One of the biggest advantages of a Debt Relief Order (DRO) is that it is a formal, legal debt solution. It prevents your creditors taking any further action against you for debts that are included in your DRO:
- you can’t be taken to court for a CCJ (or a Liability Order for council tax arrears);
- if you already have a CCJ, the creditor can’t send the bailiffs in – and debt collectors should not suggest that they can do this.
Your DRO doesn’t actually get rid of your debts until it is completed after 12 months. During this time it can be cancelled, for example if you get a large pay rise or inherit some money.
So your creditor is allowed to send you a statement of what your debt is during the DRO period, but they can’t say you should make a payment to them. And they shouldn’t be phoning you about it or calling round if they are a doorstep lender.
If you are thinking about a Debt Relief Order, you shouldn’t worry that you will still be chased for your debts – problems in this area are extremely rare. Find out more about DROs and whether one might be right for you.
The first few weeks
You may still get phone calls, receive letters or visits from doorstep lenders in the first few weeks after your Debt Relief Order starts. Often this is because the firm hasn’t received the notice of the DRO yet, or the news hasn’t been passed down to the person contacting you.
Tell them that you have started a DRO and this debt was listed in the DRO. Attach a copy of the DRO and tell them to check you name on the Individual Insolvency Register.
In 99 times out of a hundred, they won’t bother you again.
The creditor says my debt isn’t included in my DRO
Was the debt listed on your DRO? If you are unsure, contact the person who helped you set the DRO up and they will be able to help you. It doesn’t matter if your debt has been sold to a different debt collector after the start of your DRO, it is still included in your DRO if it was listed.
What if creditors continue to call?
You could ignore them because they have no legal power to do anything – but if you get any court papers about the debt do not ignore these as it is simpler to stop a CCJ being issued rather than get it removed afterwards, see What to do if You Get a Claim Form.
Or you can complain. I recommend complaining! You may be able to simply shrug and put the phone down, but some other people might be more vulnerable – by reporting them you will help to stop these bullying tactics. It will also stop any possible problems with CCJs later. There are three main people to complain to:
- the creditor
- the Financial Conduct Authority
- the Financial Ombudsman Service (FOS).
You can only complain to the FCA and FOS if the debt was a consumer credit debt (loans, cars, catalogues, car finance, overdraft etc) OR the debt is being collectored by a creditor who is FCA authorised. If you aren’t sure, ask in the comments below. There are different ombudsmen that may apply for some other types of debt.
Write to the creditor
Email or write to the firm along the following lines, including the word COMPLAINT prominently:
I wish to complain because you are continuing to [phone me / ask for payment / harass me] about my debt reference number [99999999999].
I have already [informed you on the phone / told you by letter / explained to Mrs X] that I have a Debt Relief Order, started on [dd/mm/yy], number [999999], and this debt is one of those listed in my DRO.
The Financial Conduct Authority’s Consumer Credit handbook states that “A firm should not take steps to enforce a debt if it is aware that the customer is subject to … a debt relief order” (CONC 7.3.16)
If you continue to suggest that I should make payments to you, I will put in a complaint to the Financial Ombudsman. I will also report you to the FCA.
Complain to the Financial Ombudsman (FOS)
Before going to FOS, you must have complained in writing to the firm. If the firm rejects your complaint or doesn’t reply within 8 weeks and they continue to try to get payments from you, use the FOS complaints procedure – it is simple and user-friendly. Ask the Ombudsman for a ruling that the firm has to stop asking you to pay any money to this debt and ask for compensation for their behaviour.
Report them to the Financial Conduct Authority
The FCA is the regulator for consumer credit. The FCA won’t investigate your specific complaint and get back to you, but it will be passed to their supervisory staff who can take action against the firm. They can fine or even take away the licence from a firm that breaks their rules.
It is very simple to report a firm: just email the FCA at: consumer.queries@fca.org.uk Your email could look something like this:
I understand that this is in breach of your rule CONC 7.3.16. I can supply more details if this would help. I also feel it breaches PRIN 12, the Consumer Duty.
Yours faithfully, Name / address and postcode / telephone number
Prevent problems arising after the end of your DRO
After the end of your DRO, your debt is wiped out. Very occasionally your “debt” (that is in quotes because you no longer legally owe any money!) may be sold to a different debt collector who contacts you asking for payment. You should still use the above letters to complain about this.
One way to minimise the chance of this happening is to follow the steps in Repair Your Credit File once your DRO has finished. This will make sure that all the debts in your DRO have been correctly marked as settled/satisfied with no money owing.
What happens at the end of a DRO?
Improve your credit score after a DRO
Apps that make managing money easier
Nikki says
My DRO is only 10 days old and I am having trouble from bullying phonecalls from credit cards and this article has really helped me, some of the phone calls have been really nasty and I was that scared from them I didn’t dare hang up, after reading this I feel stronger and know what’s going on more, thank you
Jack says
Thank you for the advice. My DRO was discharged in Jan this year and have had 2 debt companies pursuing me for the same debt that was included in the DRO. They phone me daily and I have told them repeatedly the details of the DRO and told them not to contact me anymore. They know I am disabled and cannot use the phone due to my autism but still they harrass me. I will be following your advice.
julie says
I did a dro two years ago and now have a letter for a debt in that I gave that company my dro number and said I should hear no move my debt was sold to these people who to be fair did not know about my dro now theu do I hope they leave me alone
Debt Camel says
Hi Julie, I’m not surprised you are annoyed. Have you checked your credit file recently? You might have a look and check that all the debts that went into your DRO are marked as satisfied in some way, with a zero balance owing. If any aren’t, then use the letters here https://debtcamel.co.uk/credit-file-after-bankruptcy/ to get that sorted. The reason for doing this is because it is much less likely that one of your creditors will sell on a debt that has been marked as satisfied.
