Category: Coronavirus

Post-Pandemic Financial Recovery Plan Required

Posted on by Craig Stocks
Scotland’s fightback against the Coronavirus will require a post-pandemic financial recovery plan, with many people still unclear on what their long-term financial future will look like according to new statistics published by The Money Charity. Previous known as Credit Action, and established in 1994, the Money Charity is the UK’s Financial Capability charity, proactively providing education, information, advice and guidance to people of all ages throughout the UK, helping them to manage their money well and increase their Financial Wellbeing. As Scotland continues to recover from the pandemic alongside the rest of the UK, the new UK-wide data shows that:
  • 61% of self-employed individuals have a worsened financial situation due to the pandemic.
  • 4.5m workers in the UK were furloughed in January 2021 as a result of the pandemic. One-third of which have been furloughed for ten or more months.
  • A 454,000 increase in the number of people unemployed in the year to December 2020.
  • The average total debt per household, including mortgages, was £60,860 and per adult was £32,014, around 107.5% of average earnings.
  • People in the UK owed £1,696.4 billion at the end of December 2020.
The Money Charity further reported that based on December 2020 numbers, the UK’s total interest payments on personal debt over a 12month period would have been £44,910 million, an average of £123 million per day. The average annual interest per household would have been £1,611, and per person £848, 2.85% of average earnings. According to the Office for Budget Responsibility’s November 2020 forecast, household debt of all types is forecast to rise from £2.062 trillion in 2020 to £2.373 trillion in 2025. This would make the average total household debt £83,308 (assuming household numbers track ONS population projections.)

Consumer Credit Debt

At the end of December 2020, outstanding consumer credit lending was £202.1 billion, falling by £1.4 billion on the revised total for the previous month, and £22.2 billion less than in December 2019. Within the total, outstanding credit card debt came to £58.4 billion, a decrease of 19.3% (£14.0 billion) in the year to December 2020. Credit card debt averaged £2,094 per household and £1,101 per adult. A credit card on the average interest rate would take 24 years and 10 months to repay, making only the legal minimum repayments (interest plus 1% of the outstanding balance) each month. The minimum repayment in the first month would be £54 but would reduce each month. If £54 were paid every month, the debt would be cleared in 5 years and 2 months. Citizens Advice Scotland advised The Money Charity that in January 2021, they answered almost 10,000 calls in January 2021 alone, where the enquiry was related to debt. The biggest group was in regards to benefits, which equates to almost 32,000 of their January calls which ultimately, may lead to more longer-term requests for help relating to unaffordable Problem Debt. A stat that is made more worrying given that CAS currently is facing a fight of its own, as it struggles to find funds that will allow the service to remain open in a face-to-face capacity in areas of Glasgow such as Bridgeton, Easterhouse, Parkhead and Castlemilk. In January 2021, the Money and Pensions Service predicted that demand for Debt Advice is expected to increase by 61% in 2021. All eyes both north and south of the border will be focused on Rishi Sunak’s budget announcement later this week when the Chancellor will come under great pressure to elaborate on the country’s post-pandemic financial recovery plan. And, with Scottish parliament elections scheduled for May this year, a similar theme may emerge.

What help with unaffordable debt is available in Scotland?

To find out more about managing your money and getting free advice, visit Money Advice Service, an independent service set up to help people manage their money. You can also receive free, impartial debt advice from your local Citizens Advice Bureau, Stepchange and other debt charities, as well as tailored debt advice from ourselves, Trust Deed Scotland® You can contact Trust Deed Scotland today by calling us on 0141 221 0999.

Advice on your options today

If you do something about your debt today, you can stop worrying about it tomorrow. Our experienced team provide tailored debt advice that is…
    • Non-Judgemental – Our friendly, helpful team want to help find a solution that suits your needs.
    • Confidential – We do not share your details with any other companies. Your data is safe and secure.
    • Experienced – 25,000 people helped and over 3,000 five-star reviews on Trustpilot.
    • Tailored – Pros and cons of all formal solutions explained.
Trust Deed Scotland® offer formal Scottish debt solutions such as Protected Trust Deeds and the Debt Arrangement Scheme. If you have unaffordable debt, we can advise on how they work, advantages and disadvantages and alternatives. For life after debt, trust us.

Trust Deed Scotland Radio Campaigns

Posted on by Craig Stocks
Trust Deed Scotland radio awareness campaign, as heard recently across the country.

