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The most asked questions we get about debt in Scotland
The main impact for you will be that it has an effect on your credit rating. Credit reference agencies will assess the level of risk based your on financial history which may include a Scottish Trust Deed however, once your Scottish Trust Deed is completed, you can start to rebuild your credit rating.
If you fail to make a payment under your Scottish Trust Deed agreement without first contacting your Trustee for discussion and permission, you may find the Trust deed fails and your unsecured creditors are entitled to pursue you for sequestration.
No. Once the Trust Deed has gained protected status all creditors included in the Trust Deed can only deal with your Trustee. By law, they can no longer harass you to reclaim debt, and we will relay any relevant information to you ourselves.
While situations vary, it is highly unlikely you will have to give up your home or vehicle in the process of setting up a Trust Deed. If you choose to give up your home voluntarily, then that is an option available to you. If your car is brand new or of significant value then you may have to settle for a more affordable model.
Keep in mind that accepting help from us is the best way to protect your assets.
On average, over 90% of our trust deed proposals are accepted. Even if some creditors reject the proposal, they will still be legally bound by its terms, even if they object as long as creditors totalling more than 67% of the debt value accept.
In the unlikely event your trust deed did fail, your trustee would negotiate your case in an attempt to have it accepted or review other debt solutions such as Debt Arrangement Scheme and Minimal Asset Process/Sequestration.
Almost all types of unsecured debts such as:
Unsecured Bank Loans, Credit Cards, Store Cards, Payday Loans, Council Tax Arrears, Catalogues, Overdrafts, Credit Unions, Previous Mortgage Shortfalls,
Previous Car Hire Purchase & PCP Agreements and HMRC Bills (self employed).
Any fees that apply for setting up and overseeing your Trust Deed are taken from your monthly contribution, or from the sale of assets in cases where this is necessary to fulfil the Trust Deed. There is no initial fee for entering into a Trust Deed.
But remember, getting in contact with our team for advice costs absolutely nothing.