Posted by & filed under News.

A debt charity in Scotland is warning that people who are already struggling financially are worrying about Universal Credit reforms.

With the Universal Credit rollout now affecting growing numbers of people, the organisation says that the number of queries to their helpline have nearly trebled.

Most of those contacting them are asking about the new system but more than half of Scottish callers already have concerns over their debts and benefit levels.

In Scotland, most queries are about employment and support allowance as well as the personal independence payment and mobility benefits.

From their figures, nearly 275,000 people contacted the charity which is around one in every 14 Scots.

The charity highlights that Scottish people are increasingly worried that when they move onto the new Universal Credit, their benefits will inevitably fall substantially. Many are left struggling even more as a result.

People in Scotland who are struggling financially

There’s no doubt that for many people in Scotland who are already struggling financially, they may also be dealing with rent and council tax arrears, the Universal Credit system may cause other issues. It’s always important to contact someone to discuss your financial situation with a view to repaying debts.

For people living in Scotland, there are a range of debt solutions that are accessible and will help.

Among them is the trust deed which is only available to people living in Scotland which will see them repay an affordable amount every month over a period of time, which could be up to four years, with the amount that remains being written off as unaffordable.

This is hugely attractive to many people since they will budget effectively to repay their creditors and after their agreed repayments come to an end be debt free.

There are alternatives to this and the friendly team of debt advisers at Scotland’s Trust Deed can offer more help and information and this may include the debt arrangement scheme.

An effective way to get out of debt

Again, it’s only open to people living in Scotland as an effective way to get out of debt and it is run by the Scottish government.

As with a trust deed, the person in debt will agree to repay what they can afford until the debt is cleared; unlike a trust deed, the entire amount is repaid.

There are other debt solutions are available to people living in Scotland and the debt advisers at Scotland’s Trust Deed will offer help and advice that’s not only impartial but helpful too; you do not have to follow what the advisers have to say.

So, if you do not qualify for a trust deed, then do not despair since the other solutions available include sequestration, which is better known as bankruptcy, and the other routes available include:

  • Informal negotiation
  • A debt management plan
  • Debt write-off
  • Full and final settlement
  • Debt consolidation.

Friendly debt advisers at Scotland’s Trust Deed

You do not have to speak with the friendly debt advisers at Scotland’s Trust Deed since there is an online debt test to see what potential help will be available. It takes just a few seconds to complete and is a helpful pointer for many Scots.

Depending on your own personal circumstances, the potential for a full and final settlement may appear attractive since this will involve making a one-off lump sum repayment creditors with the balance of your debt then written off.

Obviously you will need access to a lump sum of money but there’s also the opportunity of a debt management plan which will see you repaying debts at an amount you can afford rather than the amount that is demanded by your creditors.

We’ve also mentioned informal negotiation and this works like a debt management plan so you will come to an informal arrangement with your creditors to repay an amount of money and at a frequency your creditor agrees to.

Other opportunities include debt write-off which will mean contacting creditors and asking them to write-off the debt owed and also debt consolidation which sees someone in debt borrowing a large  sum of money to repay all of their current debts.

Help with arranging a trust deed or a debt arrangement scheme

Some of the terms and financial help described here may appear to be confusing but the Scotland’s Trust Deed team can help explain more about what these terms mean and which debt solution will best suit you; they can also help with arranging things like a trust deed or a debt arrangement scheme.

Contact the friendly team of debt advisers at Scotland’s Trust Deed to find out more.