Rik says
I’m in month six of my dro and just had a letter from bristow &sutor chasing me for “recycled council tax debt” for the amounts i submitted in my dro application. Anyone heard of that?
Debt Camel says
No – that is a new one to me… I know everyone hates bailiffs, but in this case they are almost certainly just trying to collect what the council has told them to. I suggest you contact the council rather than B&S and first ask why you are being pursued for this and if that doesn’t resolve the problem, follow it up with a version of the letter of complaint in the post above – remove threatening to report them to the FCA as its not relevant for councils.
Rik says
Thanks for the swift reply. I contacted the council rather than b&s as it’s like talking to a brick wall. The council advised they have not instructed them to chase me. Im just concerned that the bailiffs may come and I needed to know if I can threaten to contact the police if they do as I feel it would be harassment
Debt Camel says
I would suggest that you should put in a written complaint to the council’s legal department – you can probably do this either on the council’s website or by email. You should then send a copy of that letter to the bailiffs. If the bailiffs turn up, you should not let them in and at that point you should put a second written complaint to the council and also get hold of a local councillor. If bailiffs attempt to force entry, you should certainly call the police.
There is general good advice about complaining about bailiffs here: https://www.nationaldebtline.org/fact-sheet-library/bailiff-complaints-ew/.
If this doesn’t get resolved quickly, your local Citizens Advice will be able to help you escalate the complaint with the council and then take it to the Local Government Ombudsman.
Hayley says
Hi,
I had a dro over 4 years ago, and I am still being chased for a debt that was included in the dro. They are threatening door step collection but I dont live at that address any more however my mum does and I dont want her having her stuff taken. They have said that if I b provide them with my dro reference number this will stop, I did this about 18months ago but it hasnt stopped. I now dont have my reference numbers, is there anyway of finding this out or getting them to leave me and kore importantly my mum alone?
Debt Camel says
Hi Hayley, when debt collectors threaten ” doorstep collection” they are usually bluffing, see https://debtcamel.co.uk/debt-collectors-court-bluffing/ – they can’t send bailiffs round without going to court for a CCJ first, which obviously you would contest, as you don’t owe this money after your DRO.
But I suggest that you should do all of the following:
– write and tell them where you live now. This should stop them pestering your mum.
– check your credit records to see that your DRO was correctly included and that you haven’t incorrectly had any CCJs registered against you.
– get in contact with whoever set up your DRO (your local Citizens Advice?) and ask if they have the details of your DRO number. if this doesn’t work, contact the Insolvency Enquiry Line on 0845 602 9848 between 8am – 5pm Monday – Friday or email Insolvency.EnquiryLine@insolvency.gsi.gov.uk.
– when you have got your DRO number, write the formal letters of complaint as I set out in the above post. It’s the best way to stop the problem coming back again!
Gareth says
I am currently midway through my DRO (Christians Against Poverty did excellent work there). Ive just had a letter from Lloyds (my single debt source) offering me a PPI refund. However, after contacting the CAP insolvency team, they have assured me that were I to accept this offer, it would cancel my DRO and reawaken my debt. In fact,I have to contact Lloyds/ombudsman and actively refuse it. This is a dirty tactic by Lloyds (I feel) to reengage people with their written off debt.
Debt Camel says
Or it could just be Lloyds trying to sort out their PPI refunds… It’s not clear to me if it would have cancelled your DRO – most PPI refunds are set off against the outstanding debt rather than being refunded in cash, in which case I don’t think it would have affected your DRO – but it wpuldn’t have done you any good, so refusing it seems safest.
Gsreth says
It was a cash offer from Lloyds, whose bsd practice /advice contributed majorly to my previous debt. They are well aware of my DRO, so it would seem quite a dark tactic.
Candice says
I am at the beginning stage of applying for a Dro through stepchange so it hasn’t been accepted yet. I have had a letter from bristow&sutor for payment or levy of goods will take place. If I notify them that I have applied for a DRO will they delay house visits although the Dro has not officially been accepted yet?
Debt Camel says
I wouldn’t tell them. Here is good advice on not letting bailiffs into your house: https://debtcamel.co.uk/bailiffs-dont-open-door/ Tell StepChange you would like to get on with DRO as fast as possible.
Michael says
Hi,
I am currently just into month 4 of a DRO, sorted by my local CAB, I have just received a letter saying one of my debts (Debenhams/NewDay Ltd £1435.00) has been sold to a company called Lowell Financial Ltd?, and asking me to contact them to Discuss payment?? is this normal.
Also I have been awarded PIP recently,(81.15 per wk) and have received a back payment for the time DWP took to sort it out, (app £1350), do I notity DRO office of this, I read an article where it stated PIP could not be classed as disposable income as it is for my daily living needs? and that people who live entirely on benefits, such as myself, have no disposable income?
Any advice on these matters would be most grateful, thanks.