Every 42 minutes….Someone uses a Scottish Debt Solution to write off all, or part of their debt…Or just repay what they owe with no more interest or charges.

This year, Trust Deed Scotland® have helped more people into one of these solutions than any other debt help company. With over 10,000 5 Star TrustPilot reviews you can trust us to recommend the best solution for you. See adterms for more information on the data behind our statistics.

Trust Deed Scotland Radio Campaign – Response & Questions Raised

Some common questions people have had after hearing the recent Trust Deed Scotland® radio campaign include: For most of these questions, and many others – it’s always best to speak to an experienced debt adviser and at Trust Deed Scotland® we are suitably qualified to help answer these types of questions fairly, transparently and above all else; putting you in control of the decision-making process. Once you’ve had all the facts presented to you, you can then understand what the options are in relation to your own individual circumstances. This is important as everyone is different and it’s really not a one-size-fits-all approach to getting help with your debts.

Getting help with your unaffordable debt in Scotland today

You can contact Trust Deed Scotland today or simply find out more about Trust Deed Scotland by calling us on 0141 221 0999. Over thirty-thousand people have been helped thus far by us and most of those people started off the process by completing our online Debt Repayment Calculator tool, known more commonly as the Trust Deed Wizard® tool. Find out more about our latest Trust Deed Scotland radio ad and follow us on our official Trust Deed Scotland social channels. Trust Deed Scotland® help people in Scotland with unaffordable debt by…
✅ Reducing their bills down to one monthly payment. ✅ Writing off some of their unaffordable debt. ✅ Freezing their interest and charges. ✅ Giving tailored debt advice. As heard on stations such as Radio Clyde, Forth & Northsound. With over [reviews] 5⭐️ Reviews…We’re No.1 Rated on Trustpilot __________________________ trustdeedscotland.net. 0141 221 0999. Send us a WhatsApp message. enquiries@trustdeedscotland.net. May not be suitable in all circumstances. Fees apply. Your credit rating may be affected. Free debt counselling, debt adjusting and providing of credit information services is available to customers by contacting MoneyHelper.

Debt and Mental Health

Posted on by Craig Stocks
Debt and mental health are strongly linked. Over 25% of Scots experience a mental health issue in any given year. That’s not including the added impact caused by Coronavirus in recent times. Mental health issues cover a range of experiences, including anxiety and depression, schizophrenia, phobias, as well as many other conditions. Experiences of mental health conditions can also change over time, and sometimes even from day-to-day. Mental health issues, like physical illnesses, vary greatly from person to person. Mental health issues can be for short periods of time or last much longer. Experiencing a mental health issue does not automatically mean that you are unable to manage your money or deal with your debts, but it can make it more difficult. Research shows that half of adults in Scotland who are struggling with severe money issues, also have a mental health issue. Having unaffordable debt can be stressful and we can help you can help deal with your creditors. Both debt and mental health issues have increased recently during Coronavirus times and this is expected to increase over the winter months. In the early months of the outbreak, we wrote an article that spoke about maintaining a positive attitude during the outbreak. Many of the customers have we help often say that they feel like a weight has been lifted, that they can sleep at night again. Debt and mental health issues go hand in hand, however, these reviews received in October 2020 encapsulate the thoughts that our customers have on this subject. Whether you have a short term debt and mental issue causing you to stress, or you need longer-term help – many of the stories spoke about by our customers are used to reassure others that they are in safe hands with us. That we’ll always have their best interests at heart. But don’t just take our word for it…Find thousands of similar Trust Deed reviews. written by customers in their own words. Jemma wrote a review saying : “I think I speak for everybody when I say debt isn’t a nice feeling to have over you, especially when it’s not your fault. The worry and stress and pressure of most to pay it back at high demand from creditors. My situation just became too much that I needed a way out, and I had to stop being stubborn and ask for help. When I came about Trust Deed Scotland, I was cautious at first but that soon changed from a very kind and helpful gentleman called Joe. Right from the beginning this guy has been amazing and answered all the questions I needed and basically held my hand and took me through the steps. Always at the other end of the phone if I needed, and also I got invited to the main office to meet face to face so I could be more reassured that it was all legit and see it. Office is lovely by the way. The process isn’t long, at moments it did feel long as I still had the pressure of creditors calling and emailing but I just got told to hold off, and I think COVID slowed down the process from normal but I felt at ease through it all thanks to Joe. Now my paperwork is complete, I now know in 48 payments I’ll have paid a huge chunk off my debt paid which is fantastic and now I can pick myself back up and start going again, as life is really too short to feel this way!” Stewart also added a review: “Although being in debt is very stressful and embarrassing, Trust Deed Scotland has been great. Vicki in particular has been fantastic at helping me sort out my debts. Thank you. It’s the best thing I’ve done and the company have been a godsend as they’ve helped relieve the massive stress I was feeling. If you are struggling with debt then don’t hesitate to give them a call.” Maria added of her experience: “I cannot recommend Trust Deed Scotland highly enough. In particular, Trish, who supported me through every step of the process, with loads of patience and knowledge. This was a stress-free and extremely quick process, with Trish keeping me posted and up to date throughout it all. I feel as though a huge weight has been lifted off my shoulders. Trish provided me with a first-class service and was extremely professional, without making me feel anxious or embarrassed by my financial situation at any time. 10/10.”

