Debt Relief Orders (DRO) - Information & help thread

Options
1…487488490492493…523

Comments

  • Shakeyatictacs
    Shakeyatictacs Posts: 13 Forumite
    First Anniversary First Post
    Options
    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
    Shakeyatictacs Posts: 13 Forumite
    First Anniversary First Post
    Options
    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
    fatbelly Posts: 20,504 Forumite
    Name Dropper First Anniversary First Post Cashback Cashier
    Options
    Shakeyatictacs wrote: »
    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...
    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
    fatbelly Posts: 20,504 Forumite
    Name Dropper First Anniversary First Post Cashback Cashier
    Options
    Shakeyatictacs wrote: »
    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?

    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
    Shakeyatictacs Posts: 13 Forumite
    First Anniversary First Post
    Options
    Many thanks for your advice, much appreciated. You are a diamond for helping so many people Fat Bell.
  • stormpassing
    stormpassing Posts: 145 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    Options
    Evening all,

    I’m 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
  • sourcrates
    sourcrates Posts: 28,888 Ambassador
    First Anniversary Name Dropper First Post Photogenic
    Options
    stormpassing wrote: »
    Evening all,

    I’m 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

    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 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
  • stormpassing
    stormpassing Posts: 145 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    Options
    sourcrates wrote: »
    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.


    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.
  • sourcrates
    sourcrates Posts: 28,888 Ambassador
    First Anniversary Name Dropper First Post Photogenic
    Options
    It makes little difference to be honest, you can complain if you want something to do, otherwise i`d let nature take its course, the DRO won`t disapear until 6 years have passed, so it won`t change much whatever you do.
    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
  • stormpassing
    stormpassing Posts: 145 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    Options
    Thanks Sourcrates,
    Obviously I’d rather leave it be and if it makes no difference anyway then I’m more than happy with that :)
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.3K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 248K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards