Debt Relief Order
Bee Wise Solutions specialises in administering Individual Voluntary Arrangement (IVA) and we will charge fees for this service, you can find out more about the fees charged here. Should we recommend an alternative solution (e.g Debt Relief Order, Debt Management Plan) then we will refer you to one of our trusted third parties and may receive a fee for this. An IVA is not suitable in all circumstances. Entering a debt solution may impact your credit file.
To find out more about managing your money and getting free and impartial debt advice, visit www.moneyhelper.org.uk, an independent service set up to help people manage their money.
Debt Relief Order (DRO)
A Debt Relief Order or a DRO as it is commonly known is an alternative to Bankruptcy which results in all your qualifying debts being written off. Bee Wise Solutions do not administer DROs, however, should this be the most suitable solution for you we will refer to one of our trusted third parties.
There are strict criteria for a DRO and to be eligible your debt level needs to be below £50,000, not have assets worth more than £2,000, not own a vehicle worth more than £4000, you cannot be a homeowner and you must have less than £75 disposable income each month.
Benefits:
- No upfront fee (as of 6th April) previously £90.
- Usually lasts for 12 months unless your subject to a DRRO (Debt Relief Restrictions Order)
- You’re not required to make any monthly repayments.
- Creditors are no longer able to pursue the debts or apply further interest / charges.
Considerations:
- Will affect your credit profile as it will be recorded on there for 6 years.
- Your details will be listed on the insolvency register which is a public record.
- If you have a favourable change in circumstances within the next 12 months, the DRO could be revoked.