Debt Camel says
hi Michael,
The DRO doesn’t get rid of your debts until it finishes after 12 months, so your debt sill exists and can be sold. However Lowell’s shouldn’t chase you for payment after you have informed them that you are in a DRO, so write back to them (don’t phone), tell them your DRO number and keep a copy of your letter. You shouldn’t hear any more… if you do, use the letter templates in this post to complain.
re the PIP. The extra income won’t cause a problem for the “spare income of less than £50” test. However you do need to notify the DRO office promptly about the back-dated lump sum as £1350 falls into the area where the OR has discretion over what to do, see my other post about this situation: https://debtcamel.co.uk/dro-income-up/
Michael says
Thankyou for info and prompt reply….. :).
Judith says
Hi,
My DRO was granted 4 years ago and over the past few months, I have been receiving letters from a company demanding payment for a credit card debt which was included in the dro. I have complained and sent them copies of the order, however that particular debt was with a different debt collection company (which is listed on the DRO, not the original lender) at the time the DRO was granted. Does this mean that they are still free to pursue me for this debt? I have written to them to inform them of all this but still getting letters.
Sara (Debt Camel) says
Your debt no longer exists. No-one should pursue you for it. If you have already given them the details of your DRO and they are still writing to you, I suggest you report them to the FCA and at the same time put in a complaint to the Financial Ombudsman as the above article suggests.
Dan says
Hello,
I had a DRO over two years ago, but I still have a couple companies trying to get payment and show on my credit file. I had also lost my DRO papers, but copies have been sent out which I should receive soon. It is just worrying me so much that they will say it’s a different name on the DRO papers to whom it is that is trying to get the money. I am worrying non-stop about it, as they have also recently made a search on my credit file, yet I have had no contact with them for over two years for them to be doing this. The problem mainly coming from Lowell
Dan says
Also to add, I noticed a CCJ on my credit file that was created just over a year after my DRO started, which is also worrying me and I am not sure what to do about it.
I started a free trial with Experian recently which is how I noticed these things.
Sara (Debt Camel) says
Hi Dan, this is a nuisance. You will need to get the CCJ “set aside”. This is described here: https://debtcamel.co.uk/help-ccj/ and I suggest you contact National Debtline on 0808 808 4000 if you would like help to do this.
PS don’t forget to cancel that Experian “free trial” – they make a lot of money from people who forget to do this!
Sara (Debt Camel) says
Hi Dan, Once you get your DRO papers you should be able to write the letters of complaint given in this article. If you read the other comments here, Lowell have been mentioned before – definitely report them to the FCA if they continue to contact you after you have given them the details of your DRO. It doesn’t matter that the “debt” has been sold to a different company, if it was listed on your DRO it no longer exists!
Dan says
Thanks for the response, I had my papers come today and I can see that everything was put on there, just different names to what I see from experian. I just have such terrible anxiety problems and find it hard to deal with things like this. I just hope all this can go away it’s stressing me terribly now. Especially when my report says I owe nearly 3k including a CCJ
Sara (Debt Camel) says
Hi Dan, the letters in this article should work :) If you need any more help with them, you could contact your local Citizens Advice Bureau. Good luck.
Jem says
my partner took out a DRO 2 years ago now, should he have revived a letter to say that all debts have been cleared or will he have to have a look into his credit score to see. He’s recieved nothing even after the 12 months.
Sara (Debt Camel) says
Hi Jem, this is normal, no official letter is sent to you at the end of a DRO. It would be a good idea for him to check his credit record, see https://debtcamel.co.uk/repair-credit-record-dro/.
Jem says
Great! Thanks for that.
Tara says
Hi there my debt relief order was granted in January 2014,so was completed this January,I have just had a very embarassing call from my employer stating that i have an attachment of earnings for one of the debts listed in my DRO?.Can this happen?Thankyou in advance for any help you can offer.
Sara (Debt Camel) says
Hi Tara, no it shouldn’t happen! What you need to do depends on whether the debt was council tax or for a consumer debt. You could go back to the adviser who set up your DRO or, if that isn’t convenient, phone National Debtline 0808 808 4000 and they can talk you through what you need to do.
Tara says
Hi Sara,Thankyou for your reply.The debt is a DWP one for alleged overpayment.I have contacted them and they said they had no notification of me having a DRO?!..I notified them a year and a half ago!….anyway to this end they want me to fax over my DRO schedule so they can make sure they are included!…I just found it all so embarrassing today that I had to explain to my employer that I have a DRO in place!..I hope this will be resolved soon…thanks again :-))
Esther says
Great article. My friend had constant calls from debt collectors until she wrote a complaint letter to the debt collector.
Jill says
Hi
My name is Jill I had a DRO approved this year I was taken to court for rent arrears which are in my DRO the judge would not listen to me 3 x I mentioned I had a DRO in place I have now been given 28 days to pay the full amount and outright possession order was made can he do this as I thought debts on DRO are not recoverable
Sara (Debt Camel) says
Hi Jill, I am afraid it is correct. See https://www.citizensadvice.org.uk/debt-and-money/debt-solutions/debt-relief-orders/debt-relief-orders-explained/debt-relief-orders-what-you-need-to-know/ which says “if you’re behind on your rent, your landlord can still take action to get their property back, even if the rent arrears are included in your DRO. This means you may have to continue paying these after a DRO is made.”
Christine ninian says
Hi..I paid my £90 dro fee on Thursday 30 June…I have bailiff ringing me for overdue council tax …if I tell him I have dro in place will he stop calling….. many thanks
Christine …..
