Author: Craig Stocks

Have Payment Breaks Ended?

Posted on by Craig Stocks
Payment breaks offered by lenders have now ended under the existing measures and from November 2020 onwards are being replaced by ‘Tailored Support’ Note – if your income has been affected as a result of being furloughed or made redundant and you are in financial difficulties with several creditors, you can also explore a Statutory Moratorium as a way of gaining breathing space for yourself while you consider your longer term options.

Payment Breaks replaced by Tailored Support

You’ll be eligible for ‘Tailored Support’ measures in Scotland if you fall into one of these two categories:
  • Your first or second payment holiday expires after 31 October and you can’t resume your normal repayments. Once the existing payment holiday expires under the old scheme, you’ll move on to the Tailored Support schemes.
  • You experience payment difficulties after 31 October. This applies whether or not you’ve already previously used payment holidays in the past, or if you now find yourself in payment difficulties for the first time.

Does Tailored Support affect my credit rating?

Yes. Tailored Support from a lender, whether that’s reduced payments, a further payment break, or a repayment plan will be recorded as normal on your credit report (see how to check your credit reports for free) and could therefore affect your chances of getting credit in future. It had been agreed previously that payment breaks would not have a detrimental impact on an individuals credit rating.

Mortgage Tailored Support guidance in Scotland

If you’ve already taken 6 months of payment holidays on your mortgage, then you’ll be moved on to ‘tailored support’. However, what that means to you will depend on your unique financial circumstances. How settled your finances are will also have an impact. You will need to check with your lender directly, The following are some of the financial difficulties measures you may be offered, though lenders are free to offer other solutions if something else works better for your particular circumstances:
  • A change to your mortgage type. You could be switched to an interest-only mortgage or changed to a product with a higher interest rate.
  • An extension to your mortgage term. This is essentially like a remortgage and means you’ll pay less each month, however, you are then borrowing over a longer period, you’ll pay more long term as a result.
  • A period of reduced payments. If you can pay something towards your mortgage, but can’t make the full contractual repayment, your lender may agree to you making reduced payments. Again, this measure is likely to be for the short-term only.
  • A payment deferral. This is likely to be a short-term measure only and may be offered if your circumstances are still changing, and you’re not able to commit to a longer-term measure such as changing your mortgage type or length.

Credit Card Debts – Unsecured Tailored Support guidance in Scotland

There are an estimated 100,000 people across Britain with at least one credit card currently held on payment breaks under the previous system. Credit card debts and other unsecured debts are covered under the tailored support system. However, the outcome will depend on your own circumstances. You may be offered one or more of the following solutions.
  • Short term payment deferral
  • Short term reduced payments
  • Frozen/waived interest
  • Repayment plan
  • Consolidation loan from the same lender
Special rules apply for debts such as an overdraft debt where interest may be frozen, waived – or transferred to another product from the same lender such as a personal loan or credit card. If you have a car finance agreement, you can also apply for tailored support from your lender.

Help with debts in Scotland

Trust Deed Scotland® understands that for many people with unaffordable debts in Scotland, making contact with creditors is a difficult task. Especially when those debts have already been passed to a debt collection agency. Where possible, you should attempt to make contact with your creditors, however, if you feel that you cannot manage this and need help with your debts in Scotland then we recommend that you make contact with a qualified money advisor. Our friendly, non-judgemental Scottish debt help team have been helping people with unaffordable debts most recently throughout the Covid pandemic and longer-term since 2009. We’ve advised thousands of people from all over Scotland and many left a debt help review describing how they found their debt help journey with us. With over [reviews] Trustpilot reviews, we’re the No.1 rated in Scotland on TrustPilot. If you need help with debts in Scotland now, call us on 01412210999 or get started by using our Trust Deed Wizard® tool.

Talk Money Week 2020

Posted on by Craig Stocks
Trust Deed Scotland® urges people to open up about personal finances in support of Talk Money Week • Talk Money Week 2020 (9-13 November) encourages people to have more open conversations about their money and pensions • Talking about money more important than ever amid ongoing financial impact of Covid-19 • To get more people talking money Trust Deed Scotland® will be running awareness activity across social media during Talk Money Week. Trust Deed Scotland® has announced it is taking part in Talk Money Week, an annual awareness campaign run by the Money and Pensions Service to encourage everyone to open up about their money and pensions. Also see Talk Money Week 2021.

When is Talk Money Week in Scotland?

Held from 9th to the 13th November, Talk Money Week aims to reduce the stigma around money by encouraging conversations among families, friends, neighbours, customers, colleagues and communities. Talking openly about money can have a huge impact on managing money worries, and is important for our overall health and relationships. The impact of Covid-19 has made it more important than ever to start conversations about money to look after our financial wellbeing. Talk Money Week is also an annual opportunity to celebrate the work organisations are doing to support the UK Strategy for Financial Wellbeing, launched by MaPS in January 2020, which has ambitious ten-year goals to help everyone make the most of their money and pensions. Throughout the week there will be activity in Scotland to get more people talking about personal finance issues, and engaging with topics such as saving regularly, planning for retirement, dealing with debt, and teaching children and young people about managing money. As part of the week, Trust Deed Scotland® will be running awareness activity across social media during Talk Money Week.

