Do I need to stick to a budget in a DRO?
Yes, our team will work with you to create a budget based on your current circumstances.
You can use this to help you complete your DRO application.
Your budget must be realistic and sustainable, and cover all essential household living costs.
The DRO intermediary will discuss with you, prior to submission, any areas of your essential living costs that the Official Receiver may consider high or low to ensure that your budget is realistic.
The Official Receiver has budget guidelines they consider when approving or declining a DRO application.
If your situation changes after you enter a DRO, including your income or expenses, you’ll need to notify the Official Receiver as soon as possible.
How will my credit score be affected by a DRO?
A Debt Relief Order (DRO) will appear on your credit file for six years from the date it’s approved. This means you could find it harder to borrow or be offered higher interest rates if you apply for credit cards, loans, mortgages or other credit in future.
Can a Debt Relief Order stop bailiffs?
Yes, a Debt Relief Order (DRO) can stop bailiffs, but only from taking control of goods for debts included in the DRO. However, if bailiffs have already taken control of goods, or if there’s a controlled goods agreement (CGA) in place, a DRO may not stop them. It’s important to discuss your situation with your debt advisor to ensure all steps are taken to protect you.