A Debt Relief Order is a formal debt solution available to people who have a small amount of money left to offer towards their debts, have little assets and a relatively small amount of debt. It’s a perfect solution for those who qualify, as it’s relatively low cost and offers legal protection from creditors.
Angel Advance are an Approved Intermediary for Debt Relief Orders, which means we can offer advice and make your application for you – you can’t do it yourself, so it’s important you approach an Approved Intermediary like us to help.
To seek debt advice, you can use our Online Debt Advice Tool, speak to one of our expert debt advisors on live chat, or give us a call on 01925 599400, we’re on hand to help every step of the way, in complete confidence.
Am I eligible for a DRO?
You may be eligible for a Debt Relief Order if you owe less than £20,000 in total to your creditors, have £50 or less left over each month after your essential bills and outgoings have been paid, your car (if you have one) is worth less than £2,000 and your other assets don’t surpass a total value of £1000.
How to apply for a DRO?
To apply for a DRO you’ll need to receive debt advice from Angel Advance first. Once we know that you qualify for a DRO, we’ll be in touch to discuss the next steps. We’ll need some documents from you to process your application, the basics are 3 months bank statement, 3 months proof of income, evidence of your debts and your signed welcome pack – we’ll let you know if we require anything else.
Once we have these details, our DRO team and Approved Intermediary will be in touch to work on your application.
What debts are included in a DRO?
Most debts will be, aside from the following:
How long does a DRO take to process?
Our Approved Intermediary will work with you and aim to process your DRO application as quick as possible. We understand that many people utilise a DRO for its legal protection, and therefore need the DRO approval quickly. We aim to have an outcome for you within 2 weeks of your application.
How long does a DRO last?
A Debt Relief Order lasts for 12 months, and after this time you are released, and your debts written off.
Will a DRO stop bailiffs?
Yes, in most cases bailiff action is prevented as part of your DRO. It’s important to note that if you have a controlled goods arrangement in place already with a bailiff, you’ll likely need to continue paying them to prevent them from taking your goods.
Will a DRO impact my credit score?
Yes, your credit file will be updated to show that you’ve entered a DRO and the marker will remain there for 6 years; this can make taking out credit in the future difficult.
If you’ve already been missing payments to your debts or have any CCJs, your credit file will have been impacted already.
If you’d like more information on a DRO and how we can help, call us today on 01925 599400 to speak to an experienced debt advisor, visit our Live Chat service, or email us at info@angeladvance.co.uk. We also have another article here, which covers some other details.
