Sequestration Scotland

Take control back of your finances and look forward to a brighter future.

Image

Trust Deed Scotland

A Trust Deed is available to people who’ve been living in Scotland for more than 6 months, who have unsecured debt of £5,000 or more. Typically a Trust Deed lasts 48 months and after that period, any outstanding unsecured debt is legally written off.

Image

Debt Arrangement Scheme

A DAS Scotland allows you to repay your unsecured debts with affordable monthly payments. The interest on your debts can be frozen, and written off after you have completed an agreed payment plan.

Image

Minimal Asset Process

Minimal Asset Process (MAP) bankruptcy is a way to write off debts you can't afford. It's aimed at residents of Scotland with a low income and few assets, and is more straightforward than sequestration bankruptcy.

Expert Sequestration Advice. We're here to help you!

Use our free, confidential debt help service to get tailored advice and Scottish debt solutions.

1. Do You Qualify?

Talk to one of our qualified and experienced team members about your current debt situation.

2. Your Options

Find out all alternatives available to you, and discuss the pros and cons of all solutions.

3. Sequestration Terms

Together, we work out if Sequestration is the best option for you.

4. Become Debt Free

Enjoy peace of mind with a tailored, personalised, affordable plan that can get you to your debt free goal.

Image

Sequestration Scotland - Frequently Asked Questions

The questions we get asked most about Sequestration in Scotland.

What is Sequestration?

Sequestration is a debt solution that could see you debt free within 12 months.You pay a one-off upfront fee and if you have no income or assets you will be debt free after 1 year. If you do have an income your Trustee will look at whether you can make a contribution towards your debt and in that case you will be expected to make some form of payment for up to 4 years.

While sequestration can write off your debts and help you become debt-free quicker, it also has serious consequences. Your assets will have to be sold – and it could have an effect on your employment and will affect your credit rating.

Are there any risks?

Your credit rating will be adversely affected. Sequestration will show on your credit file for 6 years from the start of your sequestration.

Any assets of value – including your home and car – may be sold to repay your debts.

If you do not co-operate with the Trustee or if you have been dishonest or guilty of “unfit conduct” – then your sequestration could be extended for up to 15 years. During this period you would still be subject to all the restrictions of sequestration.

How long does sequestration last?

As long as you cooperate with your Trustee throughout the sequestration agreement, you should be discharged from the arrangement 12 months after you were deemed bankrupt.

However, if you do not fulfil the requirements of the trustee, they have the right to postpone a discharge.

In addition, your case could require further work which means your trustee will have to continue working on it. It’s important you co-operate and communicate with your trustee when necessary.

What is Minimal Asset Process bankruptcy?

Minimal Asset Process is a route into sequestration for people in Scotland with no assets who are on a low income or benefits.

The fee for MAP is just £90. MAP Scotland lasts for a shorter period of time than sequestration – typically 6 months.

The upfront fee is more affordable and the qualifying criteria is less than with sequestration. If you are really struggling to survive and have no spare income with which to repay your debts after all your essential household expenditure has been taken care of, it could be worth considering MAP.

Are there Sequestration fees in Scotland?

To apply, you must submit a completed application form, a cheque for £200 to the Accountant in Bankruptcy and proof that you are eligible to petition for your own bankruptcy in the form of:

  • A signed Trust Deed which failed to become protected; or
  • A Certificate of Sequestration issued by an approved debt advisor; or
  • An expired Charge for Payment or expired Statutory Demand which will prove insolvency; or
  • A Summary Warrant and an attachment/exceptional attachment order.

You may also qualify for alternative debt solutions if you live in Scotland such as a Trust Deed, or Debt Arrangement Scheme. Try our Debt Repayment Calculator tool to work out which solution is best you you.

Are there alternatives to Sequestration?

Yes. Debt Helpline Scotland are leading Scottish debt advisers.

A Trust Deed Scotland is another popular government created tool that allows an individual to repay unaffordable debt after a typical period of 48 months.

Whether you are a homeowner or not, we will be able to assess your affordability and provide alternative solutions, and all the pros and cons associated with those solutions, including Minimal Asset Process, Secured Loan & Debt Arrangement Scheme.

Sequestration is an extreme solution to debt management and in most situations our advisors will be able to suggest less severe options. If you would like to discuss your options, call our team for free on 0141 380 0588 for a free, confidential chat about your debt situation.