There are lots of different factors to consider when giving the best debt advice, including how much you owe and to how many creditors, whether you own a home, what type of debt it is (eg. secured or unsecured) and much more.
We have tried to lay out in the most clear and concise manner when each kind of debt solution is most appropriate, what the advantages and disadvantages are, and how they work. We strongly recommend that you contact our experienced Debt Counsellors for expert debt advice before you make any decisions though, it's a free service and you can get in touch for free as well!
We have tried to lay out in the most clear and concise manner when each kind of debt solution is most appropriate, what the advantages and disadvantages are, and how they work. We strongly recommend that you contact our experienced Debt Counsellors for expert debt advice before you make any decisions though, it's a free service and you can get in touch for free as well!
Debt Advice 
The debt solutions that are
available include:
available include:
Debt Relief Order
A Debt Relief Order (DRO) freezes all of your debt and interest on debt for a period of 12 months.During that time your creditors cannot pursue you for the money you owe them, and if you are unable to repay the debt at a reasonable rate after a year then the debt will be written off.
There are very specific circumstances in which you will be able to qualify for a DRO, including that you do not own a home and your assets amount to less than £300.
To find out if you will qualify and to get free debt advice contact our expert Debt Counsellors
SUITABLE?
Are you Eligible for a Debt Relief Order?
There are very specific criteria when it comes to getting a Debt Relief Order. These are:
You must owe less than £15,000,
You cannot own a home (even if you have no equity),
You must be unable to make your repayments, and have less than £50 surplus income after essential living costs have been taken in to account,
You must not own assets totalling more than £300 (including pension contributions),
If you own a vehicle, it must be worth less than £1,000.
If you meet these criteria and wish to know if a Debt Relief Order is your best option to deal with your debt problems, get in touch and receive free debt advice from our expert Debt Counsellors.
There are very specific criteria when it comes to getting a Debt Relief Order. These are:
You must owe less than £15,000, You cannot own a home (even if you have no equity), You must be unable to make your repayments, and have less than £50 surplus income after essential living costs have been taken in to account, You must not own assets totalling more than £300 (including pension contributions), If you own a vehicle, it must be worth less than £1,000.If you meet these criteria and wish to know if a Debt Relief Order is your best option to deal with your debt problems, get in touch and receive free debt advice from our expert Debt Counsellors.
HOW WORK?
How do Debt Relief Orders Work?
If your circumstances make you eligible for a Debt Relief Order then you can apply online by using an intermediary. Find out more about how you do this by getting in touch with us for debt advice.
If you meet the criteria then the order will be granted by an officer of the court known as an Official Receiver.
At this point your debt will be frozen (except for student loans and fines) and after a year, if you are still unable to pay the debt at a reasonable rate, it will be written off.
There is a fee of £90 for getting for getting a Debt Relief Order, which is a lot less than the Bankruptcy fee.
For more details, contact us for free to get debt advice and find out if there are better debt solutions for you.
If your circumstances make you eligible for a Debt Relief Order then you can apply online by using an intermediary. Find out more about how you do this by getting in touch with us for debt advice.
If you meet the criteria then the order will be granted by an officer of the court known as an Official Receiver.
At this point your debt will be frozen (except for student loans and fines) and after a year, if you are still unable to pay the debt at a reasonable rate, it will be written off.
There is a fee of £90 for getting for getting a Debt Relief Order, which is a lot less than the Bankruptcy fee.
For more details, contact us for free to get debt advice and find out if there are better debt solutions for you.
EFFECTS?
What are the Effects of Getting a Debt Relief Order?
By getting a Debt Relief Order you will be declared officially insolvent. The effects of this apply to:
Your job – If you are a member of a professional organisation or are in a position in your job in which you handle finances then your work may be affected,
Your creditors – Your creditors will not be allowed to contact you for the year that the Debt Relief Order runs for,
Your credit rating – You will probably find it hard to get credit for a period of time after the Debt Relief Order has been in effect.
Your debt – Your debts and interest rates on your debt will be frozen.
By getting a Debt Relief Order you will be declared officially insolvent. The effects of this apply to:
Your job – If you are a member of a professional organisation or are in a position in your job in which you handle finances then your work may be affected, Your creditors – Your creditors will not be allowed to contact you for the year that the Debt Relief Order runs for, Your credit rating – You will probably find it hard to get credit for a period of time after the Debt Relief Order has been in effect. Your debt – Your debts and interest rates on your debt will be frozen.ADVANTAGES
What are the Advantages of a Debt Relief Order?
If you still cannot afford to pay your debt after a year it will be written off,
All of your debt and interest is frozen from the time that the order is granted,
Your assets are unaffected,
It is cheaper than Bankruptcy.
If you still cannot afford to pay your debt after a year it will be written off, All of your debt and interest is frozen from the time that the order is granted, Your assets are unaffected, It is cheaper than Bankruptcy.DISADVANTAGES
What are the Disadvantages of a Debt Relief Order?
You won't be eligible if you own your own home,
Your job may be affected by your status as being insolvent,
Student loans and fines will not be affected (however this is usually the case).
You won't be eligible if you own your own home, Your job may be affected by your status as being insolvent, Student loans and fines will not be affected (however this is usually the case).Contact Us
Get in Touch
If you would like to know more about Debt Relief Orders, or whether another solution would be preferable, then get in touch for free debt advice. The advice on debt that we give is impartial and we will keep the information that you provide confidential and private.
If you would like to know more about Debt Relief Orders, or whether another solution would be preferable, then get in touch for free debt advice. The advice on debt that we give is impartial and we will keep the information that you provide confidential and private.