Debt Relief Orders And Bailiffs

When the Official Receiver issues a Debt Relief Order (DRO), all of the debtor's property is transferred to the Official Receiver, preventing bailiffs from taking control of these assets or taking a money transfer.

The process for a DRO takes up to six weeks from the date of your application to its submission by the DRO intermediary to the Official Receiver. During this period, bailiffs can still enforce the debt, so it is crucial to protect yourself and your home.

Once the Order is in place, bailiffs cannot pursue you for money, except for child support or student loans.

A DRO costs £90. To qualify, you must not own a home, owe less than £20,000, have less than £50 in disposable income, and possess less than £1,000 in assets.

You can find a DRO intermediary online, and remember, you may seek charitable assistance for the £90 fee. It is wise to explore your options and know that there is support available.

If you do not qualify for a DRO, bankruptcy may be a viable alternative.

An Individual Voluntary Arrangement (IVA) is suitable for negotiating consumer debts, but it's important to note that it's ineffective for court fines, student loans, and child support arrears. Understanding these limitations is crucial in making an informed decision.

An IVA can help with council tax arrears, traffic debts, and high court writs but cannot circumvent the enforcement power of a writ or warrant of control. Additionally, IVAs can be quite costly.