www.iva.co.uk

I am in an IVA for 6 years, but a friend of mine read somewhere that the government are introducing a debt relief order for people who cannot afford to go bankrupt and only have £10k of debt and little or no assets and no income.

Can any of the experts advise on whether this is right this because this would suit my brother?

Hey Suzanne, I've just googled it and it looks like it's aimed at people who have less than £50 disposable income, maybe only getting benefits. I'm sure one of the technical experts will know all about them. What situation is your brother in? X

He's got about £10k on a loan and cards, he lives in rented with his wife. He got ill about a year ago and hasn't worked. Some of his creditors have been understanding but others want their pound of flesh!

I think Paul is on the forum at the moment, I think he will be able to answer this for you, hang in there. X

Hi suzanne

from the info at hand the debt relief order would certainly seem to suit your brother.

as they are not available yet - and it could be some time until they are so it may be wise to try a VERY MINIMUM dmp until then.

If however it is a year until they are effectively available your brother may want to look at the alternative that could be finished by then.

I will try to find out a ballpark date for these and get back to you

You need to demonstrate disposable income of less than £50, assets of less than £300 and creditors of less than £15,000 - and an application is made to the Official Receiver for the Order rather than the Court. It is anticipated that these will be introduced in April 2009.