Debt and Mental Health Help

If you’re struggling with debt and mental health issues combined, you’re not alone Our experienced team are on hand to listen and to help you to take the first step and deal with your unaffordable debt. Tailored advice: Helping you make an informed decision with non-judgemental, friendly and confidential advice. Trust Deed & Debt Arrangement Scheme Specialists: Professional, experienced and trusted advice on all Scottish debt solutions. Over [reviews] Trustpilot Trust Deed reviews. from customers who we’ve helped setup with a Trust Deed or DAS. All formal debt solutions offered: You can choose the best solution for you and your circumstances. Experienced debt advisers: Our team have helped thousands of people across Scotland write off their debt and reduce their payments down to a more manageable level.

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

Help Repaying Catalogue Debts In Scotland

Posted on by Craig Stocks
A high number of people are asking Trust Deed Scotland® for help repaying catalogue debts when they approach us for Scottish debt help. Catalogues are a popular way to make purchases and then spread the cost over a number of monthly payments. This can help make expensive purchases seem more affordable, but catalogues are often an expensive way to borrow and have high-interest rates. Some catalogue firms even advertise themselves as bad credit or poor credit catalogues. In which case, the interest is most likely even higher to offset risk. As most catalogue companies let you spread the cost of payments over a period of time. You’ll typically pay interest, which means that making just the minimum payments can lead to a bigger unaffordable debt. It is common for catalogue companies to advertise their products in a way that describes them as affordable – and breaks the cost down to a per day, per week, per month arrangement in order to hook individuals in and buy additional items at a later date, without adding all the sums together. When applying for a catalogue credit facility, reasonable affordability checks aren’t as thorough as some other lending facilities.
Catalogue Companies Used in Scotland
The most popular catalogues in Scotland include:
  • Ambrose Wilson
  • Argos Catalogue
  • ASOS
  • Debenhams
  • Grattan
  • JD Williams
  • John Lewis
  • Littlewoods
  • Next
  • Simply Be
  • Very.co.uk
  • Yes Catalogue
 

What happens if you can’t afford to pay your Catalogue debt?

Should you miss payments to your catalogue, or don’t make the minimum payments, the catalogue company will ask you to catch up with the arrears. If you have a debt with a catalogue company, this is a non-priority debt and would be treated the same as other unsecured debts such as credit cards, store cards, loans or overdrafts. If you can’t pay them the account, it will be closed so you can’t buy any more goods. The account will default and impact your credit score, the debt will most likely be passed onto a debt collection agency and the creditor may take eventually pursue court action against you, including pushing for a decree; a CCJ in Scotland. Wage arrestments are more commonly used to enforce unpaid council tax in Scotland, but can be known to be used to enforce some unsecured debts too, including catalogue debts. Lowell Portfolio is an example of a debt purchasing agency that pursue individuals with catalogue debts on behalf of their clients. Nationwide Debt Recovery is another. Unlike car finance, where you could negotiate to hand back the car, with catalogue debts – you can’t give the items back should you fall behind with payments. Paying only the minimum monthly payment to a catalogue debt in Scotland might not cover the interest and repayments. This can cause the catalogue debt to build up and become difficult to manage. You’re also at risk of your account being a ‘persistent debt‘.

Help with catalogue debts in Scotland?

