You may be contacted by a money adviser seeking information on the debtor’s debts, contractual arrangements etc. as this information is used to determine whether DAS is an appropriate option for the debtor. It is in your best interest to provide this information to the money adviser.
If you are considering court action against the debtor to recover the debts, the debtor may have asked their approved money adviser to write to the DAS Administrator to intimate their intention to apply for a debt payment programme (DPP). The DAS Administrator will register this intimation on the DAS Register. Once this is on the DAS Register the debtor is protected for a period of six weeks against any creditor action. Therefore, during this period you are unable to enforce payment of any debt(s). You must search the DAS register prior to any enforcement action being taken.
If the debtor applies for approval of a DPP under DAS you will receive a request to consent to that DPP proposal either from the DAS Administrator or a continuing money adviser. The request to consent is designed to give you all the information you need to make a decision to accept or reject the DPP proposal. The request to consent to a DPP proposal will normally be sent to you via the Debt Arrangement Scheme hub (DASH), if you are registered, otherwise by first class post. You have 21 days from the date of posting or electronic transmission to you to respond to the continuing money adviser or the DAS Administrator with your decision. If you do not respond within the 21 days that does not mean that you do not accept the terms of the DPP proposal, you will be considered to have deemed to consent to the DPP. It is therefore important to register your non consent within the 21 day period if you do not agree to the proposal. If a DPP proposal has 100% consent, either deemed or active, then the DAS Administrator will automatically approve it. Where a creditor has not consented or where the DPP is for a single debt and the creditor has not responded within 21 days, the DAS Administrator must approve a DPP proposal that is fair and reasonable. The DAS Administrator will consider all the creditors’ responses, and whether it is appropriate to approve the DPP. Once a DPP is approved you will be notified via a form 2.
Following the approval of the DPP the DAS Administrator or continuing money adviser will notify the payments distributor who will arrange the start of the payments from the debtor. If you are not registered on DASH, the payments distributor will contact you in order to get your bank account details to make the necessary payments to you. You should receive your first payment within 1 month of the DPP being approved.
During the period of the DPP there may be occasions where you may wish to apply to vary the DPP, however you must have made an effort to agree this variation with the debtor first. If you believe that a DPP should be varied then you can apply to the DAS Administrator via form 4.
You will receive a variation notice if the debtor, another creditor or a money adviser acting on behalf of the debtor has applied to the DAS Administrator to vary the DPP. You can provide the DAS Administrator with your views on whether this application should be varied or not, including any reasons.
If you believe that the debtor has breeched the conditions of the DPP, or any discretionary condition linked to their DPP, then you can apply for the DPP to be revoked. This is done via a form 5 and will come to the DAS Administrator for decision.
You will receive a revocation notice if the debtor, another creditor or a money adviser acting on behalf of the debtor has applied to the DAS Administrator to revoke the DPP and the DAS Administrator proposes to revoke it. You will be given a period of up to 4 weeks to respond to this notice. The DAS Administrator will consider all views and statements prior to determining whether to revoke the DPP.
You will be notified if the DPP is revoked. The DAS Register will be updated with the notice of revocation. At this time you will be able to consider whether further enforcement action to recover debts is appropriate. The terms and conditions under which the debt was originally provided continue to apply and any interest, fees and charges can be applied to the debt.