Trust Deed Scotland® commented:

“We encourage our clients to openly talk about their debts where possible. Even by sharing their experience with other clients on Trustpilot where other people with unaffordable debts can learn about their experiences in their own words. Debt is still a great taboo and the stigma attached to have debt problems means many people attempt to struggle on alone. We’d like to remind anyone who has a debt problem that they are not alone. We’re here for them. Our team of friendly, non-judgemental advisors can help individuals take steps to improve their lives for the better.” Stephanie wrote recently about her experience with Trust Deed Scotland® “Massive weight off our shoulders. We had built up alot of debt and maxed out our credit cards. We were paying an extortionate amount every month and couldn’t keep our heads above water. I was nervous about calling but I’m so glad I did. Spoke to a lovely lady called Danielle who made me feel so at ease. She managed to sort us out on a 48 month payment plan and got a lot of our debt written off so we’re now paying less than half than we were and even managed to protect our car payments and keep our car. It’s great to finally feel like we’re not fighting a losing battle and in a few short years, we will be debt free and have a fresh start. Wish we had done it sooner.” For more information on Talk Money Week visit www.maps.org.uk/talk-money-week/

Help from Trust Deed Scotland®

Let’s talk about debt today. Contact Trust Deed Scotland® on 0141 221 0999 or browse through our Scottish Debt Solutions. With our experience of having helped over [volume] people in Scotland and by becoming the No.1 rated debt company in Scotland with over [reviews] five star reviews, our team has helped people from all walks of life. Our advice team are:
  • Friendly
  • Non-Judgemental
  • Empathetic
  • Experienced
Talk Money Week 2020 Talk Money Week 2021 Talk Money Week 2022 Talk Money Week 2023 Talk Money Week 2024

Why do I need to speak to someone?

Posted on by Craig Stocks
Asking for help with your debt is a big step, one which Trust Deed Scotland® fully understands. Our goal is clear: to provide tailored debt help in Scotland and/or advice to people across the country, setting up debt solutions where applicable. We appreciate that talking openly about our debts isn’t easy but by starting the conversation surrounding it we can help break down barriers to support. However – while we do encourage advice by walk-in appointment, email, text message or WhatsApp, we tend to recommend that in the first instance; a telephone call is best for you. The advice will always be tailored to the individual and all benefits and risks need to be comprehensively explained. Most of the time, this is easier explained by telephone call. When you need help with debts, you should be able to make an informed decision based on balanced advice, that puts you in control of that decision-making process. That decision should be made in your time, at your own pace. We fully respect and encourage this at all times.

About our Trust Deed Scotland® advice team

We truly understand how difficult it can be to ask for help by telephone. You may fear that the people you are speaking to will be shocked, will disapprove or judge you. On top of that, there is a stigma surrounding debt and many people have feelings of shame and embarrassment. Debt doesn’t discriminate and neither do we. Debt is something that affects people from all walks of life and we believe that everyone should have access to confidential debt advice and work hard to make sure this is readily available. There are many reasons why people end up with unaffordable debt and despite what you may feel yourself, we can reassure you that it’s not your fault. No matter what’s happened in your past, what is more, important now, is what you do about it going forward. As we regularly say, if you do something about your debt today, you can stop worrying about it tomorrow. Our dedicated in-house advice team receive regular debt advice reviews where they are regularly described by our customers in their own words as being:
  • Friendly
  • Non-judgemental
  • Empathetic
  • Experienced
In order to proceed with your enquiry, we typically need to have an initial phone call with you which would last 30 minutes on average. Thereafter, any communication can be done via email, in-person, SMS or via our Trust Deed Scotland WhatsApp service. Once we’ve had that conversation with you, at the very least you’ll have a better understanding of what a brighter future could look like. We understand that anxiety may be a factor in why you find it difficult to talk about your debt by telephone.  As an alternative solution, we can offer a face-to-face meeting at our Glasgow office (lockdown measures dependent) if this is an option for you. We also suggest that you can arrange for a friend or relative to join you on the call for emotional support. Our Trustpilot reviews are a good place to read about how we’ve helped many other people in the same position as you. In their own words, our existing customers often say that our advisers are friendly and non-judgemental. If you prefer, you can call us on 0141 221 0999 anytime you feel able to.

Anxiety help resources

You can get more help with anxiety by using the Anxiety self-help guide provided by NHS Inform. Anxiety UK is a UK charity and their helpline is 03444 775 774. SAMH are a Scottish mental health charity that can help with anxiety issues, and a downloadable anxiety and panic attack guide is available on their website. You may find our own Signposted Support services to be useful too as we provide information on where to get help from Mental Health issues to Gambling and Alcohol & Substance Addictions.

Your details are safe with us

Another reason why you may be reluctant to speak to someone about your debts is the fear of how your information will be handled. A perceived fear of dealing with pushy salespeople, being harassed or receiving endless phone calls, emails or text messages. Practices that were perhaps more common in the debt advice industry before stricter regulation and GDPR laws were introduced. Claims that you can write off your debt or reduce the amount you pay each month may all seem too good to be true. Or, more bluntly make you wonder what the catch is. Some companies had previously advertised on Google and social media offering free debt advice or claiming that you’ll “become debt free” after completing a 30-second quiz. This in itself creates uncertainty and mistrust. Added to this, most of these companies may have been acting as a lead generator, or unqualified ‘introducer’ and existed solely to pass you onto someone else for a fee. We’re an approved organisation. Our advisors are highly experienced and they will always have our clients best interests at heart. However, behind our dedicated advice team sits a continued commitment to ongoing compliance and training. Over [volume] helped since 2009. We’re the No,1 rated on Trustpilot with thousands of five star reviews. We’ve helped over [volume] people in Scotland enjoy a brighter future, with over a decade of experience. Employee owned, In-house team. Your details are 100% safe and secure with Trust Deed Scotland® and you will never be passed onto any other company. If you qualify for a solution, then you will remain a client of ours which helps to ensure continuity. No pushy sales calls. Upon receiving an enquiry for help, Trust Deed Scotland® will make a reasonable attempt to contact you to find out more about how we can help you. Should you change your mind, or find another way of managing your debts then we will respect your request and ensure that your request is upheld.

