account will close.
    If you dont have any debt with them, depending on the bank, you may be able to keep the account, some banks routinly trawl the insolvency register, and if your name is found, you will be given two months notice usually.

    Opening a new basic account can be done in 5 mins online, so its no real problem if they do close it.

    For DRO purposes, the only thing that matters is if you meet the £50 disposable income threshold or not.

    Obviously the other criteria apply as well, but dont make this more complicated than it need be.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • Chezney19
    • By Chezney19 6th Jul 19, 11:37 AM
    • 2 Posts
    • 1 Thanks
    Chezney19
    I have basic cash account which is OD by £38! So nothing major

    I’m purely wanting to know if DRO is best option for my situation or admin order ? I cannot give definite figure as ironing differs so much that it’s not set income as such ... I will call advisor today again and see what they say. I just don’t want to have a DRO and end up not being able to have bank accounts etc
    • sourcrates
    • By sourcrates 6th Jul 19, 12:06 PM
    • 18,051 Posts
    • 16,982 Thanks
    sourcrates
    I just don’t want to have a DRO and end up not being able to have bank accounts etc
    Originally posted by Chezney19

    You will have A bank account, a DRO is not as rigid as bankrupcy for example, you will not really know your in one.

    For your income, just take an average month, that you can provide proof for if asked, such as a pay slip or bank statement, multiply by 12, that will get you a figure you can work with.

    I believe you can sign a statement of fact (or somthing of that nature) to say this is my income/expenditure etc.

    Your DRO advisor will explain everything to you, the 12 months pass so quickly, you will wonder :


    (A) why i didnt do this sooner,

    and

    (B) what all the fuss was about...........
    Last edited by sourcrates; 06-07-2019 at 12:11 PM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • fatbelly
    • By fatbelly 6th Jul 19, 4:01 PM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    For an Admin Order you would need to have
    • at least two debts
    • one of them being a ccj (sounds like you have that)
    • total debts under £5000

    But tbh if that is your situation and your surplus income is under £50 per month, it would be simpler and cheaper to do a DRO

    As for the HCEO, don't tell him you're doing a DRO and avoid him as much as possible. The car is not available to him (also invisible as far as a DRO goes) but that will not stop him harassing you and possible clamping it.
    • Robbie64
    • By Robbie64 9th Jul 19, 3:24 PM
    • 970 Posts
    • 819 Thanks
    Robbie64
    Hi. If possible can someone put my mind at rest as I'm in a bit of a panic. I'm working with StepChange and have been sent a Debt Relief Order Application Agreement to sign and complete and to return along with proof of income (which is ESA and PIP) and name and address of my creditors and how much I owe. Also on the form is a section that says if I have a pension fund with a current or previous employer to supply the name of each employer and pension or payroll number with them. I used to be in the Civil Service and have a deferred pension which I can draw in full at 60 or which can be drawn at a reduced rate before that (I am currently 55). I didn't know if this question applied to me so I phoned StepChange for clarification and I've been left feeling very anxious by what turned out to be a lengthy conversation with the person I spoke to. They said I need to put down who I have the deferred pension with and my payroll or staff number. I said I thought a Civil Service pension that hadn't yet been applied for would have no effect on a DRO and indeed I had read this somewhere a few weeks ago (though in time honoured fashion I now can't find where I read that). However the guy said there was an insolvency test (which I had also read about) that if I could draw down a lump sum to cover the debts then a DRO may not be applicable.


    Can someone advise me: would a yet-to-be-claimed Civil Service pension really stop me from getting a DRO? It wouldn't be much anyway as I was only in the Civil Service for 12 years and left in the 90s. I have no other pensions due. I thought that if a pension hadn't been claimed then it would be ignored. I do realise some people aged 55+ can claim money against a pension pot and then get a smaller pension somewhere down the road but it's not like that in the Civil Service Pension Scheme. It's essentially a type of final salary scheme (I think it's classed as a defined benefit pension scheme?) and what's more when I worked there it was non-contributory. Even if it does have no effect I'm worried that someone having to check with the administrators of the Civil Service pension scheme will slow things down so much. The administrators are notoriously slow at dealing with any queries.



    I've been asked to mention my Civil Service pension on my form: what should I write? And also is there any resource (a web page for example) I can print off and enclose if it wouldn't have any effect.


