Composition Orders

A composition order is a condition the judge can make to your administration order if they decide after reviewing your application that it will take too long for you to repay your entire debt.

What are Composition Orders?

Composition orders are usually only granted when you can only make extremely small monthly payments once the rest of your monthly expenses have been taken out of your budget. In order to prevent the order going on for many years, the court will rule that you will only pay back a part of your debt, usually over three years.

Instead of paying back the full amount of your debts, you will pay a percentage of you debt, for example, for every pound you owe you will pay back 16 pence. The amount you pay will be dependant on several factors, such as the amount you owe, and how much you can afford to pay back per month based on the results of your personal budget sheet.

When applying for your administration order with an N92 form, you can request in Part C to be considered for a composition order within the box marked: Anything else you would like the court to take into account. However, the judge should consider if a composition order is an option regardless of whether you specify this in your form.