A catalogue debt on its own is usually best managed by contacting the catalogue company and negotiating a repayment plan. If you have been affected by a drop in income due to the Coronavirus, you may be able to request a payment break, giving you time to look at repaying catalogue debts over a longer period of time. But never assume that a payment break will automatically be granted, and interest and charges may not necessarily be frozen. Most catalogue companies should have a dedicated Coronavirus payment break policy. However, If you’re falling behind with multiple payments to catalogue debts and other types of debts such as credit cards, store card and personal loans or if you’re worried about what catalogue debt creditors can do to you, you should get expert debt advice. You can contact us for experienced advice and help finding out what your options are. Trust Deed Scotland® give advice on Trust Deeds, Debt Arrangement Scheme and alternative Scottish debt solutions. Try our online debt repayment calculator, or call us on 0141 221 0999.

Debt Advice Charity Reports Covid-19 Income & Debt Concerns

Posted on by Craig Stocks
Over 40% of people in Scotland are concerned about income during the Coronavirus lockdown, Citizens Advice Scotland reported. Of those worried about their finances, the money and debt advice charity said that 31% of its respondents said they were concerned about utility bills, rent and debt repayments. In addition, 27% are concerned about mortgage repayments and the same number are concerned about paying for food and other essentials. 29% say they worry about paying council tax.

Debt Advice Charity Concerns

Citizens Advice Scotland, who ran a survey on the subject said the concerns around income show the extent of financial uncertainty people continues to feel during the outbreak. Myles Fitt, the Financial Health spokesperson for the Scottish debt advice charity, speaking on the issue advised: “What advisers across the Citizens Advice network were seeing before Covid-19 was the issue of people struggling to pay for key bills as a result of a lack of income in the first place. With over 40% of people in our survey concerned about their income, there is a real risk the pandemic makes this a more serious issue for a larger group of people. Both the Scottish and UK governments, as well as industry regulators, have taken significant steps to ease the short term pressure on people meeting the costs of daily living. Our message to people is that support is there and to access the support you are entitled to. Across the country, the Citizens Advice network has adapted to these changed circumstances, with CABs across the country still delivering advice in these challenging times, either on the phone or electronically by local advisers.” Trust Deed Scotland®, the leading debt advice company in Scotland further advised: “Many people in Scotland are now aware that lenders and companies ranging from mortgage lenders, credit card companies to car finance and guarantor loan companies are offering payment breaks but the message is being lost in translation that individuals need to contact their lender and request the payment break. The lender simply will not offer this without being prompted. Now with it being the first day in May, traditionally the first of a month is the day most people have a direct debit or standing order set up, those who have cancelled without informing their lender may start to see further charges being added to their debts and that will potentially also have a negative impact on their credit ratings as their account will show missing transactions rather than those authorised by the lenders. This is also potentially the first payday date for some people laterly furloughed after the outbreak began. We’re concerned that these issues come cause issues further down the line when the post-Coronavirus recession hits. We repeat our previous advice that if you’re struggling with debts due to your income being reduced as a result of the Covid-19 outbreak, seek payment breaks wherever you can and get it confirmed by the lender by email, or in writing.”

UK’s Personal Debt Shrank In March

It’s not all bad news, fortunately. Personal debt totals have indeed shrunk in the month of March, it has been confirmed. The amount of debt held on credit cards was lower than the same month the year before for the first time since it began recording the data in 2008, the Bank of England reported. Households in the UK paid back a staggering £3.8billion more debt than they borrowed in March 2020, the biggest figure on record, as households shunned credit cards in the face of the Coronavirus crisis. Credit card debt reduced by £2.4bn in a month to £69.3bn, for only the second time since July 2013. Therefore, the amount UK consumers have outstanding on credit cards has fallen, according to the Bank of England figures. As written about recently by Trust Deed Scotland®, many households across Scotland have saved money during the Coronavirus lockdown in Scotland by adopting careful household budgeting techniques.

Debt Advice in Scotland

At Trust Deed Scotland® we understand that debt can be overwhelming.

You may be finding it difficult to cope already and with the current Covid-19 conditions, this may be causing you to worry further about how you will afford to repay your unsecured debt, don’t worry every year we help thousands of Scottish residents reach a brighter future. For qualified, expert coronavirus debt advice in Scotland, give us a call on 0141 221 0999 or complete our Trust Deed Wizard®. 