    Sorry for the lengthy post but I'm panicking. I'd got everything together to send off the agreement and was making this final phone call before doing so for clarification. I'm now feeling very panicky and unsettled. I appreciate any helpful advice anyone can give me.
    Last edited by Robbie64; 09-07-2019 at 3:46 PM.
    • fatbelly
    • By fatbelly 9th Jul 19, 8:16 PM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    Hi. If possible can someone put my mind at rest as I'm in a bit of a panic. I'm working with StepChange and have been sent a Debt Relief Order Application Agreement to sign and complete and to return along with proof of income (which is ESA and PIP) and name and address of my creditors and how much I owe. Also on the form is a section that says if I have a pension fund with a current or previous employer to supply the name of each employer and pension or payroll number with them. I used to be in the Civil Service and have a deferred pension which I can draw in full at 60 or which can be drawn at a reduced rate before that (I am currently 55). I didn't know if this question applied to me so I phoned StepChange for clarification and I've been left feeling very anxious by what turned out to be a lengthy conversation with the person I spoke to. They said I need to put down who I have the deferred pension with and my payroll or staff number. I said I thought a Civil Service pension that hadn't yet been applied for would have no effect on a DRO and indeed I had read this somewhere a few weeks ago (though in time honoured fashion I now can't find where I read that). However the guy said there was an insolvency test (which I had also read about) that if I could draw down a lump sum to cover the debts then a DRO may not be applicable.


    Can someone advise me: would a yet-to-be-claimed Civil Service pension really stop me from getting a DRO? It wouldn't be much anyway as I was only in the Civil Service for 12 years and left in the 90s. I have no other pensions due. I thought that if a pension hadn't been claimed then it would be ignored. I do realise some people aged 55+ can claim money against a pension pot and then get a smaller pension somewhere down the road but it's not like that in the Civil Service Pension Scheme. It's essentially a type of final salary scheme (I think it's classed as a defined benefit pension scheme?) and what's more when I worked there it was non-contributory. Even if it does have no effect I'm worried that someone having to check with the administrators of the Civil Service pension scheme will slow things down so much. The administrators are notoriously slow at dealing with any queries.



    I've been asked to mention my Civil Service pension on my form: what should I write? And also is there any resource (a web page for example) I can print off and enclose if it wouldn't have any effect.


    Sorry for the lengthy post but I'm panicking. I'd got everything together to send off the agreement and was making this final phone call before doing so for clarification. I'm now feeling very panicky and unsettled. I appreciate any helpful advice anyone can give me.
    Originally posted by Robbie64
    Hi Robbie

    I saw your post earlier but it looked like it would take a long time to read...

    So you list your pension - list more than one if you have more than one. The main reason is so that the DRO unit can check that it's an approved pension and not you just shuffling 100k into an account somewhere.

    Now what the guidance says is

    With effect from 1 April 2015, individuals aged 55 or over with a personal pension can withdraw all or part of their pension as a lump sum.! If a debtor has a pension fund and is 55 or over the intermediary will need to consider if they are eligible for a DRO.

    The AI will need to establish the following:

    The age of the debtor
    The total value of the personal pension fund
    The total amount of their liabilities

    If the debtor is 55 (or will be by the end of the moratorium period) and their total pension fund is in excess of their total liabilities, the AI should refer to the DRO Team.

    If the AI has established that the pension benefits are less than total liabilities, any potential DRO applicant can be advised that a DRO application will not be affected by the personal pension.
    Having just looked at the guidance it's not quite correct, is it? It is only Defined Contribution schemes that this should apply to.
    Last edited by fatbelly; 09-07-2019 at 8:22 PM.
    • Robbie64
    • By Robbie64 9th Jul 19, 8:53 PM
    • 970 Posts
    • 819 Thanks
    Robbie64
    Hi, thanks for your reply and for taking the time to read what I wrote - again sorry about the length.


    My Civil Service pension is the only pension I will have.The guidance out there is a bit confusing. As you posted the guidance refers to a "personal pension" but as you point out the guidance should only apply to a Defined Contribution Scheme pension. I don't have a pension pot that I can draw against as mine is a Defined Benefits Scheme pension from what I can see. It is an approved pension by the HMRC (which I would hope so given it's a public sector pension!)

    The guy I spoke to didn't seem overly familiar with public sector pensions and how they work as he did at one stage ask if I knew the value of my pension fund (i.e. I assume he meant was it worth more than my debts, again it's not that kind of pension scheme, it doesn't have an overall value as far as I can tell) then went on to give an example of his mum having a pension pot worth £35,000 and drawing out £5,000 of it. I simply can't do that with mine, there isn't the ability in the Civil Service pension scheme to do that. It's either draw the pension at 60 or draw it earlier at a reduced rate. The guy checked with his Team Leader who said that they thought my preserved pension shouldn't affect my DRO but that just left me even more panicky. I phoned up seeking a simple answer and ended up having a conversation for quite some time that left me feeling panicky.