Sara (Debt Camel) says
DROs are normally issued pretty quickly so hopefully yours will soon be approved. When it is, you should tell the bailiff and they should stop contacting you. If they don’t, your first action should be to complain to the council that their bailiff is ignoring your DRO.
Andrew says
Hi, I’ve filled in the application for a DRO,and have fotgot to make a payment for a water bill. As both our names are on the bill, if I make this payment, will that count as preferential to a creditor?
Thanks
Sara (Debt Camel) says
Why not get sidestep the problem by getting your partner to make the payment? Keep it simple …
Andrew says
I just wasn’t sure if someone else paid a a debt on behalf of another person, it would cause issues. If it doesn’t then will go award and pay it. Thanks Sarah
Sara (Debt Camel) says
Your partner is jointly liable for this debt.
David says
I’m thinking of doing a DRO I live with my girl friend it’s her house all the bills are in her name , what I’m worried about If I do will the house have a black mark on it meaning she will not be able to get credit because of the address as I don’t want my girl friend to know about it. Dave
Sara (Debt Camel) says
Hi David,
all credit rating is done by the person, not the address. So long as you don’t have ANY joint financial products with your girlfriend she won’t be affected by your DRO.
Having said that, I always suggest people should tell their partner about their debt solution. The DRO itself only lasts a year, but it will be on your credit file for 5 years after that. You are doing the responsible thing by getting a fresh start from impossible debts. But she may later feel very hurt and upset if she finds out you concealed this.
Dave says
Hi Sara thank u for the reply I just thought it was like bankruptcy the address gets blacklisted because that’s where the person lived at the time so if anyone got hire purchase the address would come up as blacklisted ,dave
Sara (Debt Camel) says
It is just like bankruptcy – but addresses don’t get black listed in bankruptcy either :)
Dave says
Hi again sorry just one more thing when could a home be blacklisted as a bad address for what reason as I remember a friend could get hp because of the address .dave
Sara (Debt Camel) says
It can’t. That hasn’t happened for decades. There will have been another reason your friend couln’t get HP, not because of his address.
Dawn says
I got my dro a month ago. My landlord still wants my arrears even though he’s on my dro. Can he keep asking me when I’m going to start paying it?
Sara (Debt Camel) says
The adviser setting up your DRO should have discussed the rent arrears with you. Rent arrears are a “qualifying debt” so they are included in your DRO and written off. However the landlord still has the right to repossess the property if the arrears are not paid.
Loretta says
If I am just over the £20,000 threshold of obtaining a DRO say £21-22,000 could I still be able to apply for a DRO and who do I contact to arrange this, I am in contact with Step-Change
Sara (Debt Camel) says
No you can’t. Talk to a debt adviser about your other options
NB the limit was increased to £30,000 in 2021.
P simpson says
I was in the same position just over the limit. I went bankrupt in the end in fact it was so painless I’m debt free now got till next October to go then it’s over with but get proper advice first
cab was a fantastic help for me hope it helps you
DK says
My son had a DRO in 2012. Recently a payday loan company, whose loan was included in the DRO, has asked for payment. He wrote back saying it was included in the DRO and gave them the number and the date but they are requesting the paperwork. Shouldn’t they have the notification of the DRO on their records? Should he send them his? What if he can’t find it?
Sara (Debt Camel) says
He should send them a copy of his DRO letter if he still has it. If he doesn’t, he can refer them to the DRO Unit of the Insolvency Service.
If he used payday lenders a lot, you could do him a favour and suggests he reads https://debtcamel.co.uk/payday-loan-refunds/ as he may be able to get a refund of interest he paid!
Kelvin says
Hi
I have just started a dro I owed Barclays a lot of money. But two weeks before I was granted the dro Barclays sold the dept to another company, my question is Barclays are on the dro but the new company isn’t, am I still covered with the dro
Sara (Debt Camel) says
Yes you are. I suggest you inform the DRO Unit as they may want to inform the new owner of the debt about your DRO.
Kelvin says
Thank you for your quick reply
The cab set it up for me should I ask them or phone the company up and tell them I’ve got a dro and give them my dro number when I get it
Sara (Debt Camel) says
I would do both. It’s a bit of hassle, but it would be good to have this sorted so you don’t worry about it.
mandy bryant says
Hi, I was granted a DRO in Oct 2013, recently I have had letters from a firm of solicitors acting on behalf of Napier Parking, the parking fine was included in the DRO and a list of my qualifying debts was sent to them at the time.
I cannot find my DRO reference number and without it, the solicitors are now threatening me with a CCJ, what can I do? Please help, I have so much personal stress at the moment, this is going to end up tipping me over the edge!
Thank you
Sara (Debt Camel) says
Contact the DRO Unit – they will be able to help. Contact details here: https://www.nationaldebtline.org/EW/factsheets/Pages/debtrelieforders/droadvice.aspx#quicklink13
Hayley says
Hi.
I was discharged from my dro yesterday so went to check what state my credit file was in today. I spotted that a loan i had has been accruing interest over the past year and is still showing as in collections on not defaulted. I phoned the loan company and they confirmed it is still in collections and hasnt been wiped off with the dro. I checked my dro paperwork and its definitely on there. Im panicking as the insolvency service and national debtline are closed today so i cant sort it out. Can you possibly give me any advice or reassurance on this issue for the time being?
Sara (Debt Camel) says
If the debt is listed on the Debtor’s Notice – that is the letter you received from the Official Receiver saying your DRO has been set up – then you are going to be fine.
