Debt relief orders
A debt relief order is a way for someone to have up to £50,000 of qualifying debts written off if they have a low income and little or no assets of value.
Debt relief order applications
A debt relief order is a form of personal insolvency for a person with a low income and few assets to have up to £50,000 of qualifying debts written off.
Asset limits for a debt relief order
To qualify for a debt relief order, an applicant must not have assets that exceed £2,000 in value, in addition to a vehicle valued at less than £4,000.
Income and expense limits for a debt relief order
The debtor's income and regular expenses are assessed by an authorised intermediary when they apply for a debt relief order.
Treatment of disability benefits and premiums in a DRO
Income and lump sums of certain disability benefits do not affect a debtor's eligibility for a debt relief order.
Qualifying debts in a debt relief order
Qualifying debts are written off at the end of the debt relief order moratorium period, as long as they were not incurred through fraud.
How the debtor's conduct can affect a debt relief order
Committing fraud, gambling, giving away property, and preferring creditors can impact a debtor's application for a debt relief order.
Permission for company directors in a DRO
A debtor must apply for permission to be the director of a limited company when subject to a debt relief order.
Debt relief orders and possession
If a tenant is subject to a debt relief order (DRO), the possession proceedings can continue but there are restrictions on the rent that the landlord can recover.
Debt relief order specialist resources
Expert debt relief order articles from Shelter's Specialist Debt Advice Service.
DRO practitioner notes
Insolvency Service responses to enquiries from Shelter's Specialist Debt Advice Service.