Help with debt in Scotland today

You can find out more about Trust Deed Scotland® and give us a call on 0141 221 0999. Not only do we offer the Protected Trust Deed as a solution, but other alternative Scottish Debt Solutions including the Debt Arrangement Scheme.

What’s a Debt Relief Order In Scotland?

Posted on by Craig Stocks
A DRO, known as a Debt Relief Order, is a solution to debt only available for residents of England and Wales. However, in Scotland, we have equivalent insolvency solutions that are just as effective. This is not uncommon due to the nuances of the different legislative systems in Scotland versus the rest of the United Kingdom, for example, there are also differences between IVAs and Trust Deeds. The first of these alternative solutions to the Debt Relief Order in Scotland is known as a Minimal Asset Process which is a means of writing off debts that you would struggle to repay within a reasonable time. The most common debt relief tool in Scotland is known as a Protected Trust Deed. Loosely speaking, this is Scotland’s equivalent of a Scottish IVA. You can find out more about the Benefits of Trust Deeds and Risks of Trust Deeds by calling Trust Deed Scotland® on 0141 221 0999. Try our Trust Deed Wizard to find out if you would qualify for a Trust Deed. Likewise, with both MAP and DRO, there is a Scottish equivalent of bankruptcy known as Sequestration. Lastly, in terms of legislated, formal statutory debt management solutions open to Scottish residents, there is the Debt Arrangement Scheme. Again, you can find out more about both the advantages of DAS and disadvantages of DAS by calling Trust Deed Scotland on 0141 221 0999.

Debt Relief Order vs. Minimal Asset Process?

Sequestration or Bankruptcy are the most severe forms of insolvency, with the biggest risks attached to them and consequences for homeowners and those with certain careers. Entering into either DRO or MAP is a decision that shouldn’t be taken lightly, and only after speaking to a qualified money advisor. Although both DRO and MAP are formal debt solutions, you do not need to appear in court. Both the Minimal Asset Process in Scotland and the Debt Relief Order in England or Wales are completely free to apply for. There is no minimum amount of debt that you can owe in order to be eligible for a Minimal Asset Process and the maximum is £25,000. The maximum amount of debt required to be eligible for a Debt Relief Order in England or Wales is £50,000. For an DRO application, you’ve got no more than £75 left over each month after you’ve paid your typical household expenses. For a MAP application, you have no disposable income. You cannot apply for either the Debt Relief Order or Minimal Asset Process if you are a homeowner and if you have a car valued at over £3,000, you cannot apply for a Minimal Asset Process. Debts are written off with a Debt Relief Order after 12 months whereas the Minimal Asset Process duration is 6 months. Self-employed, small business debt help solutions exist but generally, a Debt Relief Order or Minimal Asset Process may not be the best way of getting your finance back on track due to the restrictive nature and impact on your ability to obtain credit for cashflow purposes.

What debts can be included in a DRO/MAP?

Most unsecured debts can be included in a Debt Relief Order, or Minimal Asset Process in Scotland including credit cards, personal loans and council tax arrears. Debts that cannot be included in a Minimal Asset Process or Debt Relief Order are debts that may have been taken out fraudulently, child maintenance arrears, court fines and student loans.

Is the Minimal Asset Process right for you?

If you would like to find out if MAP bankruptcy is right for you, you can call us on 0141 221 0999. When you’re looking for Debt Help in Scotland, we would always recommend that you speak to an experienced debt adviser. You may similarly be asking yourself is a Trust Deed right for me, or is a DAS worth it. These are perfectly normal questions that we’re asked on a daily basis, and our experienced debt advisers not only specialise in providing debt advice but regularly get praised on Trustpilot for being non-judgemental and friendly. If you are considering reaching out for help with debts, debt advice reviews are an excellent place to start. We’ve gathered thousands of reviews where our customers tell us in their own words about their experience. Trust Deed Scotland® explain the pros and cons of all solutions and offer tailored recommendations based on your individual circumstances. However, once you’ve received the facts and fully understand how you may benefit from any solution, the decision should always be made by you.

What is a Notice of Assignment?

Posted on by Craig Stocks
Notices of Assignment (NOA) are used to inform you that a third party has ‘purchased’ the debt from the original lender. The new ‘assignee’ takes over collection procedures of that debt going forward, which can sometimes result in a debt collection agency being used to recover the monies on behalf of the new owner of the debt. There are two types of debt assignment:
  • Equitable Assignment
  • Legal Assignment
If a Legal Assignment has been made, part of the purchasing company’s obligations are to inform you of the situation via an official Notice of Assignment, and let you know that payment should be made to themselves rather than the original lender who borrowed money to you. The Law of Property Act, 1925 states the criteria for both types of assignment. The criteria for a Legal Assignment include:
  • The Deed of Assignment must be made in writing
  • A Notice of Assignment notification must be sent to you, as the borrower
  • The assignment must be absolute
If you have unsecured debts such as credit cards, personal loans, or catalogue debts then a notice of assignment may be used by the original creditor.