You just need to write to the creditor telling them this, asking them to add a default date of the start of your DRO and to now mark it as settled with a zero balance owing. See https://debtcamel.co.uk/repair-credit-record-dro/ for more about this.
You may as well do this creditor now as they haven’t got the default date right. But other creditors I suggest you leave a few weeks to given then time to set the balances to zero before you bother to write and tell them to do this.
Bob says
I am in the middle of sorting a DRO I just have to pay the £90 and waiting for next step , I received a letter from a debt company saying they have been sold one of my debts will I have to change my paperwork for that debt or leave the original company I owe it to .
Sara (Debt Camel) says
I don’t think this will make a difference, but do tell the adviser who is setting up your DRO.
Faye Bainbridge says
I’ve recieved a letter saying a debt collector has sent an order of earnings to my employer for a ccj that was taken out before my dro even started, I have spoken to and sent emails to this company countless times with my dro letters and numbers but they have still done this! Is it even legal? How can the court have sent this letter?
Sara (Debt Camel) says
Were you sent an N56 form to complete asking for details of your employer? Who is the debt collector?
Faye Bainbridge says
No I was sent nothing! And I’ve phoned the county court Nd they have no record of my dro so Marston’s group obviously haven’t told them and are trying to charge me for court fines and everything as well! The courts are saying I should have told them but stepchange arranged everything and all the insolvency paperwork was sent out last July! No one told me I had to send anything to the court! And why has it taken 11 months for them to suddenly start persuing it again?
Sara (Debt Camel) says
Marstons – are they the creditor, or just bailiffs? What was the original debt for?
Your options here are to either go back to StepChange and get them to help or to contact National Debtline (contact details here https://debtcamel.co.uk/more-information/where-to-get-help/), who are excellent in all matters to do with CCJs.
Raza says
Hello Sara. I did a debt relief order in 2013 one of the debts listed on my DRO has been purshased by prac financial and bw legal as there representative I told bw legal that the payday uk debt is listed on my DRO and I have sent them an email with a attached copy of my DRO. will this end the matter. Thanks
Sara (Debt Camel) says
It should do. You don’t legally owe this money any more.
Has it been marked as defaulted before you DRO date and with a balance of zero owing on the credit record? If it hasn’t, ask for this to be corrected, see https://debtcamel.co.uk/repair-credit-record-dro/
Raza says
On my credit report theres no mention of default and the balance was zero before DRO and the balance is still zero currently on the credit report. I got another email from bwlegal saying I got 30 days to provide evidence of the DRO I emailed them back saying I already sent proof of the DRO via email and told them the debt is clearly listed on the DRO, if after 30;days they persist shall I ignore them or complain to the Financial ombudsman or insolvency service. Thanks and much appreciated.
Sara (Debt Camel) says
I think you are looking at the record on your credit report put there by the original lender? There should be another record from PRAC, have you looked at your credit records from all three credit reference agencies (this https://debtcamel.co.uk/best-way-to-check-credit-score/ explains how to do this for free)?
If they come back and still dispute this, you should put in a written complaint to them, telling them to contact the DRO Unit at the Insolvency Service for confirmation of your DRO and take the complaint to the Financial Ombudsman after 8 weeks.
Raza says
I have checked equifax and clearscore there’s no mention of the original lender and prac financial. On the report it mentions my DRO and discharge date of DRO and also on the report it says debt total zero and it says I have no debt or no account in arrears. I got another email from bwlegal asking for photographic of the DRO I sent them 2 photo images of the DRO first page and the second page showing the debt listed I have now provided the proof I hope it closes the matter.
Sharon says
I’m in a total mess, was a guarantor for my son for an amigo loans can’t afford to pay as my circumstances changed, my son is going to make himself bankrupt (had a gambling addiction) I’ve sent amigo a budget form and letter to offer x amount but they refused, I have paid the last 3 month what I have offered, just received a solicitors letter (amigo solicitors) they are going to take me to court for a ccj which I’m not really fussed about, I wanted to do a dro but because my car is worth £1125 they will take it so got to wait until it goes below because if they take my car I will have no job, so would I be able to put my ccj in when I do my dro does anyone know please.
Sara (Debt Camel) says
Oh dear, this is why debt advisers hate guarantor loans. Yes a CCJ can be included in any DRO.
Where did you get the car value from? DRO recommendations are to use any of:
Parkers Guide: http://www.parkers.co.uk/cars/prices/
Auto trader: http://www.autotrader.co.uk/car-valuation
Glass: http://www.glass.co.uk/.
(Sign up using an email address if necessary).
Use “Private Poor” as the current condition if that seems right to you.
Emma says
Hi,
My old bank is still adding on charges to my overdraft even tho they know I have a dro. The balance is now more and they are just go in to keep on adding charges and interest.
Will I be liable to pay all this back at the end of the year? And also can they even do this?
Sara (Debt Camel) says
is the overdraft included in your DRO?
Emma says
Hi yes it is and they have recorded I have a DRO but they also keep sending me emails and letters saying I need to pay within so many days
Sara (Debt Camel) says
That is very unusual. Send them the letter of complaint in the above article – let me know how you get on!
Emma says
Thank you. Can they still legally add on charges? The charges are the daily interest rates for being in my overdraft but theve only started doing them since my dro has come thru as before they were refunding the charges whilst awaiting
Sara (Debt Camel) says
yes, but as the debt is going to be wiped out at the end of your DRO year this isn’t anything to care about! What matters is that they should NOT be asking you to make any payments towards it.
