Growing numbers of Scots are going bankrupt in the country, official figures reveal.
Personal insolvencies in Scotland have grown for four consecutive years and last year grew by 300 to reach 3,520.
There’s been an 18.6% rise in protected trust deeds while traditional bankruptcy numbers fell by 5.1%.
The figures have been published by Accountant in Bankruptcy (AiB) who say that Scots repaid £9.3 million between April and June using debt repayment schemes.
A spokeswoman for AiB said: “Personal insolvency numbers have been on the rise generally in Scotland for four years and this further rise confirms that trend.
“Above inflation wage increases recently haven’t been enough to help many in debt keep up with repayments.”
Friendly advisers at Scotland’s Trust Deed
For those who live in Scotland and would like help in dealing with their debts there are a number of organisations to contact for advice and there’s a team of friendly advisers at Scotland’s Trust Deed.
Among the issues they can discuss confidentially will be the prospect of using a Scottish trust deed to repay debts at a lower rate.
This makes the process more affordable for those who are struggling financially and so long as the debtor keeps up the repayments for an agreed period of time, then the amount that is remaining at the end is written off as unaffordable debt.
It’s also important to appreciate that the advisers at Scotland’s Trust Deed will offer advice that you do not have to follow.
The advice may also cover the prospect of the Scottish Government’s debt arrangement scheme.
Again, it’s an attractive solution since someone in debt can repay at a lower rate but all of the debt will be paid back.
Potential debt solution opportunity
Another potential debt solution opportunity is bankruptcy but this needs to be considered carefully before someone who is struggling financially decides it’s the best solution for them.
Indeed, there’s a lot to consider when dealing with debts in Scotland and seeking advice is always the best first step to becoming debt free.
The debt advisers at Scotland’s Trust Deed are available every day to discuss your financial issues and along with the three solutions mentioned here, they may also offer advice on a debt management plan, remortgaging and even how to conduct an informal negotiation before agreeing to a full and final settlement of debts.
It’s also important for those who consider a trust deed that this is a legal agreement that needs to be honoured and the debt arrangement scheme offers an affordable route to becoming debt free.
Information about a Scottish trust deed
If you live in Scotland would like more information about a Scottish trust deed, a debt arrangement scheme or bankruptcy, then you should contact the advisors at Scotland’s Trust Deed.