Equitable Assignment

Under an Equitable Assignment, only the amount owed is assigned, and not the original creditor’s rights and responsibilities. With Equitable Assignments, the purchasing party is unable to take enforcement action in their own right.

Legal Assignment

Legal Assignment gives the assignee transferred power to enforce the debt.

Why Do Creditors Sell Debts?

Most lenders borrow money based on risk projections and as such, an account that then falls into default becomes problematic for them to collect monies from and therefore it may be more commercially viable to pass it onto another firm who have a different business model, which allows them to purchase debts, and collect with their own techniques. When you sign a credit agreement with a creditor, there will have been a clause within the small print of that agreement. The creditor will have stated that they are able to assign their rights to a third party. However, just because a new company has taken on the debt, as per the terms of the notice of assignment, they are not allowed simply to bull you with letters, text messages, or phone calls. If you’re being threatened by any creditor, new or old, and have unaffordable debts – give us a call on 0141 221 0999 for free, confidential advice.

Notice of Assignment – What Happens Next?

As far as your credit report is concerned, the new company taking on the debt on behalf of the original creditor will notify the Credit Reference Agencies of any default once repayments have started. At this stage, you’ll see a company name-change on your credit file in regard to the debt that is subject to the notice of assignment. The previous company’s name should be removed from your credit file, and any default will now be associated with the new creditor.

Notice of Assignment – How Does It Affect You?

If you were previously having difficulty in repaying your debt before the notice of assignment was served, you may find that the new owner of the debt has more flexibility to freeze interest and charges, allowing you to pay off what is owed more quickly. Having a debt assigned to a new company can become a benefit for you as agreeing a sustainable debt repayment plan is in their mutual interest as well as yours. If you were to keep up payments – further action can be often thwarted. You should always seek expert debt advice in Scotland, if you’re struggling with unaffordable debts.

Getting Help Understanding a Notice of Assignment

If you have received a notice of assignment and you’re struggling to understand how it affects you, contact Trust Deed Scotland® today on 0141 221 0999. Our expert debt advisors are ready to give you confidential debt advice and help you understand what solutions are available for you and your debts. Since 2009, we have advised thousands of people in Scotland on the advantages and disadvantages of the Scottish Trust Deed, Debt Arrangement Scheme and alternative solutions to people experiencing financial difficulties in Scotland.

How Do I Get A Scottish Trust Deed?

Posted on by Craig Stocks
Everything you need to know about getting a Scottish Trust Deed. A Scottish Trust Deed is a form of Scottish debt help that reduces unaffordable debt repayments down to one single monthly payment and helps you to write off up to 60-80% of unsecured debts. As the title suggests, it is only available to residents in Scotland and will generally last for a period of four years, however sometimes a longer period is considered and that typically may increase the duration by a further 12 months, or longer depending on the circumstances surrounding the case. Scottish Trust Deeds are legally binding and are designed to help those with a debt level over £5,000 and are struggling to repay their debts. The Protected Trust Deed as it’s more formally refered to uses official legislation to negotiate an agreement between an individual and the companies that they owe monies too, arranged by an Insolvency Practitioner (IP) who acts as Trustee. When you apply for a Scottish Trust Deed an assessment of your affordability will be carried out to work out what you can reasonably afford to pay each month. This Trust Deed suitability-checker will document your income minus your day-to-day living expenses e.g. mortgage, household bills, travel expenses and so on. As well at the Scottish Trust Deed, you would also be assessed for your eligibility for alternative solutions, including the Debt Arrangement Scheme. After you get a Scottish Trust Deed, any remaining unsecured debts will be written off, including the interest and charges that were frozen at the beginning of the process. Finally, a Scottish Trust Deed is not a debt consolidation loan. You will not be borrowing money, you will not be credit-checked for approved finance.

Getting A Scottish Trust Deed – 8 Stages In the Process

With so many options and different points-of-view, we know that it can be confusing to understand and decide if this is the right form of Scottish debt help for you. We have broken the Trust Deed Scotland® process down into 8 steps to explain how getting a Scottish Trust Deed works.
  1. Trust Deed Scotland® will arrange an in-depth review of your financial situation, provide you with a personalised illustration and agree with you on what a realistic yet affordable monthly payment looks like and agree with you how your assets will be treated.
  2. Only when you’re happy to go ahead with a Scottish Trust Deed, your Trustee will go over the terms of the arrangement and once you are 100% satisfied with the terms, will you then sign it off.
  3. After you have signed your Scottish Trust Deed, your Trustee will then make a proposal, on your behalf, to your creditors. The Trust Deed proposal will advise them of your income, expenditure and offer of how much you can realistically afford to pay each month.
  4. Your Trust Deed is then registered on the formal bodies website, where your creditors can access it. The formal body that regulates the process is known as the Accountant in Bankruptcy (AiB).
  5. The people you owe money to are sent the proposal within 7 days of the Trust Deed advert on the official website. Creditors are then given 5 weeks to review the proposal and either accept or reject the terms. They must contact your Trustee as creditors at this point can’t directly contact you.
  6. If the majority of your creditors accept the proposal then the Trust Deed will gain protected status. If the people you owe money to fail to respond to the proposal, it is believed that they have agreed to the terms.
  7. As soon as your Scottish Trust Deed is registered as protected, your creditors can no longer take any legal action against you to recover any debts and any interest and charges on your debts are frozen.
  8. All you need do then is make your payments as agreed, complete an annual Scottish Trust Deed review to check your personal details, income and expenditure details are up-to-date and look forward to a brighter future.
When you apply for a Scottish Trust Deed, you will also have an understanding of all available solutions open to you and the key facts that ultimately help to put you in control of the decision making process with the advantages and disadvantages fully discussed and understood.