    I did find something a few weeks ago that put my mind at rest but I now can't find it. The only thing I can find is an article at a website called called Debt Camel which gives much the same interpretation as yourself (again sorry for this becoming a lengthy post but I thought it worth posting):

    If you are thinking about a DRO

    If you will be under 55 on the day your DRO is approved, it doesn’t matter how large your pension pot is, it will be ignored as you will be too young to access it at that point.

    If you will be 55 or over when your DRO is approved, the Insolvency Service’s guidelines say:


    “Where the debtor is over 55 and has access to an undrawn personal pension fund intermediaries are asked to consider whether the insolvency test has been met and at the date of the [DRO] application .. the debtor is unable to meet their debts … In a DRO, an intermediary who is concerned that the available fund is considerably higher than the outstanding debt is asked to contact the DRO Team to establish whether the official receiver will in the circumstances grant the application.


    This is saying if you could have taken money out of your pension and that would have been enough to repay all the debts that would be included in your DRO, then you are not really “insolvent” and your DRO application will not be approved.


    The guidelines say “personal pension”. I understand this refers to a defined contribution pension, where you have a “pot of money” that you could access. It doesn’t refer to a defined benefit scheme, where your pension will be linked to your final salary.


    If you have a defined benefit pension that isn’t yet being paid to you, this can be ignored (unless it will start to be paid to you within the one year DRO period… if this is the case you must talk to the adviser setting up your DRO about your situation.)
    Should I quote the above when sending in the agreement form? Or would just mentioning that it is a Civil Service pension be enough? I was hoping that applying for a DRO would help ease worries and not cause more.
    Last edited by Robbie64; 09-07-2019 at 9:14 PM.
    • Shakeyatictacs
    • By Shakeyatictacs 1st Aug 19, 7:56 PM
    • 4 Posts
    • 1 Thanks
    Shakeyatictacs
    Good evening,
    Could I get some advice on the following please?
    I have spoken with Stepchange today who reluctantly agreed to support an application for a DRO. Reason for reluctance was that I have a deficit of around £60 per month after a DEA is paid from my wages, the advisor wasn't happy with this so we altered the figures (food and shopping went from £394 to £350 etc) until it showed a surplice - then advisor said I was only eligible for Bankruptcy. I was not happy with this as I felt coerced so asked they change it back to my original SOA which then made me eligible for DRO.
    I didn't/forgot to tell them that I have a Help to Save Account which currently has £405. I was planning on saving up, and earning bonus, until I had enough to pay for my bankruptcy application before I knew I would be eligible for a DRO. So whilst I am relieved in one sense that this is an option, I am now concerned that this Help to Save account could jeopardise this. I am waiting for the application form via post but just need some advice on whether:
    A - do I need to declare this as its an HMRC help to save scheme (couldn't find any info on this)
    B- declare this account and continue with the DRO application
    C - declare the account but withdraw the £405 and use toward the £90 fee

    Any help would be gratefully received

    Thank you
    • fatbelly
    • By fatbelly 1st Aug 19, 8:30 PM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    Good evening,
    Could I get some advice on the following please?
    I have spoken with Stepchange today who reluctantly agreed to support an application for a DRO. Reason for reluctance was that I have a deficit of around £60 per month after a DEA is paid from my wages, the advisor wasn't happy with this so we altered the figures (food and shopping went from £394 to £350 etc) until it showed a surplice - then advisor said I was only eligible for Bankruptcy. I was not happy with this as I felt coerced so asked they change it back to my original SOA which then made me eligible for DRO.
    I didn't/forgot to tell them that I have a Help to Save Account which currently has £405. I was planning on saving up, and earning bonus, until I had enough to pay for my bankruptcy application before I knew I would be eligible for a DRO. So whilst I am relieved in one sense that this is an option, I am now concerned that this Help to Save account could jeopardise this. I am waiting for the application form via post but just need some advice on whether:
    A - do I need to declare this as its an HMRC help to save scheme (couldn't find any info on this)
    B- declare this account and continue with the DRO application
    C - declare the account but withdraw the £405 and use toward the £90 fee

    Any help would be gratefully received

    Thank you
    Originally posted by Shakeyatictacs
    The money in the scheme would be regarded as an asset and should be declared. You are allowed to have up to £1000 of assets when entering a DRO. If your 2-year bonus hits during the moratorium then you need to work out how much that will be and whether that will take you over the limit. This would not necessarily mean that you lose the DRO as the rules are more flexible for 'after acquired assets'. From the guidelines:

    Help to Save Scheme

    This scheme, administered by HM Revenue and Customs, is open to working people who receive Working Tax Credits, and those who receive Universal Credit with a household income or individual income of at least £542.88 in their last monthly assessment period before their Help to Save application.

