A Debt Relief Order (DRO) is a way of dealing with your debts if you cannot afford to repay them. It means that you do not have to pay certain kinds of debt for a specified period (typically 12 months). It is very similar to a Bankruptcy.
At the end of the period, the debts are written off.
Not everyone would be able to apply for a DRO. It order to qualify, you must meet the following criteria:
You would need to apply for a DRO through an "Approved Intermediary" (the Citizens Advice Bureau is an example)
They would assist you in completing the application, which would then be sent to the Official Receiver at The Insolvency Service together with a fee of £90. The Official Receiver would then decide whether to grant the DRO or not.
Not all debts "qualify" within a DRO and therefore would not be written off after the one year period. An example of the debts not written off are as follows:
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