Obtaining a Debt Relief Order

by: Hollie Wilcox
Total views: 279
Word Count: 364

Residents of the United Kingdom have another debt help option available to them if they fall into a low income demographic. Debt relief orders were designed with the purpose of making it easier and much cheaper for this group to find debt resolution. There are strict requirements that must be met in order to qualify for a debt relief order. Once these are met, the application process can commence.

When seeking a debt relief order, debtors would seek the debt advice of pre-appointed government entities. These are few in number and are constituted of around 5 not for profit agencies and another commercial company. These entities are Citizens Advice, Consumer Credit Counseling Service, the Institute of Money Advisors, Baines & Ernst, Payplan and National Debtline. While these select group remains small, currently the UK government does not have any plans in the works to increase this number.

Upon the initial meeting, the assisting organization would look over the debtor's information in order to make sure they meet the criteria for obtaining a debt relief order. The application is then filed online at no charge. Once this is filled, the Official Receiver will create the debt relief order if the debtor qualifies. However, should the debtor be ineligible for a debt relief order, the application will be denied. Additionally, if information is revealed following the approval of a debt relief order that would have made the debtor ineligible, then the debt relief order can be revoked. None of these actions involves the courts. Without the added bureaucracy, the cost of the debt relief order can be kept low. If a debtor is denied approval of a debt relief order, they cannot apply again for one until six years has elapsed.

Following the approval of the debt relief order by the official receiver, the document is then made part of the insolvency register. With this inclusion in the register, the information is obtainable by credit agencies. The debt relief order is good for the length of one year. At the conclusion of that time period, the debtor's debt becomes discharged. They are then resolved of all of their debt.

Article Source: http://www.ArticleStreet.com/profile/hollie-wilcox-14216.html

About the Author

If you would like some advice from the experts about how you can become debt free, visit www.debt-free.org.uk today and see how they can help you.

---

Rating: Not yet rated

--Choose-- 0 1 2 3 4 5

Latest articles contributed by "Hollie Wilcox"

1: The Nokia N97, a fully loaded mobile phone that no other mobile can compete with.
2: N97 is the best Nokia
3: Offering your property for Self-Catering Holidays
4: Creating the perfect look
5: Self Catering Holidays in France
6: Family Camping Holidays
7: Camping Luxury
8: Why Straighteners Are So Popular
9: Popularity of Hair Straighteners
10: Are Car Dealerships a Good Place to Buy Car Parts?

Comments

No comments posted.

Add Comment

You do not have permission to comment. If you log in, you may be able to comment.