Debt Relief Orders (DRO) - Information & help thread

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  • immoral_angeluk
    immoral_angeluk Posts: 24,506
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    scarlet55 wrote: »
    hope your there wba....iv just been reading through my submission form and on one of my debts (lowell portfolio) my adviser put down £2,625 instead of £2,965, obviously genuine mistake on her part...iv just phoned the CAB up but she has gone home...iv explained to them what has happened and they are going to phone me back....what do you think will happen now...will i have to go back and resubmit it.
    My feeling is that the DRO unit will probably fall back on your responsibility to ensure that all info inputted onto your application is correct... no harm in trying though!
    Total 'Failed Business' Debt £29,043
    Que sera, sera. <3
  • scarlet55
    scarlet55 Posts: 21,780
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    my adviser had all the correct amounts in front of her tho immoral and she even phoned up lowell portfolio to check the balance while i was there, she then put everything onto the computer, went to print off the copys, got me to sign them and then handed me one ...i didnt check it till i got home as there were quite a few pages....will i still be held responsible even tho its not my fault..:(
  • immoral_angeluk
    immoral_angeluk Posts: 24,506
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    scarlet55 wrote: »
    my adviser had all the correct amounts in front of her tho immoral and she even phoned up lowell portfolio to check the balance while i was there, she then put everything onto the computer, went to print off the copys, got me to sign them and then handed me one ...i didnt check it till i got home as there were quite a few pages....will i still be held responsible even tho its not my fault..:(
    Oh I see! Strange, I would definitely speak to your intermediary as if it's her error then she should be the one contacting the DRO unit ad pleading with them!
    Total 'Failed Business' Debt £29,043
    Que sera, sera. <3
  • scarlet55
    scarlet55 Posts: 21,780
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    hi immoral..i did phone up the cab as soon as i noticed and they are going to try to put an amendment in..do you think it will delay my dro (hopefully) being approved.
  • wba31
    wba31 Posts: 2,189 Forumite
    astra_man wrote: »
    So heres my situation.

    I earn £808 a month.
    I spend £350 on rent,
    £200 on petrol
    £25 on gym
    £57 on car insurance
    £25 on upkeep of car mot tax etc
    £10 on my SIA Licence (needed to do my job)
    £50 on mobile phone
    £37 on Home internet and Broadband
    £50 on food at work for a month.

    This leaves me £4 a month.

    I have recently had an hours cut at work, going from £1200 income to the £808.

    My outgoings debt wise are
    £150.18 Loan
    £150 on another loan,
    £50 on credit card,
    £45 to orange.

    Now I also did something very stupid recently before my hours cut, and got some credit in my name for my partner, (2 months ago) now after she had the goods she did a runner, so that has put my outgoings up further.
    The totals I owe are

    Creation Consumer Finance £5630.48
    Capital One £1050.00
    Nationwide O/D £1000
    Littlewoods £595.00
    Orange £350
    Additions Direct £235.08
    Everyday loans £1500.00
    Wonga.com £600
    Jacamo £250.00

    So I am in trouble.
    Thinking of going down the DRO route, but is it going to look bad at the recent credit applications due to my ex?

    Also my worry is, I am the director of a dormant company, My own, security business which I i just wanted to register and keep dormant, however I have an event or two this yr, which I wont be earning a profit at, just enough to pay the lads who work for me, I want to keep this alive.....

    Your budget may have to be jigged around a bit, but it looks like it will fit.

    With regards to the debt from 2 months ago, the creditors have 30 days to object a DRO, and one thing they can object on is if a debt has been taken out recently. How long ago is recent? impossible to say. I normally advise people between 3 - 6 months is a benchmark, but we cannot make any promises of that. It may take you over a month to get as far as getting a DRO, so you may be ok, but be wary of that time.

    In the DRO you cannot be the director of a company, and that would have to be relinquished prior to submitting your DRO. It is one of the restrictions of DRO's and also of bankruptcy
  • wba31
    wba31 Posts: 2,189 Forumite
    Hi

    One of my creditors on my DRO is Eon energy for my gas and electric arrears.

    I have received a letter from Eon telling me that the DRO was submitted for the amount of £825.35p and my closing balance of this account is £864.99p leaving a difference of £39.64 to pay still :mad:

    I am reluctant to actualy pay this and have written them an email stating that I dispute this £39.64p as I not only emailed them on 16th March and had a reply telling me that the amount of the arrears debt I owed was for £585.32p (which I have been paying off bit by bit by a payment arrangement with Eon added onto my monthly usage bill) this email also told me the breakdown of what I was paying against the arrears debt to what they were taking for the monthly current usage for dual fuel (I paid £120 a month from which Eon took £92 usage and the remainder went to pay off the debt).
    I also called them up the day my DRO was being submitted by my National Deb Line advisor and was again told the same a payment figure of £585.32p would clear the debt arrears and I would then be just paying the monthly usage.

