Debt Relief Orders (DORs) have helped almost 2,000 people since they were introduced in April, the government has said.
The Insolvency Service has revealed that 1,978 people have qualified for the DORs, which offer help to people with surplus incomes of under £50 a week and debts of no more than £15,000.
Graham Horne, the deputy chief executive of the service, said: “This process is good news for those who would have faced the prospect of many years trying to pay off relatively low levels of debts.”
While the DORs have helped a number of people, others struggling with debt may wish to resolve their issued by measures such as finding a cheaper
According to the Insolvency Service, the number of personal insolvencies in England and Wales rose from 30,253 in the first three months of this year to 33,073 in the second quarter.