Can I Negotiate Getting A Scottish Trust Deed Myself?

Only a licensed Insolvency Practitioner can set up the arrangement on your behalf, unfortunately. There are many licensed Insolvency Practitioners in Scotland, and while it’s true that there may be slight differences in the quality of service you may receive from them, all IPs are regulated to ensure that you, the client and your needs are at the forefront of the process. You may also want to consider whether or not is a Trust Deed is a good idea for you, and any alternatives such as the Debt Arrangement Scheme. Is a DAS Worth It? Sequestration, Scottish bankruptcy sounds daunting. And it’s fair to say its the most drastic solution you can undertake to resolve your debts but in the right circumstances, it can help you to get out of debt. While we often advise against it, a loan can be a way of consolidating debt in Scotland.

Why Trust Deed Scotland?

At Trust Deed Scotland® we’re really proud of our reputation and our achievements within the industry. You can find out more about Trust Deed Scotland and we always welcome questions from anyone struggling with debts. You can contact Trust Deed Scotland at any time. 30,000 People Helped – The number of people we’ve helped with debt in Scotland over the last decade or more shows the in-depth level of experience we have. No.1 Rated On Trustpilot – We’ve gathered thousands of reviews on Trustpilot, which are independently audited and verified by the platform themselves. Having debt still has a stigma attached to it, however, we’re pleased that our service compels people to openly write reviews about us. Not only does it highlight how well we’re doing as a company but also allows people to read about how other people got themselves into financial difficulties, helping them to understand there really is no need to feel embarrassed, or ashamed about having debt. 98.6% Creditor Acceptance Rate – When you apply for a Scottish Trust Deed with us, we will use our industry experience to give you everything you need to know and whether it is likely that the application will be successful. The pros and cons will always be explained, and you may decide that an alternative solution like the Debt Arrangement Scheme is more favourable for your needs. Up to 70% Reduction In Monthly Payments – The amount you repay each month will be based on you and your lifestyle and we’re able to reduce the amount you repay, by as much as 70% each month. No Setup Fees – You’re experiencing financial difficulties. We have strong ethics. Therefore setup fees, finders fees, charges for advice; whatever way its described – none of these make sense to you, nor us. This should be true for many other providers of Scottish Trust Deeds, but cannot be guaranteed. If anyone says otherwise, walk away. Specialist Advice – Some companies still offer an ‘introducer’ service without the right level of experience. Predominantly, the same types of people who cold call, send text messages or purchase data lists. Not only are we authorised by our regulatory bodies, we also have internal commitments to undertaking rigorous training and feedback sessions with our advisers. 100% safe, secure and confidential. You can also take comfort in knowing that your data is safe with us as we don’t sell your details onto third-parties. Registered Trademark – We’re the official Trust Deed Scotland®. Our brand name is protected to ensure that no copycats can trade falsely using our strong brand name.

How Much Will My Trust Deed Payment Be?

Posted on by Craig Stocks
If you live in Scotland and you’re thinking about entering into a Trust Deed, one of the most important things to understand is how much you will need to pay the people whom you owe money to every month. You may have seen ads on social media promoting Trust Deed payments at £70p/m or £20p/w but this is a misleading headline if taken completely at face value. Whatever amount you do agree to pay, you will pay this amount for a fixed period of typically four years, after which any debt that is not paid after this time is written off. It’s therefore important for all parties that the amount agreed is affordable for you, for the duration of the Trust Deed. The monthly Trust Deed payments you have to make are based on your disposable income. Disposable income, also called surplus income, is the money you have left each month after all your reasonable living expenses are paid. For example, if your total net income per month is £1,600 and your total living expenses per month are £1,500, your disposable income is £100 (£1,600 – £1,500 = £100) This disposable income figure left over is the amount you have to pay the people you owe money to, which essentially becomes your Trust Deed payment. However, this is a very simple example. Understanding which expenses you should include and how much for each expense is reasonable are important also. Trust Deed payments made into a Protected Trust Deed in Scotland have been worked out using the Common Financial Tool. Consider too that other solutions exist such as the Debt Arrangement Scheme or Sequestration which may benefit you more than what a Trust Deed could.

What is the Common Financial Tool?

The Common Financial Tool (CFT) is used to assess household income and expenditure for all statutory debt solutions in Scotland i.e. Trust Deeds, Debt Arrangement Scheme and MAP/Sequestration. At Trust Deed Scotland® our expert advisors will run through your living expenses with you and advise of whether they are within guidelines. Remember, you would typically be in a Trust Deed for 48 months and would be prepared to live within a fairly attributed budget for that duration. The guidelines were developed by representatives from the official body, the Account in Bankruptcy, alongside other recognised bodies and debt charities. This means that usually whatever expenditure you have, will be included within the common financial tool guidelines as fair and reasonable. If you want to get started and work out what you’re Trust Deed payment is likely to become, we recommend trying our Trust Deed Wizard® tool.

What will be included as expenditure in my Trust Deed?

