Does a Debt Relief Order Clear My Debts?

Yes and No. The answer to this question largely depends on which types of debt you have. 


First and foremost, to qualify for a DRO, the following will need to apply:

  • You are unable to pay your debts
  • You must not have more that £30,000 of debt
  • You must not have more than £75 of spare income after you have paid your bills
  • You don’t own property
  • You can not have more than £2,000 of assets or savings
  • You cannot have had a former DRO within the previous six years.
  • You cannot have another current debt solution
  • You’ve lived in or owned property in England, Wales or Northern Ireland in the last three years.


If you qualify for a DRO based on the above criteria, then you can include the following debt:

  • Credit cards
  • Overdrafts
  • Personal Loans
  • Rent arrears
  • Utility bill debt
  • Council Tax debt
  • HMRC debt
  • Benefits overpayments
  • Buy now, pay later agreements
  • Bills for services like vets or solicitors
  • Debts to family or friends
  • Business debts


There are some debts that cannot be included:

  • Court fines
  • Child support or maintenance
  • Student loans
  • Social fund loans
  • Compensation for death and injury

A DRO last for about a year unless your financial situation improves. Once the DRO ends, most of your debt will then be written off.


To find out more, visit our Debt Relief Order pages

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