Are loans from family and friends included in a DRO?
Loans from friends or family must be included in a DRO just like other debts.
This means the person who lent you the money can’t take any action to collect it from you, and you can’t make payments to them after the DRO starts.
If they’re happy to treat the loan as a gift, you can go ahead with the DRO. Alternatively, for small sums, you may be able to come an agreement to pay it off in kind – for example, instead of paying them back in cash could you do some chores like gardening or babysitting for them instead.
If you owe money to a friend or family, don’t be tempted to pay it off quickly before your DRO starts. This could be seen as showing them preferential treatment, and your DRO could be refused as a result.