Administration orders are one of the less well-known debt solutions in England and Wales. They suit a narrow group of people, but can be useful if you qualify.
The short answer
- You must have at least one county court or High Court judgment.
- Your total debts must be £5,000 or less.
- You make one monthly payment to the court.
- Creditors included can’t take further action without the court’s permission.
- The court can also order that only part of your debts is repaid (a composition).
How does an administration order work?
You apply to your local county court on form N92, listing your debts, income and spending. The court decides what you can afford and sets a monthly payment. It then distributes the money to your creditors.
Who does it suit?
It can suit people with small debts, at least one judgment and a regular amount to pay. If your debts are larger, look at a DMP, DRO or IVA.
What are the downsides?
- It appears on the Register of Judgments, Orders and Fines and on your credit file.
- If you miss payments, the order can be revoked.
- A small fee is taken from each payment.
Common questions
How long does an administration order last?
Until your debts are paid, or for a period set by the court if a composition order applies.
Can I get an administration order without a CCJ?
No. You must have at least one judgment debt to qualify.
Is an administration order the same as an attachment of earnings?
No, but the court can attach an attachment of earnings order to make sure payments are made.
Getting help
You don’t have to deal with debt on your own. Free, impartial advice is available from MoneyHelper, StepChange and National Debtline. If you want to talk through whether a formal solution such as an IVA could be suitable, you can also get in touch with us.