Dan Wildman says
I have a DRO but the HMRC are refusing the order!!
I have contacted HMRC several times but they still refuse it! What can I do??
Sara (Debt Camel) says
What have HMRC said? Is this a tax debt or tax credits overpayments?
Marie Thomas says
Hi I had a debt order and this high one was on it. I recieved a letter today saying it’d been sold and they want there Money but it was included in my debt relief order. I am disabled and I can’t pay back this. Which is over 14 years old debt.
Sara (Debt Camel) says
Hi Marie,
how long ago was your DRO? Do you have the letter saying what debts were included in it?
daniel spoor says
I have been through a DRO, 2016-17. I have just checked my credit report and have found a new CCJ has been issued for a debt that was covered in the DRO. I have spoken to both sides of the company – the loan company and the debt collection company it got sold to. Neither say they can help get the CCJ taken off. What can I do?
Sara (Debt Camel) says
If the date of the CCJ was after the date your DRO started, you can apply to have it “set aside” which is the legal term for cancelled. Talk to National Debtline about how to do this.
Emma says
Hi. A company is sending me messages telling me that my debt will be passed on to a debt collections agency. Can they do this? I have already phoned and told them they shouldn’t be contacting me asking for money (twice now) and now I’m getting threats that it going to be sold even tho they clearly say in the message they know I have a dro.
Do i need to do anything?
Sara (Debt Camel) says
Until your DRO year ends. the debts in it legally exist. So it can be sold. But it doesn’t matter if it is sold, it will still be wiped out at the end of the year.
A creditor – and whoever buys it – can ask you to repay it. If they do once, tell them the date of your DRO. If they continue, write them the letter of complaint described in the article above.
danielle brown says
hi,hoping someone can help. my dro finished in 6th feb 2019. when i checked my credit report in the following months,most debts have been dealt with. however cashplus still shows my account is up to date (even though no payments have been made since 2017),i phoned them a couple of times to sort it and was told it takes 90 working days but given an email address to get intouch with. anyway i emailed and the reply(several weeks later) says theyv not received anything from insolvency service and to get in touch with them, so i did! they told me they sent all the info cashplus needed and they where inc in dro(and sent me an email of the letter). i forwarded it on to cashplus who say they cant accept it as it my letter and not 1 that creditors get. cashplus wont get intouch with insolvency service and insolvency service say theyv done what they need to do and not to worry, but the fact that the account on credit report still says up to date means itll be on my file forever when in fact theres no debt there anymore x
Sara (Debt Camel) says
Is that this firms? https://www.cashplus.com/? Have you sent them a formal complaint?
danielle brown says
iv had about a dozen phone calls to them(all of which where wrong according to the “back office staff ” who i was told to email) inc 1 call to london where the agent counted how many working days there where between 6th feb and the days date! could literally hear him counting (and subtracting bank holiday and weekends!) the 25/30 emails basically say they had no idea that a dro had been granted and thats not their problem(although she couldn’t answer why no action had been taking to recover the money if they believe that i simply stopped paying). would raising a formal complaint with them do anything giving that their sticking to the “we know nothing about thr dro”
Sara (Debt Camel) says
“would raising a formal complaint with them do anything giving that their sticking to the “we know nothing about thr dro””
yes, because you can add at the bottom of your formal complaint that you will send it to the Financial Ombudsman if it is not resolved within 8 weeks…
danielle brown says
thank u,ill give that ago x
Danielle says
an update xx wrote to cashplus in August to raise a formal complaint, gave them the 8 weeks to reply….8 weeks came and went! i complained to ombudsmen,while i was waiting on their reply i phoned cashplus(in October) who assured me the paperwork in all correct and their sorry for the delay,it should be done by Christmas….last week i got the paperwork from ombudsmen to start complaint…phoned cashplus again (1 last time to see why it hasnt been sorted) and the agent on the other end of phone told me “she has no idea as to why nothings been done,she can see everything is correct and it should have been dealt with, and to keep hold of any paperwork or emails as proof iv been in touch as cashplus wont help” guess shes having a bad day in work! either way its now 5 days since they said they would phone me back so im just gonna start official complaint against them….
Wendy says
Hi sara
My DRO finished on 8th november 2019.
I am still receiving an annual statement from next credit and TM legal service are asking for payment for a ccj given by lending stream. They are both sent by email and both are included in the DRO. What should I do about it? Thank you. Wendy
Sara (Debt Camel) says
For next credit, follow the steps in https://debtcamel.co.uk/repair-credit-record-dro/ for how to correct your credit record. By correcting your credit record so it shows that you have a zero balance owing will stop their system generating these annual statements. Also check your credit records to see if any other creditors have not yet correctly recorded the end of your DRO.
This won’t work for the CCJ as it’s not possible to mark a CCJ as being satisfied. But TM legal should not be asking you to pay this! Reply to their email saying the CCJ was included in your DRO which you were discharged from in November. If they want proof of your discharge, you can send them a copy of your updated insolvency service record if you kept it or tell them to contact the Insolvency Service’s DRO team to get confirmation.
Wendy says
Thank you sara. Wendy
Marnie says
Hi Sara
I’m applying for a DRO but since submitting my application my income has got even worse that I’m now in a negative budget. So I can’t even make ends meet going forward. What happens if I get in debt during a DRO (not by credit but not being able to afford utilities etc?). Can I get another DRO when it finishes?
