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IPA and DRO help

Hey all

Just a bit of advice on an IPA. I went BR last month and currently pay no IPA due to low income. I'm about £30ish short a month to cover everything. My wife has just had her ESA upped from £73 to £110 a week. Is this likely that they will now set up an IPA? Is this for 3 years from when they apply it, or 3 years from the BR date?

Also, my wife is applying for a DRO next week. Is this the same as a BR where they take your bank account away? Just wondering what to expect with the DRO process compared to the BR process.

Any advice on both would be great, thank you. I've loved this forum and it's helped me so much coming to terms with the BR life! x

Comments

  • fatbelly
    fatbelly Posts: 23,642 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Cashback Cashier
    It's no to both questions really.

    With the second question, if you wife's bank account is not overdrawn, it is not a debt and does not feature in the DRO application. It obviously won't have over £1000 so the assets question will not be a problem. She should already not be banking where she has debts

    Just bear in mind that there's a slim chance the bank will find out and downgrade the account, and Nat West seem most likely to do this.

    We had a poster who, I think, opened 7 accounts ahead of a DRO, thinking 'they can't close all 7'. He ended up with all 7 after the Dro went through.
  • hbp2008
    hbp2008 Posts: 40 Forumite
    I see, thank you.

    I'm worried that her ESA now takes us over the whole £20 a month spare thing, I've called the official receiver to let them know so at least I'm being honest!

    No worries, thank you. The bank account she's got has no overdraft, debt etc linked to it so hopefully Santander will let her keep it.

    Thanks for the quick reply :)
  • fatbelly
    fatbelly Posts: 23,642 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Cashback Cashier
    It sounds like you'll be OK. You are at minus £30 now and all the increased benefit for your wife means (that's her income not yours) is that your share of the joint expenses would go down a bit. I would have thought you're still unlikely to exceed plus 20.

    If your income is benefits only, then you don't get an IPA anyway. But well done for telling the OR. They do like to be kept informed of any change.
  • hbp2008
    hbp2008 Posts: 40 Forumite
    Thank you, hoping my honesty pays off! If I am then entered into an IPA is it 3 years from the BR date?
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