What is the purpose of debt relief orders (DROs)?
The debt relief order is a form of insolvency for people that have a certain amount of debt, little disposable income and few assets. The debt relief order will help to place the least complicated debt discharge cases on a fast-track through the court system with no personal appearance at court required. How many people will be eligible for debt relief orders (DROs)? Approximately 11% of all bankruptcies would have qualified for a Debt Relief Order. The Insolvency Service anticipates that there will be within the first year of DRO availability up to 21,000 DRO applications. It is projected that this will rise to up to a maximum of 43,000 in the second year of operation. What other names is a Debt Relief Order known by? You may see references to a Debt Relief Order as a DRO or a Debt Relief Restrictions Order. Who might DROs be suitable for? People with relatively low liabilities, little surplus income and few assets and who are unable to pay off their debts in a reasonable time. What a