Sara (Debt Camel) says
Unfortunately you can’t have another DRO for 6 years.
You should talk to your debt adviser about any options here.
Mark says
i got my dro on 30/10/2014 just want to know if it drops off file 6 years from start which will be 30/10/2020,or 6 years from discharge date 30/10/2015
Sara (Debt Camel) says
6 years after the start date :)
kerry miller says
Hello. If I apply for a dro can I still apply for my credit union loan I get to cover birthdays/Christmas?
Sara (Debt Camel) says
If if is less than £500, yes. BUT it is very likely that it will be refused when you are in the DRO year.
The rules here are much the same as for the other forms of Insolvency, bankruptcy (where the restriction also applies for a year) and IVAs (where the restriction applies for 5 years).
kerry miller says
Hello. Thanks for the response.
I have had this credit union for 2 years. My child benefit goes directly to them to pay off the loans. Can I leave it off a dro?
Sara (Debt Camel) says
You can’t simply leave a debt out of a DRO application.
With big debt problems at the moment, this CU loan may feel like a lifeline, but you need someone to help you look at what your situation would be like if in a DRO your debts were wiped out. Please talk to a debt adviser about your options here – phone National Debtline on 0808 808 4000.
Fia says
Hi,
I got a DRO in April this year. This morning I received a letter from Moriarty law (who are included in the debts), telling me I am in ‘arrears’ and that I have 14 days to respond or they will review the judgement debt to seek ‘enforcement action’. I am very anxious and worried about this and also puzzled as to why they have contacted me as they were fully aware of the DRO-in fact they sent me a letter to acknowledge this! None of the other companies on my DRO application have contacted me. I would rather not speak to ML by way of telephone call as my last experience (surly and rude advisor) was not a good one! What should I do about this?
Sara (Debt Camel) says
I suggest you send them a message using their form here: https://www.moriartylaw.co.uk/pages/contact-us. Repeat the details of your DRO and that their CCJ is included in it.
If they persist, go back to the debt adviser who set up your DRO and ask them to help.
D says
Hi, I’ve applied for a DRO and have been accepted but had to go back to court about the money I owe and fill out a form about my income etc, can the court still make me pay the money? They was notified about the DRO before hand but said it’s up to me to attend even tho they had a copy of the letter from the insolvency.
Weatherman says
Hi D,
(sorry for the questions – but they’ll help me understand the situation better!)
What stage are you at in the DRO process? Are you in the moratorium year?
Was the debt you’ve gone back to court for one of the debts included in the DRO?
Had you been sent the court forms before your DRO application was successful?
D says
I was accepted for the dro on the 4th of Feb 2021 so yes in the moratorium Yr.
Yes this was one of the debts included for the dro.
I wasn’t sent any forms from the court but was asked to attend court before the dro went through after I was accepted for the dro I informed the court I had been accepted for a dro so would I need to still attend court they said it was up to me if I did or didn’t attend. So I attended and I was in a room with a court officer and was asked for account details and N.I number, my income etc
Sara (Debt Camel) says
“asked to attend court”
do you already have a CCJ for this debt?
Were you sent an Order to Attend Court for Questioning or asked to complete a N56 Form for replying to an attachment of earnings application?
Have you talked to the debt adviser that set up your DRO about this?
An attachment of earnings order should be stopped by the creditor now you are in a DRO.
D says
Hi Sara
Yes it was for questioning but 8 wasn’t really questioned about anything just asked to fill the form in and if I would be offering any payment which I replied back no due to me having a dro, yes it was an N56 form. I did speak to them but they was surprised with what happened in court. The other thing I dont quite understand is how the court offercer said they hadn’t received the letter from the insolvency when I had a reply telling me they would put it on file. So the court can’t ask me to pay the amount then?
Sara (Debt Camel) says
I think go back to your debt adviser again and ask them to sort this out for you. It doesn’t sound right.
D says
Well they seem confused about it also, so 8 wasn’t really sure where to go next.
Sara (Debt Camel) says
Which debt advice agency was this?
Joe says
Hi Sarah
I recently completed my DRO in June this year. After not hearing from the two creditors throughout the 12 month period, today I received a letter from another ‘no win no fee’ solicitors who was first used to contact me at the beginning of all this mess. The letter asks if I am in a position to pay their client the £1200+ owed, which I believe is the first fee at the start of this.
This solicitor was not included in the DRO, their client decided to use another solicitor further down the line which then chased an amount of £2100+ off me, which instead was used in the DRO.
If this all make sense to you, my question is this: Does this original solicitor from today’s letter have any grounds to ask for this sum of money, even though it is for the client who used a different solicitor for the same claim, but at a different fee that was included in my DRO?
Sara (Debt Camel) says
I’m not quite clear what is happening, but it is the debt that is listed on the DRO that matters, not which solicitor a creditor is using to chase it.
I suggest you phone the debt adviser that set up your DRO and ask them to confirm if this debt was included in your DRO.
Martin Cook says
The answer is 100% NO end of story, you owe NOTHING, IF any problems phone the (FCA) financial conduct authority they will back you free of charge
Sara (Debt Camel) says
You do need to check the debt was listed in your DRO. Check with the debt adviser who set up the DRO if you aren sure. Debts that weren’t listed are NOT included.
