DRO Advantages
It binds all creditors to conform to the order and prevents them from taking any further collections activity against you.
On successful completion of the order, debts subject to the order that you cannot afford to repay will be written off.
There is no fee for this solution.
DRO Considerations
You can’t act as director of a company or be involved in its management unless the court agrees.
The DRO is entered on a public register.
You won’t be able to have a DRO if you own your house, even if it has no equity.
Your DRO could be revoked if you don’t cooperate with the official receiver during the year your DRO is in force.
You will be committing an offense if you get credit of £500 or more without disclosing that you are subject to a DRO.
A DRO could affect your employment or future employment if you work in a licensed role such as a publican, solicitor, financial advisor, etc.
A DRO is registered against your credit file for a minimum of 6 years and will affect your ability to obtain further credit.
You may have a debt relief restrictions order made against you for 2 to 15 years if you acted irresponsibly, recklessly, or dishonestly.
Do I qualify?
To qualify for a Debt Relief Order your assets must be worth less than £2,000, you must not own a vehicle worth more than £2,000 and you must have £75 or less spare income after household expenses. Additionally, your debts must total less than £30,000 and you must have lived or worked in England or Wales in the last 3 years.
Qualifying terms
Assets worth of £2,000 or less
Can't own vehicle worth £2,000 or more
Maximum £75 disposable income
Have lived or worked in England or Wales in the last 3 years
