Debt Relief Order (DRO)
A Debt Relief Order, or DRO as it is sometimes referred to is a formal debt solution There are no fees involved with a DRO. Qualifying debts would be frozen for 12 months and providing you continue to meet the eligibility criteria; the qualifying debts will be written off at the end of the 12-month period.
You may qualify for a DRO if you do not have assets worth more than £4,000, owe less than £50,000, are not a homeowner and cannot afford to pay more than £75 per month toward your debts. You can only apply for a DRO through an approved intermediary.
Advantages
- A DRO includes most debts
- You will not need to make any further payments into the DRO
- You will not have to pay anything towards your debts
Disadvantages
- A DRO is a formal insolvency procedure and will have a negative effect on your credit file
- If your circumstances improve during the moratorium period, your DRO could be revoked
- Your details will be listed on the Insolvency Register
Parkfield Insolvency will not charge you a fee for initial information and signposting. If you were to proceed and implement a recommended debt solution where fees are applicable, full details will be provided before setting up. Parkfield Insolvency proposes and administers Individual Voluntary Arrangements (IVAs). Advice is provided on the basis that there is reasonable contemplation of an insolvency appointment, once it is apparent that an IVA is likely to be the most appropriate debt solution. The debt solutions offered by Parkfield Insolvency Limited only apply to residents of England, and Wales.
Parkfield Insolvency is a trading style of Parkfield Insolvency Limited, Company Number 14371483, registered in England and Wales, at Dalton House, Cross Street, Sale, M33 7AR.
Peter Jackson is authorised by the Insolvency Practitioners Association to act as a Licensed Insolvency Practitioner.
To qualify for an IVA with Parkfield Insolvency, you must have a minimum of £6,000 of qualifying unsecured debt owed to two or more creditors
There is potentially a debt write off in some IVAs. However, the amount of debt written off differs for each customer depending upon their individual financial circumstances and is subject to the approval of their creditors.
Data Protection Act Registration Number – ZB399874. To find out more about managing your money and getting free advice, visit Money Helper, an independent service set up to help people manage their money.
