What Are The Consequences of a Debt Relief Order?

For some, a Debt Relief Order can provide a great pathway out of debt. But it can have quite an impact on your life. Read on to find out what these areas of impact are and how they could affect you individual circumstances


The consequences of a DRO could be as follows:

  • You may be required to return any items you have purchased through HP.
  • Your DRO will stay on your credit file for 6 years, making it difficult to get future credit.
  • If you rent your property, a DRO could affect your tenancy agreement.
  • Your bank may close your account, forcing you to open a new one.
  • If you are applying for British Citizenship, this could be affected.


During the DRO, there are also restrictions placed upon you. These are:

  • You are not able to borrow money in excess of £500 without telling the creditor about the DRO
  • There will be restrictions in place regarding the setting up of a limited company or being a company director.
  • If you have a business registered under a different name to the one used in the DRO, you will need to notify all those that you do business with.
  • Your details will appear on the Public Insolvency Register, a public record. They will be there for the duration of the DRO and for 3 month after it has finished.


To find out more about the Debt Relief Order, take a look at out Debt Relief Order page.

Scroll to Top