An Administration Order is only available in England, Wales & Northern Ireland and is arranged by your local county court.
To qualify for an Administration Order you need to have:
- Debts that are no more than £5000 in total
- An unpaid county court judgment (CCJ). This includes a traffic penalty registered for enforcement in the Traffic Enforcement Centre at Northampton County Court.
- Two or more debts.
To apply, you need application form N92 which can be obtained from the County Court. You must list all of your debts on this form and complete the statement of means. Guidance notes can be found on form N270.
How an Administration Order Works
Your income & expenditure will be assessed and this will determine how much you can afford to pay each month after paying your essential bills. You will pay this monthly payment to the court each month and they will make pro-rata payments to your creditors after taking a 10% administration fee.
This means you do not have to pay a fee to set up the administration order. Your creditors will not be able to pursue you for payment and interest on your debts will be frozen.
If you are unable to clear your debts in a reasonable amount of time (3 years) due to the fact you can only pay a small amount each month you can apply for a composition order. If successful the court will set a date for the administration order to end. Once the date is reached your creditors will write off the remaining balances.
The Administration Order will be registered on your credit records and stay there for 6 years which will restrict you from taking credit in the future.
Further information can be found on-line at:
For further information and advice call our team on: 0800 6127958 or 01708 854200