Priority Debts vs Non-Priority Debts In Scotland

Posted on by Craig Stocks
When you owe money to several companies and don’t have enough income to pay them all – the calls, letters and text messages may start to cause you stress. With the cost of living continuing to rise, it can be difficult to know which debt should be paid first. Indeed, this is a dilemma that is affecting many people across the country right now. Some bills that you receive are regarded as priority debts because the consequences of not paying those priority debts are greater than the consequences of not paying the other non-priority debts For example, if you don’t pay your mortgage, your home could be repossessed. If you don’t pay your rent, you could be evicted. Whereas the consequences of missing a credit card payment do not have such a severe consequence. However, this doesn’t mean that you should ignore your non-priority debts as not paying back loans, credit cards and things like a bank overdraft can create problems for you too. You must always pay these priority bills before your other debts. Even with Coronavirus measures in place, where possible, these debts should be paid as priorities, because the consequences of non-payment can be serious. If you have unaffordable, unsecured debt that’s making it more difficult to pay your priority bills, then it’s really important that you get tailored and confidential debt advice as soon as possible. Remember to always get any payment breaks confirmed with your lenders – never assume that it’s an automated process. If you’ve been made redundant and forced to claim Universal Credit, or you have been furloughed – these may be enough to reorganise your priority and non-priority debts – however, make sure you get proof of this as the lender will usually ask for proof of your change of circumstance. Your unsecured debt is classed as ‘non-priority’ because the consequences of not paying these each month are much less severe than not paying your priorities each month. Trust Deed Scotland® can take a look at these debts with you and give expert debt advice and if they are unaffordable, we can provide solutions on how best to pay these debts while you ensure that you’re on top of your most important priority debts. Trust Deeds, Debt Arrangement Scheme, and other tools exist which allow you to reduce unsecured debts down to a more affordable level.

What Is A Priority Debt In Scotland?

Typical examples include the following debt types: Mortgage – not paying your mortgage could result in your property being repossessed. Rent arrears – not paying your rent could result in you being evicted from your home. Child maintenance – not paying your child maintenance service can result in your wages being arrested, goods being removed from your property and a liability order being made against you. Council tax arrears – not paying your council tax could result in your wages being arrested, or goods being removed from your property. Utility bills – not paying your gas and electric may result in you getting disconnected, or a prepayment meter fitted. Broadband & TV – not paying for your broadband & satellite tv services could result in you being connected.

What Is A Non-Priority Debt In Scotland?

  Failing to pay non-priority debts is usually less serious than not paying a priority debt. The most important debts that you have are not necessarily the biggest ones. You can’t be sent to prison for not paying non-priority debts. However, your creditors may take enforcement action against you if you do not pay them. All non-priority creditors should be treated fairly. You should not make full payments to one creditor while reducing payments to another. If you cannot afford the minimum payment to any of your non-priority debts, you should make reduced payments to all of them using a pro-rata calculation. Failure to do so could result in your debt being passed on to a debt collection agency and a Decree (CCJ in Scotland) being made against you. More likely, the non-payment of unsecured debts will firstly result in a default notice being served against you. When a default notice is issued against you for missed payments, you will find your credit rating is affected. Contact Trust Deed Scotland® for advice on 0141 221 0999.

Non-Priority Debts in Scotland include:

Credit card debts, store cards, and personal loans. Bank overdrafts, payday loans, catalogue debts. Money that you borrow from your friends and family is also regarded as a Non-Priority debt. If you have unaffordable debts and you’re struggling to repay them all, don’t worry you’re not alone. an experienced debt adviser can help you separate your priority and non-priority debts before explaining what options may be available to you for dealing with them.

Struggling With Non-Priority Debt In Scotland?

  If you’re struggling with non-priority debt in Scotland – Work out your budget to check how much you have left each month after all your household bills have been paid. You can then use any surplus income to clear your priority arrears as quickly as possible. You can discuss your circumstances with your creditors and offer reduced payments to non-priority debts – this will help free up as much surplus as possible for the priority arrears. Then, when you contact your non-priority creditors, explain why you’re in debt. If you can’t make an offer of repayment straight away, ask for more time, for example, 14 or 28 days. This will give you more time to get expert advice and work out your budget longterm. It’s important to try to pay at least the regular instalment in the meantime. If you can’t do this which is understandable, pay as much as you can afford – even a payment of £1 to the non-priority debt shows a commitment to repay your debs and again allows you time to get help as soon as possible. If you feel like you’re really struggling with unaffordable debts – Don’t worry. You’re not alone. Trust Deed Scotland® have helped thousands of people in Scotland since 2009. We have dealt with cases that included council tax arrears, credit card debts and payday loans. We’ve successfully prevented and lifted creditor enforcement actions such as Wage Arrestments. Whatever the cause of your money problems, we can help you find the way out and make a fresh start. If you have over £3,000 of unaffordable, non-priority debt, and live in Scotland, Trust Deed Scotland® will help find the right solution for you. Contact us on 0141 221 0999, or find out which solutions you may qualify for by using our free debt calculator tool online.

