How does a debtor in Debt Repayment Scheme (“DRS”) repay his debts to his creditors?
Debtors have to make payments of their monthly instalments to the Official Assignee ("OA"). The OA will disburse dividends to the creditors who have submitted their claims when there are sufficient funds in the debtors' account. The disbursement of dividends is on an annual basis.
Debtors' payments will be fractionalized and paid to the creditors. These dividends will continue until the completion of the payments set out in the terms of the Debt Repayment Plan.
Related questions
How does a debtor in Debt Repayment Scheme ("DRS") make payment for the monthly instalments and fees under the DRS?
Do I have to repay my creditors before commencing the Debt Repayment Scheme ("DRS")?
What is the Debt Repayment Scheme ("DRS") and when did it start?
How and when will the debtor be informed that he can commence the Debt Repayment Scheme ("DRS")?
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