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We could help you reduce
your debt with a
Debt Relief Order
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What is a
Debt Relief Order?

A Debt Relief Order (DRO) is a formal solution for dealing with your debts, which may enable you to get most of them written off.

It is suitable for those who owe £30,000 or less, who don’t own their own home, without much spare income and who don’t have many other assets or items of value.

Key facts of a
Debt Relief Order
  • You don’t have to make payments on most of your debt for 12 months
  • Your creditors can’t force you to pay your debts
  • When the DRO ends, the majority of your debts will be written off
  • There is a £90 application fee for a DRO
  • Qualifying debts include credit cards, loans, rent and bill arrears, business debts, income tax and so on
  • Debts not covered include student loans, social fund loans, child support and maintenance, and court fines
  • As this is a form of insolvency, your credit file will be impacted for six years
Who can apply for a Debt Relief Order?

You should be able to apply successfully for a DRO if you’re unable to pay your debts, your qualifying debts are not above £30,000, you have no more than £75 leftover each month after paying usual expenses and if you don’t own your own home.

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Max. £30,000 debt

If you have qualifying debts of no more than £30,000, you may well be eligible for a DRO, allowing you to press pause on repayments for 12 months.

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£75.00

You may be eligible for a DRO if you have less than £75.00 leftover month by month after meeting your usual household expenses.

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Qualifying debts

Credit cards, overdrafts, loans, rent arrears, utility bills, benefits overpayments, hire purchase or conditional sale agreements, business debts, debts to friends and family, bills for services (such as vets or solicitors).

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Restrictions

You can’t borrow £500 or more without disclosing the DRO. You will need court permission to be a company director or set up, manage or promote a limited company. Details will be on the Individual Insolvency Register while the DRO is in force and for three months afterwards.

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Max. £30,000 debt

If you have qualifying debts of no more than £30,000, you may well be eligible for a DRO, allowing you to press pause on repayments for 12 months.

img
£75.00

You may be eligible for a DRO if you have less than £75.00 leftover month by month after meeting your usual household expenses.

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Qualifying debts

Credit cards, overdrafts, loans, rent arrears, utility bills, benefits overpayments, hire purchase or conditional sale agreements, business debts, debts to friends and family, bills for services (such as vets or solicitors).

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Restrictions

You can’t borrow £500 or more without disclosing the DRO. You will need court permission to be a company director or set up, manage or promote a limited company. Details will be on the Individual Insolvency Register while the DRO is in force and for three months afterwards.

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Eligible Debts
A Debt Relief Order may work for…

A DRO may be appropriate for the following debts: credit cards, overdrafts, loans, rent arrears, utility bills, benefit overpayments, hire purchase or conditional sale agreements, business debts, debts to friends and family, bills for services (such as vets or solicitors).

Credit Cards

Payday Loans

Store Cards

Overdrafts

Personal Loans

Lines of Credit

Business Debt

Catalogues

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Ineligible Debts
A Debt Relief Order may not work for…

A DRO may not be available to cover debts, including child support and maintenance payments, social fund loans, magistrates court fines, confiscation orders relating to criminal activity and student loans.

Personal Loans

Lines of Credit

Court fines

TV-license arrears

Student loans

Lines of Credit

Social-fund loans

Rent arrears

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Why Choose Us?
Why Choose Fresh Start UK?

Fresh Start UK has helped more than 12,000 people gain control of their finances and be debt-free. If you’re struggling with debt and finding it tough to keep up with your bills, speak to an advisor today.

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The upsides to using a Debt Relief Order?

img A DRO usually lasts 1 year, then most or all debt included is written off

img Interest and charges will be frozen

img Legally binding, offering protection from creditors

img Fees for the DRO are just £90

The downsides to using a Debt Relief Order?

img Your credit rating will be impacted for six years

img You can’t be a homeowner

img You have to have less than £75 disposable income

img Your DRO is subject to approval

Ready to get started on the path to financial freedom?
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Money Helper has replaced the Money Advice Service and brings together the support and services of three government-backed financial guidance providers: the Money Advice Service, the Pensions Advisory Service and Pension Wise.