How an administration order works
In England and Wales:
- Fill in an N92 court form listing your income, expenses and debts
- Take this to the court
In Northern Ireland:
- Contact the Enforcement of Judgments Office (EJO) for a copy of ‘Form 11’
- Fill in this form and return it to the EJO
The court may ask you to attend a hearing where a judge decides:
- Whether to grant an administration order and
- How much your payment will be
The court may make a decision without a hearing if your case looks straightforward.
Making payments
During an administration order, you make one payment to the court each month. They then pass the money to your creditors.
This payment is based on what you have left after paying:
The court may want to take your payments directly from your wages. This can make it easier to keep up with payments.
Tell the court if this would be a problem for you.
There is no court fee to set up an administration order, but the court keeps 10% of each payment.
Apply for a ‘composition order’ if you can only afford a small amount towards your debts.
- This sets a date for the administration order to end, often after three years
- Creditors write off any remaining debt when you reach this date
The court only considers this if your payment will not clear the debts in a reasonable amount of time.
In Northern Ireland, you can apply for this at the same time as your administration order.
Your administration order ends when your debts are paid in full. Unless there is a composition order.