Also don’t phone the FCA, they don’t get involved in individual cases. First tell the debt collector. If grey font back off right away, send them a complaint. And compel to the Financial Ombudsman if they persist.
Antony S says
Hi Sarah,
Firstly, I’ve used your site a few times and thank you for being so knowledgeable and helpful, you do help a lot to people out.
I lost my job and set up a DRO back in 12th April 19, this was fulfilled and discharged 12th April 20.
I had a credit card with Aqua named on it and written off in full.
All my credit accounts bar PayPal ( which I’ve noticed you have advised on them before which I will chase up after this) have the debt as settled and £0.
My Aqua debt was bought it seems by Hoist Portfolio holdings whichever, and they have sent me a letter last night saying I owe the debt and would i contact them.
The debt has long been written off, I emailed them full details of my DR0 and said the debt is not enforceable it does not exist, I also noticed this morning my credit report has their name above the Aqua debt, last dated 12th April 2020, which is when my DRO ended and they have it as £0 on my report! And closed, under Hoist pre default, so they are trying to chase me for a debt their own company have as £0 on my credit report.
This is illegal surely? I have emailed them a copy of a screenshot of my report with the details i described.
Sorry for the long post but just asking I am right aren’t I and that is illegal, especially as they have my credit report as £0 under their name let alone its written off by the Offical Receiver?
Thank you for your help in advance.
Kind Regards
Antony
Sara (Debt Camel) says
yes it’s wrong, it sounds like an error. Hopefully they will soon agree to this.
Antony S says
Thanks Sara
Mrs says
Hi Sara, I’m hoping you can help. I have a DRO which was approved December 2021, one of the creditors listed have been harassing me for a debt owed, thankfully I’m now hoping that has ended, but the debt owed is slightly bigger than what is on the DRO so now they are contacting me for the remainder of the debt. My question is, can they do this during my moratorium period? If they can then I will arrange a payment plan the remainder of the debt, if not I can contact them to inform them. Hope you can help.
Sara (Debt Camel) says
what sort of debt is this, a utility bill?
Gemma says
My DRO ended on 20/08/2021
I still have a CCJ on my record, I have been told the following information:
Good Morning
I have spoken to colleagues who know bankruptcy/insolvency who have advised the following .
Even thought the debt has been written off the Claimant’s were not paid the judgment amount, therefore, the CCJ remains in force for 6 years and cannot be removed as technically the debt remains unpaid.
A CCJ will be removed by Registry Trust 6 years after the date of entry – in this case 21 April 2016.
If you have any queries regarding your debt relief order you will need to contact the Insolvency Service.
I will refer the letter to a Judge in order to withdraw the attachment of earnings
Can anyone confirm if this is correct?
Sara (Debt Camel) says
Yes this is correct. See https://debtcamel.co.uk/repair-credit-record-dro/ which looks at how to correct your credit record after a DRO – that notes that CCJS won’t be changed.
BUT have you been having deductions from your salary for this? They should have stopped when your DRO started. Talk to the adviser who set up your DRO about this.
Gemma says
No I have not had any deductions because I am self employed and I only started getting letters about this a few months ago. Apparently it’s due to drop off my credit file this month because on the 21st April it would have reached a 6 year period
Sara (Debt Camel) says
ok so this is one less bad thing on your credit record. No need to do anything about this, it will just go.
Mr M says
I have had full debt advice and I was in Breathing Space but this has now ended. I have decided I would like to apply for a DRO as this was one of my options, I know that there will be some time setting this up and application going through. However I don’t have any money to pay one of my Creditors – Jacobs for some parking fine debts. Myself and the debt adviser have contacted them to ask for a hold but they are demanding £50 per month within 10 days! should I tell them i’m about to apply for a DRO as I am insolvent with no money to make repayments or will telling them I am about to apply for a DRO make them try harder to pursue the debt before application is put in?
Sara (Debt Camel) says
Which debt advice firm are you talking to? Do you own the car the tickets were issued on? Where is it parked? Does the debt adviser say you will be able to keep the car in a DRO?
Mark says
Hi Sara, was wondering if you could help me. My DRO ended a year ago, but a mobile provider who I had a SIM only contract with is refusing to mark my account as partly satisfied until I pay them the outstanding balance which was included in my DRO!!! At first they started telling me that to their knowledge they were not aware of my DRO. Once I’d sent them the proof, they insisted they would only mark the account as partially satisfied once I pay my outstanding balance. I have checked and double checked, they were definitely included in my DRO (I even sent them proof of this) – I feel considering I have waited over a year for this to be sorted (all the other lenders marked the accounts as partially satisfied no problems at all) that I have given them time to rectify this and now they are just being difficult. Who would I complain to in this instance? Would it be the FCA, communications ombudsman… Etc? Thanks :)
Sara (Debt Camel) says
which mobile company is it? were you in arrears at the start of the DRO?
Bradley says
Hi Sara.
I had My DRO approved around 1/2 months ago, and at that time I notified all of my creditors, one of which was my council tax.
They’ve since sent me a letter stating they were taking me to court over an amount that was listed in the DRO,
I contacted them again by email and called them the next day, informing they and I were subject to the DRO legally and legally they could not further enforce this, the chap on the phone agreed and said he would have his higher ups cancel the summons
However I’ve today found out that the court approved the enforcement action and now I’m being given until the 11th of May to pay,
As they have breached the DRO what would be my next steps?
Thank you!
Sara (Debt Camel) says
Who set up your DRO?