    Help to Save started with a trial in January 2018 and is available to all those eligible, from October 2018. From January 2019, HM Revenue and Customs will begin to invite Working Tax Credits customers to the trial with the expectation that Universal Credit customers will start to be invited from April 2019.

    Once confirmed as eligible, customers can start saving straight away. All transactions, including checking their balance and paying in savings, can be managed in an online account available through GOV.UK.

    Customers can save up to £50 each month. At the end of two years, savers will get a 50% bonus based on the highest balance achieved. Customers can then carry on saving for another two years and get another 50% bonus on their additional savings. Over four years, those saving the maximum amount of £2,400 will receive bonuses of £1,200. Money paid into the account can be withdrawn at any time, but this could affect the size of the bonus payment.

    Based on the above monies saved in the Help to Save scheme should be treated as an asset.

    Any payments in to the scheme after a DRO must be made from allowable surplus income and the debtor will need to consider whether by continuing to pay they still meet the DRO asset criteria during the moratorium period.
    Where a lump sum is received and the value of the debtorís 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 debtorís 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 debtorís 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.
    • fatbelly
    • By fatbelly 1st Aug 19, 8:42 PM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    Good evening,
    Could I get some advice on the following please?
    I have spoken with Stepchange today who reluctantly agreed to support an application for a DRO. Reason for reluctance was that I have a deficit of around £60 per month after a DEA is paid from my wages, the advisor wasn't happy with this so we altered the figures (food and shopping went from £394 to £350 etc) until it showed a surplice - then advisor said I was only eligible for Bankruptcy. I was not happy with this as I felt coerced so asked they change it back to my original SOA which then made me eligible for DRO.
    Originally posted by Shakeyatictacs
    This bit is confusing. If you have a DEA then it sounds like you have a debt to the DWP. This is likely to be a qualifying debt for the DRO so the DEA will stop and the debt will be frozen. So your surplus income would have to be <£50 before the DEA is taken into account. We would therefore be expecting a deficit budget as things stand.
    • Shakeyatictacs
    • By Shakeyatictacs 1st Aug 19, 8:50 PM
    • 4 Posts
    • 1 Thanks
    Shakeyatictacs
    Many thanks for your reply. I shall declare this then. I have access to my Fathers car (which he has owned for around 2 and half years) I am now paying car insurance and tax for which I declared so this Help to Save account is my only asset. My first bonus is due to be paid in May 2020 and is worth £202.
    Would I loose this money or would it be suspicious if I withdrew the money now before I apply for the DRO?
    • Shakeyatictacs
    • By Shakeyatictacs 1st Aug 19, 9:04 PM
    • 4 Posts
    • 1 Thanks
    Shakeyatictacs
    Fat belly, Yes It is for DWP for overpayment of housing benefit (non-fraudulent) and quite right - the reason I had a deficit was because of the DEA. The Stepchange advisor repeatedly said can you lower any of your expenses which I reluctantly done and then when he submitted it and came back not eligible for DRO because the DEA would be stopped so I would then have £60 spare. I then argued it and said that I wouldn't because that would go into shopping and getting a well needed haircut and clothes, which he had persuaded me to lower. So I would be in the same situation and unable to make payments and would just be delaying the inevitable for 6 months until my DEA is finished. He wasn't happy but I argued my point and he spoke to a colleague who must have made sense of what I was saying and he amended my SOA back to what it was - making me eligible. He was still negative about it toward the end of the phone call and advised me to contact all 13 of my creditors to let them know I was applying for a DRO because he wasn't confident it would be granted. He said if I was 100% sure this would be approves I would say not to bother.. but...
    • fatbelly
    • By fatbelly 2nd Aug 19, 1:27 PM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    Fat belly, Yes It is for DWP for overpayment of housing benefit (non-fraudulent) and quite right - the reason I had a deficit was because of the DEA. The Stepchange advisor repeatedly said can you lower any of your expenses which I reluctantly done and then when he submitted it and came back not eligible for DRO because the DEA would be stopped so I would then have £60 spare. I then argued it and said that I wouldn't because that would go into shopping and getting a well needed haircut and clothes, which he had persuaded me to lower. So I would be in the same situation and unable to make payments and would just be delaying the inevitable for 6 months until my DEA is finished. He wasn't happy but I argued my point and he spoke to a colleague who must have made sense of what I was saying and he amended my SOA back to what it was - making me eligible. He was still negative about it toward the end of the phone call and advised me to contact all 13 of my creditors to let them know I was applying for a DRO because he wasn't confident it would be granted. He said if I was 100% sure this would be approves I would say not to bother.. but...
    Originally posted by Shakeyatictacs
    Really if you're saying that those are your expenses and they are within the guideline figures for the Standard Financial Statement then he should not be amending them in order to make you ineligible for a DRO.