Essential expenditures include your mortgage or rent, utility bills and council tax bills and these will be included as expenditure in the Trust Deed ‘as they are’ Extra expenditure allowances are also built in to cover the costs of looking after dependent children. The guidelines used in the Common Financial Tool are based on the Living Costs and Food Survey produced by the Office for National Statistics for the UK government. Your expenditure during a Trust Deed may be limited to a lesser extent. However, you and your family will be able to manage financially on the expenditure allowances provided. Most other types of outgoings are subject to the guidelines used in the Common Financial Tool. These expenditure guidelines assign varying maximum and minimum amounts which are deemed ‘reasonable’ according to your unique family circumstances. Your food allowance will be higher for a couple than it would be for an individual. In addition to food, other examples of these expenditures include sport and leisure activities, TV and internet, hairdressing, newspapers, and insurance.

How to calculate a Trust Deed Payment when you’re paid weekly?

If you receive any of your income weekly, four weekly or fortnightly, the amount you pay will need to be converted into a monthly repayment figure. If you’re paid weekly, your Trustee does this by multiplying the weekly amount by 52 (weeks of the year) and then dividing that figure by 12 (months of the year). If you’re paid in a four weekly cycle, you will multiply the 13 4 weekly cycles in a year and divide this by 12 and for fortnightly, 26 payments divided by 12 months.

Is there a minimum Trust Deed payment?

There is generally no minimum payment that are required for Trust Deeds as long as the amount you are proposing to repay is the best offer you can reasonably afford on a regular basis. However, the amount you pay into the Trust Deed must represent both a sensible repayment to your creditors and the reasonable fees that the Insolvency Practitioner needs to deduct from your payments to pay for its maintenance cost. And remember, you should never pay any sort of upfront fees, setup fees, arrangement fees or anything else before entering into your Trust Deed. In general speaking terms, it is unusual to start with payments which are less than £100 a month. However, just because there is an amount specified here a minimum Trust Deed payment and that’s a figure you think would be affordable; it doesn’t automatically mean that the Trust Deed is the most suitable solution for you, or that the proposal would be approved with this repayment offer. Trust Deed Scotland will carry out a detailed assessment of your income, expenditure, assets and total amount of unsecured debt you have so that we can understand your circumstances. There are some other factors that we may need to look at as well, but with this information, we can then provide you with a personalised illustration of what your options are, plus the pros and cons of each. Also, remember that the calculation for Trust Deed repayment is used for all statutory debt repayment options under the Common Financial Tool guidelines, so if you can’t afford the Trust Deed then a solution such as Minimal Asset Process may be more beneficial for your needs. Other considerations include joint debts you may have with a partner/spouse. It’s also important for you to learn about alternative solutions, how they may affect you and to be informed of all the key facts, in order to make a balanced decision over what you would like to proceed with.

Can I haggle over my Trust Deed payment?

If you’re in financial difficulties, the appeal of saving money is always alluring. After all, we can switch energy suppliers online, beat down our Sky TV and Virgin Media subscriptions, and play them off against one another to save money, or we can use discount and voucher codes to get money off furniture, clothes and even takeaway food. But haggling over your monthly Trust Deed payment is not something that is possible. You’re free to speak to as many companies as you feel comfortable with, however, each company should correctly assess your circumstances and the payment amount should always remain the same, and ultimately based on what you can afford. Instead of haggling over Trust Deed payment amounts, we would instead advise you to focus on what is more important for the duration of your Trust Deed. Creditor Acceptance rate – At Trust Deed Scotland, we have a 98.9% Trust Deed approval rating and 99.8% Debt Arrangement Scheme approval rate. There are alternatives we offer advice on too. Trust Deed reviews – We’ve got thousands of five star Trust Deed reviews. In-House Team – Our experienced debt advice team have helped over [volume] people since 2009. Our commitment to the quality of service we provide remains our top priority throughout your debt help journey, from start to finish. That’s why it is important you choose the right company. You will never be passed to another company to implement your debt solution. These are just some of the reasons we’re ranked number 1 in the category ‘Debt Relief Service’ in Scotland. If you are struggling with unaffordable debt, you can call us for confidential advice on 0141 221 0999, or try our Trust Deed Wizard® to get started now.

What debts does a Protected Trust Deed include?

Posted on by Craig Stocks
The type of debts that can be included in a Protected Trust Deed are generally those that are described as unsecured, with some exceptions. When you enter into a Protected Trust Deed in Scotland, most of your unsecured debts will be included and this may include:
  • Credit Cards
  • Personal Loans
  • Overdrafts
  • Catalogues
  • Gas and Electric Arrears
  • Council Tax Arrears
  • Payday Loans
  • Store Cards
  • Buy Now Pay Later Agreements
  • Any Other Outstanding Personal Bill e.g. Vet Bills
There are other debts that can be included in Trust Deeds, but we recommend contacting us today confidential advice as it’s important to understand not only the debts that you have and whether or not debts those can be included in a Protected Trust Deed, but also other aspects include your affordability, total debt owed and your income vs. expenditure. On some occasions, an alternative Scottish debt solution may be more beneficial for you.

What types of debt are excluded from a Protected Trust Deed?

Typical debts that aren’t included within a Protected Trust Deed include:
  • Mortgages
  • Secured Loans
  • PCP and PHP Agreements
  • Hire Purchase Agreements
  • Court Fines
  • TV Licence Arrears
  • Student Loans
  • Child Support Arrears
You can also find out more about the differences between secured and unsecured loans, if you’re unsure what this means.

