Legal Advice on Debt Relief Orders

For those facing financial hardship, with debts under £20,000 and minimal disposal income, this is a process available to you. At Farleys we offer advice and guidance on how best to formulate your application and navigate this process, which can be daunting.

What is a Debt Relief Order?

A debt relief order (DRO) is an alternative formal individual insolvency procedure, similar to an IVA. It gives you one year’s protection from creditors enforcing their debts without permission from the Court. You are then discharged from your liability for those debts. To be eligible for a DRO you must:

• Live in England or Wales;

• Be unable to pay your debts;

• Have a total of debts less than £20,000;

• Have assets totalling less than £1,000;

• Have a disposable income of less than £50;

• Are not subject to any other Insolvency Procedure; and

• Have not had a DRO within the last 6 years.