How to Apply for a Debt Relief Order

The debt relief order (DRO) was introduced in 2007 as a way to help residents of England and Wales who have a small amount of debt and no way to pay it. Cheaper than filing for bankruptcy, the DRO is in place for about a year. Your debts are listed in the DRO and, during the year, none of the listed creditors can take legal action against you. At the end of the DRO, the listed debts will be eliminated.

Instructions

1

Determine if you qualify for a DRO. To qualify for a DRO:
Debts must be less than 15,000
Disposable income must be less than 50 a month
Total assets must be less than 300
You did not have a DRO within the last 6 years

2

Contact an approved intermediary. You can find a list of intermediaries through your Citizens Advice Bureau, or check the Insolvency Service website for a list of competent authorities that can direct you.

3

Fill out the online application with the help of the intermediary, print it off, sign it and mail it to:

The Debt Relief Order Unit
The Insolvency Service
1st Floor, Cobourg House
Mayflower Street
Plymouth
PL1 1DJ

4

Obtain, from your intermediary, your unique bar-coded letter so that you can pay your fee.

5

Pay the non-refundable fee at a Payzone outlet. The fee must be paid in cash and, as of 2010, is 90.