    It sounds like he may have been inexperienced, consulted a more experienced colleague, then got a bit grumpy about having to back-track.

    I generally don't recommend clients to contact their creditors in the run-up to a DRO. I say 'let it be a nice surprise for them'. Certainly if bailiffs are involved you do not want them to know that their time is short for pushing you for payment.
    • fatbelly
    • By fatbelly 2nd Aug 19, 1:30 PM
    • 14,060 Posts
    • 11,069 Thanks
    fatbelly
    Many thanks for your reply. I shall declare this then. I have access to my Fathers car (which he has owned for around 2 and half years) I am now paying car insurance and tax for which I declared so this Help to Save account is my only asset. My first bonus is due to be paid in May 2020 and is worth £202.
    Would I loose this money or would it be suspicious if I withdrew the money now before I apply for the DRO?
    Originally posted by Shakeyatictacs
    You're allowed £1000 of assets so it doesn't matter what you do.

    No-one takes money rom you in a DRO. It's different from bankruptcy in that respect.

    If you can afford to keep things as they are then that bonus is worth having in May next year.
    • Shakeyatictacs
    • By Shakeyatictacs 3rd Aug 19, 9:02 AM
    • 4 Posts
    • 1 Thanks
    Shakeyatictacs
    Many thanks for your advice, much appreciated. You are a diamond for helping so many people Fat Bell.
    • stormpassing
    • By stormpassing 9th Aug 19, 7:25 PM
    • 111 Posts
    • 533 Thanks
    stormpassing
    Evening all,

    Iím after some advice please. My husband had a DRO that was discharged in 2017. All debts under DRO have been marked as satisfied other than Halifax credit card and bank account. The credit card is showing as balance 0 but they are still marking it with default every month. The Halifax bank account is still showing a balance so coming up red on the credit report. Does anyone know how we can approach Halifax to rectify this please.

    Thanks for reading. Any help advice will be gratefully received
    Lightbulb moment September 2015
    DFD estimated at 6yrs 7mnths 03/2022
    Total debt: £37,394.00
    #494 SPC 8 £133
    #134 £1000 emergency fund challenge £92.92/£1000
    #11 3-6 months emergency fund challenge £25/£5,400
    • sourcrates
    • By sourcrates 9th Aug 19, 11:03 PM
    • 18,051 Posts
    • 16,982 Thanks
    sourcrates
    Evening all,

    Iím after some advice please. My husband had a DRO that was discharged in 2017. All debts under DRO have been marked as satisfied other than Halifax credit card and bank account. The credit card is showing as balance 0 but they are still marking it with default every month. The Halifax bank account is still showing a balance so coming up red on the credit report. Does anyone know how we can approach Halifax to rectify this please.

    Thanks for reading. Any help advice will be gratefully received
    Originally posted by stormpassing
    Default will show for 6 years regardless of debt solution you choose.
    Balance should show as zero and settled.
    Six years from date of default, it will drop off his file automatically.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • stormpassing
    • By stormpassing 10th Aug 19, 4:03 PM
    • 111 Posts
    • 533 Thanks
    stormpassing
    Default will show for 6 years regardless of debt solution you choose.
    Balance should show as zero and settled.
    Six years from date of default, it will drop off his file automatically.
    Originally posted by sourcrates

    Thanks for the response.


    Would you just leave as it is then and wait for the default to drop off the credit file or contact Halifax to request they report the balances as zero and mark as settled? I suppose it makes little difference if they will disappear anyway only the one showing a balance looks as though he still owes the money.
    Lightbulb moment September 2015
    DFD estimated at 6yrs 7mnths 03/2022
    Total debt: £37,394.00
    #494 SPC 8 £133
    #134 £1000 emergency fund challenge £92.92/£1000
    #11 3-6 months emergency fund challenge £25/£5,400
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