FAQs - Checking eligibility

Can I get car finance with a DRO?

Sam Wooller, Customer Experience Communications Manager
Wednesday, 07 December 2022

Yes, we accept applications for car finance with a Debt Relief Order (DRO). When you apply, we will run checks on your affordability and credit file to understand if we can offer you car finance. Having a DRO may impact your credit file and affect your eligibility for car finance.

What is a Debt Relief Order (DRO)?

A DRO, or Debt Relief Order, is one way to help people who cannot afford to repay their debts. When you have a DRO in place, it means you don’t have to repay certain kinds of debt for the duration of the DRO. At the end of the DRO, which is usually after 12 months, any debts included will be written off.

There are specific circumstances that you must meet to be able to apply for a DRO, and it can only be authorised by an official receiver.

How does a DRO affect my credit score?

A DRO will stay on your credit file for 6 years from the date it was granted, which could hurt your credit score and affect your chances of getting car finance. This is because lenders could see those with a DRO as riskier to lend to, because there is a history of struggling to make payments.

Even if you have a DRO, there are some things you can do to improve your credit score. Avoid making too many finance applications in a short space of time, and check your credit file to make sure everything is accurate.

Car finance with a DRO

You might have been refused by other lenders, and be wondering if it’s possible to get car finance after a DRO. That’s where a specialist lender like Moneybarn could help. We’re the UK’s largest provider of bad credit car finance. We could help you into the car you need, even if you’ve got a Debt Relief Order.