A Debt Relief Order (DRO) is a similar mechanism as bankruptcy for those with personal debt of £20,000 or less.
There are other conditions, the main ones being:
- you don't own your home
- you don't own a car worth £1,000 or more
- you have less than £50 per month after paying household expenses
The fee to apply for a DRO is currently £90 and must be applied for via a DRO adviosr, also called an approved intermediary. You can find a DRO advisor at most local Citizens Advice. A DRO usually lasts for 1 year after which the debtor, with some exceptions (such as student loans), will be released from all of their debts. In 2017/2018 year there were 427 DROs in Northern Ireland, up from 330 in 2016.
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A PDF version of the full guide to 'Business Rescue and the Insolvency Process' is available to download here.
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