How do I qualify for a DRO?
The total owed to unsecured creditors must be less than £20,000 (revised limits as of October 2015). You must not own assets with a total value of more than £1,000 or a vehicle worth more than £1,000 (though if special adaptations have been made e.g. for mobility or disability purposes then this may be allowed).
Your disposable income must be less than £50 per month after paying your essential household bills. You may only apply for a DRO once in any six year period. If you are currently party to bankruptcy proceedings or an existing IVA you will not qualify for a DRO.
Debts that are excluded from a DRO include, but are not limited to, child maintenance arrears, Magistrate court fines, criminal fines (this includes debts obtained under the Proceeds of Crime Act), debts from fraudulent activity, damage or personal injury claims made against you, student loans and social fund loans.
You must have been a resident, property or business owner in England, Northern Ireland or Wales in the past three years.Continue to the next section Is a DRO right for me?