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A good starting point for Debt relief Order Questions
By Orange
#26993
Hello. Can you tell me what happens if I get a job whilest in a debt relief order. At the moment I am unemployed so i am not having to pay anything into the order. Thanks for any advice.
#27002
Hi there Orange and welcome to the forum.

One of the features of a Debt Relief Order (DRO) is that once it is set up you do not make any monthly payments to your creditors. However if your circumstances change while the DRO is in place meaning that your disposable income goes above more then £50 a month, the whole DRO will fail and you will be back to square one owing all of your debt.

You therefore need to bare this in mind when deciding whether or not to get a job while your DRO is still running. If the job means your income will rise significantly and your DI will go above £50, it might be worth not taking a job until after the DRO is finished and your debts have been written off.
#27019
Hello Orange

There is nothing to stop you getting a job while you are in a DRO. In fact depending on the amount you are paid it will probably have no affect at all. However Hayden is right, beforehand you need to calculate the affect of the potential income on your overall disposable income (ie the money you will have left after all your reasonable living expenses are paid for). If this is likely to be more than £50 then taking the job would mean that the DRO would fail and this would probably not be in your best interests.
#27027
Hi Orange

As Steve and Hayden have said, one of the key criteria for a DRO is that your income left over after your living expenses have been paid (ie your disposable income) cannot be more than £50. As such if you get a job and your income increases as long as you do not earn more than your reasonable living expenses you will be fine.
By Carla
#27053
Hi Orange

I have to say I agree with Hayden on this. If you are already quite a way into your DRO then getting a new job could mean that you generate more than £50 a month disposable income and the whole DRO may then be put at risk. Rather than rocking the boat it might be best to do nothing until the DRO is finished and your debts are written off. Then start looking for a new job.