Can joint debts be included in my Protected Trust Deed?

A joint debt in Scotland is a debt that has your name and the name of the other person you entered into it with on the agreement. A joint debt can be included in a Protected Trust Deed, however, the other person named on the debt will still be responsible for making payments towards it. This is also true of guarantor loan debts in Scotland. If you have some of the debt written off, the other person will still be asked to pay the remaining money back, therefore that debt isn’t written off in the same way that the other debts that included in the Protected Trust Deed would be written off. If you have joint debts, and are thinking about applying for a Protected Trust Deed, you should contact us for confidential advice first. We can let you know how it would affect you and the other person named on the debts.

What happens to my debt during a Protected Trust Deed?

Before Trust Deeds are agreed, proposals are put to the creditors who monies are owed to. If the creditors agree to the Trust Deed, you’ll make monthly payments towards the Trust Deed for 48 months, or 60 months if this was agreed as an extended duration for the Trust Deed. When your Protected Trust Deed has been complete, you’ll be discharged. At this point, any balances outstanding on the debts included in your Trust Deed will be written off.

Is a Protected Trust Deed right for me?

To find out if a Protected Trust Deed is right for you, we advise you to try our online Trust Deed Wizard® tool. This will begin the process of finding a debt solution for you, based on your own unique circumstances. When you’re looking at the types of debts that can be included in a Protected Trust Deed, you may have debts that can be included such as those owed to family and friends but you may benefit from speaking to Trust Deed Scotland® in order to find out the advantages and disadvantages of doing so. There are alternative solutions to Trust Deeds in Scotland, one of which is the Debt Arrangement Scheme. When you speak to an expert money advisor, all pros and cons will be explained to you, and sometimes the type of solution that fits your needs best may not be a Protected Trust Deed after all. When considering your decision on whether a Protected Trust Deed is right for you, we have previously written articles in response to questions we’ve previously been asked such as Is A DAS Worth It? or Is A Trust Deed A Good Idea? Trust Deed Scotland® has thousands of reviews on Trustpilot, however, we also offer Debt Arrangement Scheme and Sequestration advice, which means you will be given balanced, fair advice that puts you in control of the decision-making process.

What Is Life After Debt?

Posted on by Craig Stocks
Trust Deed Scotland® has been giving debt advice in Scotland since 2009 and helped over [volume] people with formal Scottish debt solutions known as Trust Deeds and DAS with over [reviews] customer reviews on Trustpilot. We talk about Life After Debt quite often but what is Life After Debt? Life After Debt is the light at the end of the tunnel for those with unaffordable debts, it’s like a roadmap that gives them clarity on how long it will take them to get out of debt and how much money that they will be able to save on their debt payments every month until they’ve cleared the debt. This results in a new, reduced and affordable monthly repayment. For Trust Deeds, this may last a typical duration of 48 months (sometimes extended) and after that, any unsecured debts left over are written off.

How and why do people find themselves with unaffordable debts?

Some of the common reasons that people in Scotland end up with debt that they can’t afford to repay are broken down into the following categories.
  • Relationship Breakdown – Coping with debt after a split
  • Reduced Income – Less income, same debt
  • Birth of a Baby – Down to single income
  • Unexpected Illness or Injury– Unexpected loss of income
  • Business Failure – Leftover liabilities including tax
  • Overcommitment of Credit – Taken on too much debt
  • Additional Financial Support – Providing support to others leaving you short
When you’ve had debt for such a long time, it may start to feel like it’s a part of you and there’s nothing you can do about it. You may feel like this is the life that you’ve created for yourself and it won’t get any better. In the most severe cases, people may have been harbouring debt for as long as we’ve been helping people out of debt. Money worries and the burden of living with unaffordable debt can cause a wide range of mental health problems from stress, anxiety and depression. You may feel ashamed, or embarrassed about having debt because wealth is considered a goal in life, and therefore having debt may make you feel like a failure. The taboo and stigma attached to having debt increase the likelihood that you’ll attempt to deal with the issues yourself and struggle on alone. But you don’t need to feel like this, you are not alone and Trust Deed Scotland® are here to help you. If you do something about your debt today, you don’t need to worry about it tomorrow.  When we talk about what Life After Debt really means, it’s the realisation that you’ve been able to reduce your monthly debt repayments and that there is light at the end of the tunnel as our clients often tell us in their own words. Our debt advice reviews on our Trust Deed Scotland Trustpilot page are an inspirational place to find out what Life After Debt really looks like for our clients from the moment they find the courage to seek help over their unaffordable debts “My advisor was friendly and non-judgemental.” “Finally got in touch, and everything was in place within a week.” “I wish I’d done it earlier.” “I can sleep at night, now my debts are under control.” “From the very start, my mind was put at ease.” Not only do our reviews highlight how people feel after they approach us, but we think that they help us to illustrate that you are not alone if you’re feeling ashamed or embarrassed about debt and that this may help encourage you to seek expert advice.

What does Life After Debt really look like?

Life After Debt will ultimately mean different things, for different people. However, here are some of the advantages that being debt free can bring to you. ➊ You Get to Relax You don’t have to feel anxious about opening letters or answering your phone. ➋ You Get to Keep More of Your Money You can save for holidays & other items that you never thought you could afford. ➌ What’s Yours is Yours When you live debt free, your things are really yours. ➍ You’re Independent You can live an autonomous lifestyle – a life that reflects what’s really important to you. ➎ You’re Happier When we imagine Life After Debt, it always seems happier & carefree, and there’s a reason why, because it’s true. ➏ You Get to Say: I’m Debt Free You set a goal & accomplished it and you get to be proud of that.

