A DRO will appear on a public register and will affect your credit report negatively
A DRO application is made via an Approved Intermediary for a one-off fee of £90. This payment can be made in installments if required.
The DRO will appear on your credit file for 6 years.
Your details will also be recorded on the insolvency register, which is public.
If any of your debts are for goods bought on hire-purchase, you may need to give the goods back.
You can’t borrow £500 or more without telling the creditor about the DRO.
Most jobs will not be affected by a DRO. However, if you get a DRO it is possible that you may be disqualified from holding certain posts or offices. Check the terms and conditions of your contract or your professional codes of practice to see if there are restrictions.
You can’t get involved in promoting, managing or setting up a limited company, or be a company director, without getting permission from the court.
If your circumstances change during the 12 months of the DRO and you no longer meet the eligibility criteria, it is likely the DRO will be cancelled, and you will need to make alternative arrangements to pay your debts.