Coronavirus And Maintaining A Positive Attitude

Posted on by Craig Stocks
Maintaining a positive attitude is important when you’re going through a unique experience like those created by the current Coronavirus lockdown in Scotland. There’s only so much we can do without getting into a negative state of mind. A negative state of mind can result in you binge-watching TV, overeating or developing more severe behaviour that can affect your mental wellbeing during the Coronavirus crisis. Most successful people will talk about the power of positive thinking and how important it is at the best of times, however, it’s often easier said than done. From the safety of our lockdown to yours, Trust Deed Scotland® have provided our top ten tips on creating a positive mindset throughout the Covid-19 and beyond.

1. You Determine Your Reality

It’s important to realise that you determine your reality by the way you react to the outside world. When something happens, you get to choose whether it’s a positive or negative experience and react accordingly. If you’ve been furloughed or made redundant due to the Coronavirus – it might be the opportunity for bigger and brighter things.  You choose what it will mean to you. For example, have you always dreamed of changing your career but never had the time to commit to coursework. Now you do have surplus time, and there are fewer distractions.

2. Start Your Day Strong

Create a morning routine and get up out if your bed earlier. Othwerwise, if you oversleep and need to drag yourself out of bed, then this will create a negative mindset for the rest of the day. Whatever task you can think of, no matter how mundane it may seem like watering flowers, ironing or washing – creating a routine reinforces positive thinking.

3. Sit Or Stand As You Mean To Go On

Think about your posture while you’re self-isolating during the Coronavirus lockdown. If you’re slumped into a chair or lying down on a couch with a remote control, or mobile phone in your hand – this will affect your mindset from there on in. An idol mind is more likely to look for a quick fix solution to Cornavirus lockdown boredom such as online gambling during the Coronavirus outbreak. There’s nothing wrong with taking a break from your activities but subtle improvements to your posture while you’re standing up, or sitting down can make a big improvement. Or simply standing up more rather than sitting down can help too.

4. Exercise Is The Natural Feel-Good Drug

Exercise is a fantastic way to maintain a good attitude because of all the positive chemicals it releases into the blood stream. There are many ways we can exercise in the comfort of our own homes safely during the Coronavirus lockdown; often without spending a penny and without the need of equipment. For those of us without any health issues preventing us from exercising, there really are no excuses except for those that we create for ourselves to provide a narrative that justifies our excuse for not doing the exercise.

5. Garbage In, Garbage Out

This is a term that evolved from IT development originally. The Original concept is used to express the idea that incorrect, poor-quality input will produce a faulty output. Therefore in the context of positive-thinking, if you’re feeding your mind with negative thoughts all day long, then it’s unavoidable that you will be feeling negative as well. A lot of the media in Scotland, and the wider-UK including Newspapers and TV thrive on negativity and particularly across their social media and websites. Put yourself on a negativity diet, including people and notice how much easier it is to maintain your positive attitude without getting sucked into clickbait articles, or reading and reacting to tweets and comments from online trolls.

6. Language Shapes Thoughts

Even subtle changes in your language can change the way you think and how you act. Whenever someone greets you and asks how you’re doing, do you answer with ‘fine’ or ‘aye, not too bad?’ Spare a thought for what this language commutes to others and yourself. Answering with ‘brilliant’, ‘fantastic’, or ‘great’ without sounding sarcastic of course, not only does this remind you that life really can be brilliant but, it subtly lifts the state of the person you’re talking to as well.

