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    • fatbelly
    • By fatbelly 21st Apr 19, 6:18 AM
    • 13,853 Posts
    • 10,891 Thanks
    fatbelly
    It's true that you can't have a DRO if you have a car worth £1500, as you don't meet the basic criteria.

    But is it worth £1500? The valuation should be done through Parkers Guide, private poor is an acceptable figure and you can (for a small fee) adjust this for higher mileages.

    Yes you could sell this car (at market price) and buy a cheaper one. There are two asset limits of £1000 so a £750 car and £750 in other assets incl cash, would qualify.

    However, in your case, your debts are small, you have an asset and significant income. You may have other options. If you post a statement of affairs on the debt free wannabe board, others will take a look and advise.
    • jess85
    • By jess85 26th Apr 19, 1:35 PM
    • 2 Posts
    • 1 Thanks
    jess85
    Hi,

    I have a quick question: Is it possible for one of my creditors to issue me a Default Notice ("under Section 87 of the Consumer Credit Act 1974") after my DRO has begun (and after they have acknowledged it)? I have received a letter telling me this is what they are going to do (as well as send the default information to credit reference agencies). I haven't received any similar communication from the other creditors on the DRO.

    Thanks for any help.
    Last edited by jess85; 26-04-2019 at 1:37 PM.
    • sourcrates
    • By sourcrates 26th Apr 19, 1:48 PM
    • 17,403 Posts
    • 16,404 Thanks
    sourcrates
    Hi,

    I have a quick question: Is it possible for one of my creditors to issue me a Default Notice ("under Section 87 of the Consumer Credit Act 1974") after my DRO has begun (and after they have acknowledged it)? I have received a letter telling me this is what they are going to do (as well as send the default information to credit reference agencies). I haven't received any similar communication from the other creditors on the DRO.

    Thanks for any help.
    Originally posted by jess85

    Yes they can and should default the account.


    Ideally you want all accounts defaulted no later than the date of the start of your DRO.


    The best time to chase all this up is once the 12 month monotorium period has been successfully completed, you should then go through your list of creditors and make sure all accounts are defaulted inline with the start date, or earlier, of your DRO, each account says settled or closed, and the balance is zero.
    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.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    • fatbelly
    • By fatbelly 26th Apr 19, 1:53 PM
    • 13,853 Posts
    • 10,891 Thanks
    fatbelly
    I think yes, as long as the default date aligns with the date of the dro. Guidance says:
    In normal circumstances lenders will be notified when the debt that is owed to them is to be included in an insolvency e.g. bankruptcy, IVA or similar and should be marked as included in that by filing a default as soon as is practical.

    The default date must be consistent with that of the CCJ/bankruptcy or IVA; therefore a default should be filed as being no later than the date of the insolvency order. In circumstances where the lender is not immediately aware, the default can be filed at that point in time. If evidence of the insolvency date is provided, the default date recorded at the CRA will be aligned.

    If a default has already been filed and a CCJ or other insolvency or similar is subsequently registered, no further action is needed.
    • jess85
    • By jess85 26th Apr 19, 2:36 PM
    • 2 Posts
    • 1 Thanks
    jess85
    Thanks, sourcates and fatbelly, that's made things a lot clearer to me.

    One other small thing: In the same letter, they stated that they would keep sending me statements and "statutory notices" (not entirely sure what this means) during the course of the DRO. I was aware this could happen, but was wondering how often I might expect to receive such correspondence. I was on paperless monthly statements, I am now obliged to receive future ones by post?

    Thanks again.
    • sourcrates
    • By sourcrates 26th Apr 19, 2:49 PM
    • 17,403 Posts
    • 16,404 Thanks
    sourcrates
    Thanks, sourcates and fatbelly, that's made things a lot clearer to me.

    One other small thing: In the same letter, they stated that they would keep sending me statements and "statutory notices" (not entirely sure what this means) during the course of the DRO. I was aware this could happen, but was wondering how often I might expect to receive such correspondence. I was on paperless monthly statements, I am now obliged to receive future ones by post?

    Thanks again.
    Originally posted by jess85

    Statutory notices are sent once every 6 to 12 months, something else i would not worry about.
    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.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    • fatbelly
    • By fatbelly 26th Apr 19, 3:54 PM
    • 13,853 Posts
    • 10,891 Thanks
    fatbelly
    It's because the debt still exists during the moratorium 12 months. Once you get to the end you are 'discharged' from the debt and all letters should stop.
    • Brandy85
    • By Brandy85 26th Apr 19, 6:50 PM
    • 3 Posts
    • 1 Thanks
    Brandy85
    Hi. I was granted a dro in March this year. Just wanted to know would I need the let the dro team the following.
    I been offered a new job but not sure if I’m going to accept it yet. Need to decide whether it’s for me. I would be less than I’m on now, probably about £100/£140 less a month but it is closer to where I live so I would be using about that much less in petrol costs. So there would be no improvement in my circumstances. So just wondered if I do accept the job do I have to let the dro unit know.
    Thanks
    • fatbelly
    • By fatbelly 26th Apr 19, 7:03 PM
    • 13,853 Posts
    • 10,891 Thanks
    fatbelly
    Hi. I was granted a dro in March this year. Just wanted to know would I need the let the dro team the following.
    I been offered a new job but not sure if Iím going to accept it yet. Need to decide whether itís for me. I would be less than Iím on now, probably about £100/£140 less a month but it is closer to where I live so I would be using about that much less in petrol costs. So there would be no improvement in my circumstances. So just wondered if I do accept the job do I have to let the dro unit know.
    Thanks
    Originally posted by Brandy85
    Technically, yes. You declared your employer on the application last month so this counts as a change in circumstances. There shouldn't be any problem with your DRO though if your surplus income remains under £50 per month
    • Brandy85
    • By Brandy85 26th Apr 19, 7:19 PM
    • 3 Posts
    • 1 Thanks
    Brandy85
    Thank you. If I do decide to accept the job I will notify them of the change of address and income. Thanks
    • Brandy85
    • By Brandy85 1st May 19, 6:51 AM
    • 3 Posts
    • 1 Thanks
    Brandy85
    I have decided not to take this job. But I know If am to take another job in the moratorium period to notify them of any changes etc.
    I want to thank everyone on this forum, reading people’s queries and replies it gave me the push to actually to apply for my debt relief order.. although stressful at the time etc and was getting constant letters and phone calls from creditors.. I do feel a bit of weight has lifted. And I know if I ever need any advice to come here.
    Thanks ��
    • snowey87
    • By snowey87 20th May 19, 1:54 PM
    • 1 Posts
    • 0 Thanks
    snowey87
    Hi, I have decided that a DRO is my best option but am unsure on how i do the statement of affairs. I am doing it through payplan and they have said i need to put my partners info on the soa.
    What exactly do i need to put on there? We both work but it is only me entering a DRO but if i put it all as a joint income it is coming out as having more than the £50 surplus?
    Thanks in advance.
    • fatbelly
    • By fatbelly 20th May 19, 6:12 PM
    • 13,853 Posts
    • 10,891 Thanks
    fatbelly
    Hi, I have decided that a DRO is my best option but am unsure on how i do the statement of affairs. I am doing it through payplan and they have said i need to put my partners info on the soa.
    What exactly do i need to put on there? We both work but it is only me entering a DRO but if i put it all as a joint income it is coming out as having more than the £50 surplus?
    Thanks in advance.
    Originally posted by snowey87
    Her income is not taken into account as such, but they need to be able to allocate the expenditure when you live as a couple, and a 50/50 split may not be accurate unless you earn the same. Best be open with them and let them work it out.
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