    My DRO was submitted late afternoon on 23rd March and approved on 24th March. Because me and the NDL advisor couldnt understand how the £585.32p matched that of the bill Eon was showing me online we decided the best option was to submit the debt for Eon at £825.35 just to be on the safer side.

    Its a blooming good job we did otherwise I would still be having to pay off the debt. If I had listend to Eons advice I would still now owe £240 odd plus the £39.64 theyve just written to me about :eek:

    I tried to pay the £39.64p online this morning to Eon. I was going to take it out of the £120 instalment I havent paid for April as the DRO went through, but Eon's system wont take it as the account is closed.

    They have sent me a new account number and attatched this £39.64p debt to it already :( and another thing they have done is said by the terms of the order they will not extend me a line of credit for energy charges. As a result of this the credit meter in my residence must be replaced with a pre-payment meter. Should I allow them access to switch the meter they will not charge m for the service.

    This now causes another problem for us as I know for certain that our landlord wont want the meter changed to a prepayment meter!

    I know this as our landlord is actualy my Mother In Law (all legit and have paperwork to prove we rent it correctly etc which the council are aware of). Another fact is that MIL doesnt know anything about the DRO. She is vaguely aware of the debts and how we struggle to get by, helps where she can and is permitted to do so (I am always trying hard to stand on our own two feet and not expect her to bail us out). She knew I had arrears with Eon and told me several times she would be happy to help me clear them, but I turned down the offers as she is nearing retirement so needs every penny she has and is entitled to. We get on really well and I am like a daughter she never had to her and shes like a second Mum to me, so turning it down wasnt through the fact we dont get on. It wasnt easy either but I feel happier knowing I did.
    Anyway as I said I really dont think MIL will allow us (or any other private tennant who lived here) to have a prepayment meter. I also did all I could to co-operate with Eon and repay the debt and kept them in touch if there was a month I was going to be late or couldnt pay (which wasnt very often, and I usualy paid an extra pament towards falling behind the next month to compensate). So I dont understand why Eon have stoped helping me.

    What can I do about all this mess? If I dont allow them to fit a prepayment meter they say they may disconnect my supply and will get a warrant to allow access to fit the meter at my expense!

    I feel I am stuck now, not only has Eon pinned an old account debt onto a new account causing me to start off with a debt, MIL wont allow a meter, we cant afford to move and rent elsewhere what do I do!?

    Any helpful advice appreciated as I have to contact eon soon to talk it through with them.

    Thanks.

    :)

    Can you switch from Eon? have your supply from elsewhere and then Eon cannot do anything with regards to meters and getting into property as their debt becomes like any other - only persuable through county court...

    Other thing is if the balance you put on your DRO was the same/higher than the balance given on the day of submission, when did they increase the debt? if it was after the date of submission (not approval) and was by interest/charges, that is only chargeable if your DRO gets revoked.
  • scarlet55 wrote: »
    hi immoral..i did phone up the cab as soon as i noticed and they are going to try to put an amendment in..do you think it will delay my dro (hopefully) being approved.


    Well I've just spent the night trying to get all the necessary paperwork in order. Funny thing is the sheet they give you to list your creditors on didn't have enough spaces for all of mine! :o:o:o I hope you can get this problem resolved scarlet, it's just one thing after another at the moment :( Good luck with it, I presume you'll find out tomorrow? Hope it's a happy outcome xxx
    I am a Leo...& as such I will defend my "pride" ferociously....you have been warned!
  • astra_man
    astra_man Posts: 19 Forumite
    wba31 wrote: »
    Your budget may have to be jigged around a bit, but it looks like it will fit.

    With regards to the debt from 2 months ago, the creditors have 30 days to object a DRO, and one thing they can object on is if a debt has been taken out recently. How long ago is recent? impossible to say. I normally advise people between 3 - 6 months is a benchmark, but we cannot make any promises of that. It may take you over a month to get as far as getting a DRO, so you may be ok, but be wary of that time.

    In the DRO you cannot be the director of a company, and that would have to be relinquished prior to submitting your DRO. It is one of the restrictions of DRO's and also of bankruptcy

    The debts were taken out february - march time. So rather recently. She isnt paying any of it, and is refusing to speak to me or anything.

    Can I ask for the court to allow it, I read somewhere, but I cant remember where....
  • wba31
    wba31 Posts: 2,189 Forumite
    astra_man wrote: »
    The debts were taken out february - march time. So rather recently. She isnt paying any of it, and is refusing to speak to me or anything.

    Can I ask for the court to allow it, I read somewhere, but I cant remember where....

    The problem is that you wont ever speak to anybody other than the intermediary who completes the form on your behalf. the only way you could declare it is insist she owes you the money, and put that on the assets screen, but then they will insist you sue her through the county court, and if it is more than £300, its an asset that will revoke your order. If you give it a few months you may have no problems. You will need to sort out your business first anyway
  • astra_man
    astra_man Posts: 19 Forumite
    Looks like Ill have to give it a few months. In th emean time, do I write to the rest and explain my situation, and that I cant pay anything.....
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