A debt relief order (DRO) is an order granted by the Insolvency Service in cases where you can’t afford to pay off debts.
With a debt relief order, none of the companies to which you owe money (your creditors) can take action against you to get their money back. This lasts for as long as you have the DRO, which is usually about a year.
At the end of this time, all the debts included in your order are written off.
To apply for a debt relief order, you must have debts of less than £15,000 and a low income. As you cannot apply for a DRO yourself, you will need to contact an authorised adviser who will apply for a DRO on your behalf. First though, your adviser will check whether you meet the conditions. For example, you won’t be able to apply for a DRO if yoAu own things of value or have savings of over £300.
To proceed with an order will cost £90, but you can spread the cost of this over six months.
To find out more details about a debt relief order, please read on. Please note that a debt relief order is a cheaper option than going bankrupt, but there may be more ways to deal with your debts and your authorised adviser can provide further information about these other options.