What Is a Debt Relief Order (DRO)?

A Debt Relief Order (DRO) is a formal debt solution designed for people who owe less than £30,000, have little to no assets, and can’t afford to repay their debts. A DRO gives you legal protection from your creditors for 12 months. If your situation doesn’t improve in that time, your qualifying debts are written off.

It’s a helpful option if you:

• Don’t own your home
• Have under £75 left each month after essential bills
• Have low or no assets
• Can’t afford repayments on your unsecured debts

DROs are approved and managed by the Insolvency Service. If accepted, you’ll be protected from bailiffs, court action, and most creditor contact.

Check If You Qualify for a DRO

How Does a DRO Work?

Once your DRO is approved, you enter a 12-month period called the moratorium. During this time, you are legally protected from the people you owe — as long as those debts are included in the DRO.

• Your creditors cannot take legal action
• You don’t have to make payments toward included debts
• You may still receive reminder letters, but you can inform them you’re on a DRO

After the 12 months, if your situation hasn’t improved, your debts are legally written off.

How Long Does a DRO Stay on Your Credit File?

A DRO will stay on your credit file for 6 years from the date it’s approved. This may affect your ability to get credit during that period. However, a DRO gives you the breathing space to rebuild your financial future without ongoing pressure.

Restrictions During a DRO

While on a DRO, you face some legal restrictions. These include:

• You cannot borrow more than £500 without telling the lender you’re on a DRO
• You cannot act as a company director without court permission
• You cannot set up or run a company under a different name without declaring your DRO status

If the Insolvency Service believes you were dishonest or withheld information, they may extend restrictions for up to 15 years through a Debt Relief Restriction Order (DRRO).

Start My Free DRO Check

What If My Circumstances Change During a DRO?

If your financial situation improves during the 12-month period — for example, through a new job or inheritance — you must notify the Official Receiver. They will decide whether your DRO should continue or be cancelled.

Failing to report changes or hiding assets can lead to your DRO being revoked and legal action taken.

Will a DRO Affect My Job?

A DRO can affect your job if you work in sectors with strict financial conduct rules — such as:

• Banking or finance
• Legal professions
• Regulated roles with conduct requirements

If you’re unsure, check your employment contract or speak confidentially to your HR department, trade union, or professional body.

Is a DRO Listed Publicly?

In England and Wales, your DRO is added to the Individual Insolvency Register for 12 months. Your name and address are removed three months after the DRO ends.

In Northern Ireland, a public DRO Register is maintained. You may apply for your name to be withheld if public listing could put you at risk (e.g. domestic abuse).

Can a DRO Be Cancelled?

The Official Receiver can cancel a DRO if:

• You were dishonest on your application
• You fail to disclose new income or assets
• You no longer meet the eligibility criteria

If this happens, creditors can resume legal action and demand repayment of your debts.

See If You Qualify for a DRO

Fresh Start Can Help You Take Control

While we don’t offer DROs directly, we work with trusted professionals who can help guide you toward the right solution. Our team will help you explore IVAs, DMPs, and DROs, so you can move forward with confidence.

• ✅ Speak to a UK debt specialist
• ✅ Get help fast – usually within 1 hour
• ✅ No pressure, no judgment – just practical steps

Check My Options Now