When a client comes to us with financial worries, Scotland’s Trust Deed will offer them several solutions. Each of these, if chosen, will be fully managed by us and we will support you every step of the way.
A member of our knowledgeable and experienced team will take the time to discuss your circumstances and together we will discover the right option for you and your family.
Many of our customers fear that sequestration (or bankruptcy as most people know it) is the only option. At Scotland’s Trust Deed we see that as a last resort.
Potential solutions to your debt crisis
One of the potential solutions to your debt crisis will be a Debt Management Plan (DMP). A DMP will see Scotland’s Trust Deed acting as you DMP provider. We will:
- Work out how much spare money you have, after paying essential bills and expenses, that can be used to pay off your debts
- Discuss your case with your creditors
- Set up an arrangement with the companies/people to whom you owe money
- Receive your single monthly payment
- Split your payment fairly across each of the creditors you owe money to.
A DMP only concerns ‘non-priority’ debts which means you will have to handle your priority creditors yourself.
A Debt Arrangement Scheme
If this does not suit your situation, then a Debt Arrangement Scheme (DAS) is potentially a good idea. A DAS is very much like a DMP, however, it covers both priority and non-priority debts.
- The amount you can afford to pay off your debts is discussed. Your living expenses will be considered but budgeting will be necessary
- A single payment is made by you to your DAS trustee
- That money is divided up and fairly distributed amongst your creditors
- Any interest, charges or late payment fees will be frozen once the DAS has begun
- Your creditors are not permitted to take enforcement procedures against you once the DAS has been set up.
There shouldn’t be a charge to arrange a DAS however a proportion of each of your payments will go towards admin fees. You will end up paying more than you owe with both a DMP and a DAS.
Scots who are struggling to repay debts
There are many places where Scots who are struggling to repay debts can go for advice on financial issues and debt and the friendly team at Scotland’s Trust Debt can offer impartial advice – which means you don’t have to follow the advice we give.
The advice from Scotland’s Trust Deed is to seek help as soon as you realise that bills are becoming difficult to pay. The longer you wait, the more charges, interest and stress will build up.
Paying off debt takes discipline, commitment and a strict budget. Scotland’s Trust Deed has always taken pride in giving our customers the knowledge and tools to avoid being in the same situation again.
Contact Scotland’s Trust Deed today to seek advice and help on how you can get out of debt.