An administration order is a legally-binding way to manage your debts if you owe less than £5,000 and have at least one county court judgment (CCJ) or High Court judgment against you. It allows you to make a single monthly payment to the court, which then distributes it to your creditors.
Once the court has approved the order, your creditors can’t take further legal action without the court’s permission, offering some protection while you pay off what you owe. If you can’t repay the full amount within a reasonable timeframe – usually around three years – you might be able to apply for a composition order, which can reduce the total amount you owe.
However, it’s important to remember that administration orders will impact your credit rating and stay on the public Register of Judgments, Orders, and Fines for six years, so it’s worth considering your other options before applying.
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