Where to get Debt Advice in Scotland

As the No.1 rated debt advice company in Scotland, we’re in a position to help you with your debts and advise you on the pros and cons of Trust Deeds, the advantages and disadvantages of the Debt Arrangement Scheme and the benefits and risks of Minimal Asset Process or other alternative debt solutions available in Scotland. Get started today by giving us a call on 0141 221 0999, or by trying our Trust Deed Wizard® tool. If you’re looking for more inspiration on what Life After Debt looks like follow the official Trust Deed Scotland® on our social channels: Twitter, TikTok, Facebook & Instagram or send us a message on Messenger Look for #LifeAfterDebt.

Who Are Trust Deed Scotland?

Posted on by Craig Stocks

When people are looking into getting help with their debts, they may or not know already know who Trust Deed Scotland®  are, what are Trust Deeds, the Debt Arrangement Scheme or alternative Scottish debt solutions in Scotland and whether the solutions offered may seem that they are ‘too good to be true’.

If you’ve been experiencing financial difficulties as a result of a recent change in your circumstances, or you’ve been in debt for a number of years; we’re offering solutions that means you’ll make lower monthly payments, protect your home and car, and write off debt you can’t afford to repay – in as little as 48 months…We appreciate how this may sometimes seem too good to be true.

You can find out more about Trust Deed Scotland and our story of how we became the No.1 rated debt relief company in Scotland.

The first thing you may or may not know about who are Trust Deed Scotland® is that we’ve helped over [volume] people in Scotland since 2009.

In-House Team – We don’t sell your details on. You will remain with Trust Deed Scotland® from the moment that you make your first enquiry until after you have been successfully discharged.

Some websites that you find on Google, social media and elsewhere are known as lead generators. This means that you may be passed from pillar to post and whilst the GDPR has resulted in better data protection all round, there are a number of companies who will use your details for their own end, and the companies that they work with ultimately concentrate on the solutions that result in more money for themselves.

Trust Deed Scotland® pride ourselves on providing balanced debt advice that explains the risks and benefits of Trust Deeds, the pros and cons of the Debt Arrangement Scheme and the advantages and disadvantages of any other alternative solution you may qualify for.

We’re aware of other organisations who use pushy sales tactics, we’re also aware of a number of copycat companies pertaining to be Trust Deed Scotland

Over [reviews] 5 Star Reviews – More than anyone else in our industry, we’ve collected on the independent reviews platform Trustpilot. The reviews that we’ve curated highlight in our client’s own words, the type of service that we’ve given them, and how the solutions have impacted their lives.

We understand that there still is a stigma attached to being in debt and that it can be difficult to take the first steps of asking for help.

Therefore whenever anyone leaves us a review, not only does this indicate that we’ve provided an ‘excellent’ service which we’re immensely proud of but it also helps to display a level of trust bestowed upon us by individuals who were in a similar position to anyone who is still considering if Trust Deeds are legit.

98.6% Trust Deed Acceptance Rate – If you apply for a Trust Deed you will be made aware of the likeness of the Trust Deed / DAS being approved. You will always be kept up to date and informed of your Trust Deed / DAS application, every step of the way and we will work with you to explain and overcome any issues, of all available solutions.

As the No.1 rate debt advice company, with the experience of helping over 25,000 in Scotland – this is where our years of experience help us to drive successful outcomes for our clients.

Scottish Heritage – Many of the organisations that offer debt advice in Scotland offer it as a bolt-on to solutions offered in England, Wales and Northern Ireland. We’re proud to be owned and operated in Scotland, with the correct experience and knowledge to offer these solutions in Scotland.

There are many differences between Trust Deeds and Individual Voluntary Arrangements as one example, that those companies based elsewhere simply don’t have the same level of expertise.

No Setup Fees – Unlike some other companies, we do not charge setup fees or any other upfront costs for our services. The purpose of asking for help with debts is to get your life back on track and work towards a brighter future. Adding fees and charging you for debt advice doesn’t help you and doesn’t sit right with us. We’ll always have your best interests at heart.

70% Debt Write Off Possible – Affordable monthly repayments are one of the biggest advantages to both Trust Deeds and the Debt Arrangement Scheme, and by using our Trust Deed Wizard tool and calculating fair expenses, we are able to reduce the amount that our clients repay every month.

For example – This means that if you were previously paying £909 every month to your debt payments, we can reduce this down to £273.

Regulated Debt Advice– We’re proud of our internal record of giving our staff the highest levels of training and support. However, we’re also officially authorised by regulatory bodies to give debt advice.

Trust Deed Awareness Campaigning – We’ve been actively making people aware of Trust Deeds and alternative solutions for a number of years, across TV campaigns, radio and many other places.

This may help you to understand how much your monthly Trust Deed payment will be, or how much you may be expected to pay under the Debt Arrangement Scheme and the agreed Debt Payment Programme. However, in addition, you will have a clear plan to get your finances back on track.

Ultimately, if you’re interested in learning more about who are Trust Deed Scotland®, then you can contact Trust Deed Scotland® today for debt advice. Our main debt advice helpline is 0141 221 0999, or you can try our Trust Deed Wizard® tool to start the process now.