Debt Relief Order advice please

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  • sourcrates
    sourcrates Posts: 28,870 Ambassador
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    Once a DRO is granted it makes no difference how much is then added in fees and charges as they get written off after the monotorium period.

    As long as the balances are below 20k on the day.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • fatbelly
    fatbelly Posts: 20,483 Forumite
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    sourcrates wrote: »
    Once a DRO is granted it makes no difference how much is then added in fees and charges as they get written off after the monotorium period.

    As long as the balances are below 20k on the day.

    That's correct, and to be honest it doesn't matter if you don't get the pro-rata allocation correct.

    The difficulty with the strategy when you are right on the limit is that you don't know when 'the day' will be. Even if you are with the intermediary when they press 'submit' it is the day that the DRO Team approve it that counts. It is often the second day after submission, but that is not guaranteed.
  • Splodge1000
    Splodge1000 Posts: 54 Forumite
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    My creditor has offered to freeze charges for two months as from now. If that happens I will be over the £20,000 limit and I am now beginning to wonder if they are adopting this stance to ensure I am over the £20,000 limit and therefore ineligible for a DRO as I am sure that the granting of a DRO, just as with a declaration of bankruptcy, is not what they want to happen. I would like the charges frozen and applied from the date they originally said they would be frozen from, rather than from now. Their position it that I was misinformed previously by them.
  • StopIt
    StopIt Posts: 1,470 Forumite
    To be fair to them, I doubt they're doing that deliberately, probably just following their own procedures.


    After all, if you do go over the £20k limit, and can't get around it, you save up for bankruptcy instead, the outcome is the same to them.


    Can you ask your partner for help to put enough money into these things to give the leeway you need to ensure this goes through?

    In debt and looking for help? Look here for the MSE Debt Help Guide.
    Also, If you need any free and impartial debt advice, the National Debtline, Stepchange, and the CAB can help.
  • sourcrates
    sourcrates Posts: 28,870 Ambassador
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    Splodge1000 wrote: »
    My creditor has offered to freeze charges for two months as from now. If that happens I will be over the £20,000 limit and I am now beginning to wonder if they are adopting this stance to ensure I am over the £20,000 limit and therefore ineligible for a DRO as I am sure that the granting of a DRO, just as with a declaration of bankruptcy, is not what they want to happen. I would like the charges frozen and applied from the date they originally said they would be frozen from, rather than from now. Their position it that I was misinformed previously by them.

    Spodge,

    Have you rung round your creditors and got up to date balances from them all ?

    What stage, exactly, are you at with the DRO ?
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • Splodge1000
    Splodge1000 Posts: 54 Forumite
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    StopIt wrote: »
    Can you ask your partner for help to put enough money into these things to give the leeway you need to ensure this goes through?

    Possibly but I would rather not if it can be avoided. I am already having to scrounge the DRO fee from her.
  • Splodge1000
    Splodge1000 Posts: 54 Forumite
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    sourcrates wrote: »
    Spodge,

    Have you rung round your creditors and got up to date balances from them all ?

    What stage, exactly, are you at with the DRO ?

    I am constantly checking through online banking what my balance is with each creditor and as I believe one of them has removed charges which were applied automatically (not the creditor I am in dispute with) I believe I have dipped back below the £20,000 limit, even allowing for the non-adjustment with the creditor that I am disputing.

    The current position is that I have given everything the CAB have asked for, in response to a letter I received from them on Thursday, and I have suggested that they might prepare the DRO application so that it is ready for submission as soon as I pay the fee and confirm that the debts are below £20,000. I could do both of these tomorrow but I don't know how much work the Approved Intermediary has completed on the application.
  • fatbelly
    fatbelly Posts: 20,483 Forumite
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    Splodge1000 wrote: »
    I am constantly checking through online banking what my balance is with each creditor and as I believe one of them has removed charges which were applied automatically (not the creditor I am in dispute with) I believe I have dipped back below the £20,000 limit, even allowing for the non-adjustment with the creditor that I am disputing.

    The current position is that I have given everything the CAB have asked for, in response to a letter I received from them on Thursday, and I have suggested that they might prepare the DRO application so that it is ready for submission as soon as I pay the fee and confirm that the debts are below £20,000. I could do both of these tomorrow but I don't know how much work the Approved Intermediary has completed on the application.

    You really need to be in fairly tight communication with your intermediary, i.e you need his/her phone number and actually agree between the two of you when the button will be pushed.

    Do you know if they have got a current copy of your Experian report?

    Have you paid the £90 fee?
  • Splodge1000
    Splodge1000 Posts: 54 Forumite
    First Anniversary First Post Combo Breaker
    fatbelly wrote: »
    You really need to be in fairly tight communication with your intermediary, i.e you need his/her phone number and actually agree between the two of you when the button will be pushed.

    Do you know if they have got a current copy of your Experian report?

    Have you paid the £90 fee?

    I have completed the form authorising the Intermediary to obtain the Experian report. That form is with the CAB.

    I can pay the fee any time; I was waiting and hoping to hear from the Intermediary that the application is ready to be submitted and that there seems to be no reason why it should be denied.

    So far the CAB seem reluctant to give out contact numbers but I have left my number with them. I shall go into their office again if I do not hear anything in the next 24 hours.
  • StopIt
    StopIt Posts: 1,470 Forumite
    Splodge1000 wrote: »
    Possibly but I would rather not if it can be avoided. I am already having to scrounge the DRO fee from her.


    Well, remember how much bankruptcy costs.


    If the difference between a DRO going through and not is a hundred quid or so, that's still far cheaper than the bankruptcy fee.


    I wouldn't be chancing it in your position, but of course, that's dependant on how you feel about asking your partner.

    In debt and looking for help? Look here for the MSE Debt Help Guide.
    Also, If you need any free and impartial debt advice, the National Debtline, Stepchange, and the CAB can help.
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