7. Read. Listen. Watch.

Now more than ever, there are millions of streams, books, podcasts and videos for you to take in from people around the world, who are inspiring and making the most out of their own self-isolation during the Coronavirus. From the comfort of your own sofa, you can get the benefit of their positive emotions and their experience by learning how they think and what they do to create the lives they want. You can read, listen and watch inspirational content while exercising, while eating your breakfast, cooking, cleaning. There’s always time for positivity, even if you’re committing 10-15 minutes per day to doing so, and building up.

8. Talk To Positive People

Positive thinking and self-help gurus say that you will have a similar level of health, income and lifestyle as the 5 people you spend the most time with. So if you want to be fit, then start to talk to people already in this mindset. You can find out more about Tedtalks for example, which features influential videos from expert speakers and provides a forum for you to speak to likeminded individuals. Want to start a business? Then seek out like-minded business owners. And if you want to be positive, make sure you’re talking to positive people. Even after the Coronavirus, we can take this attitude back to our workplaces, avoiding any of the negative conversations that

9. Show Appreciation For Others

By appreciating others for a job well done, their outfit or their smile, you start to cause a positive chain reaction. Think about the positive impact that the recent Clap for our Carers campaign has had on helping our Coronavirus keyworkers in the most difficult of situations. Doesn’t it feel great when you receive a compliment from someone else? If you want to receive more compliments, then by giving out and watch what happens to the people around you.

10. Stop Negative Thoughts In Their Tracks

It’s really difficult to be constantly positive and no matter how well we try, negative thoughts are going to resurface from time to time. These may occur more frequently in the beginning but, will decrease as you put these tips into practice. When you start to notice negative thoughts, you can use a pattern interrupt to stop them in their tracks. There is a book, also available in Audible format that talks about ‘managing your inner chimp’ called The Chimp Paradox. The idea behind this concept is to interrupt your current thought pattern and change your state. There are many ways people can carry this out practically with experts in this field from not only here in Scotland, but throughout the world.

Negative Thoughts Resources

If you struggling with any conditions such as an anxiety disorder or Obsessive Compulsive Disorder – you might find it helpful to talk to your clinician, therapist, or other medical professionals. Many of which are still available online, or via telephone. There are an increasing number of online resources available for you and we recommend these services. Anxiety UK: Help for Health and other forms of anxiety during Coronavirus Beat Eating Disorders: Coronavirus and Eating Disorders BBC: Coronavirus: How to manage Anxiety and OCD during the pandemic OCD-UK: Tips for people managing OCD throughout the Coronavirus epidemic SAMH – Coronavirus and your mental wellbeing  

Negative Thoughts Caused by Debt Problems

  Dealing with unaffordable debt is never easy at the best of times, no matter how strong we feel mentally and the stress and anxiety caused by facing these issues alone can make it very difficult to see the light at the end of the tunnel. Understandably, the negative connotations and fear of the unknown can make it extremely difficult for an individual to have a positive outlook if they have financial difficulties. However, we often say at Trust Deed Scotland® that if you do something about your debts today, you can stop worrying about them tomorrow. And, by talking to an expert it’s easier to understand the Pros and Cons of any solutions that available to you. Should that solution be the likes of a Trust Deed, or the Debt Arrangement Scheme then you can establish a way forward that will allow you to turn a negative situation, into a positive and start to truly consider a brighter future.

Coronavirus Guarantor Loan Payment Breaks

Posted on by Craig Stocks
EDIT: August 2021 – Payment breaks have been replaced by tailored support. If you have difficulty repaying a debt outstanding to a guarantor loan call 01412210999 for the latest advice
New Coronavirus credit card and overdraft payment break measures to now allow for home credit and guarantor loan payment breaks, meaning greater guarantor loan protection for both borrowers and those who act as the guarantor in the arrangement. Trust Deed Scotland® – the number one rated on Trustpilot for debt help in Scotland welcomes the latest guarantor loan payment break developments. Guarantor loans continue to be one of the most worrisome debt types in Scotland for individuals struggling to repay their debts due to the impact of defaults not only affecting the finances of the borrower but also on that of the guarantor. The regulatory body had already released proposals for lenders to offer a temporary payment freeze on loans and credit cards for up to three months, but these have been now been confirmed and extended to a wider range of creditors, including guarantor loans. The regulators have confirmed that it’s going ahead with a package of measures that ensure lenders offer temporary payment relief to customers affected by the Coronavirus outbreak. The following financial products are now covered:
  • Guarantor loans
  • Logbook loans
  • Home collected credit
  • Loans issued by Community Development Finance Institution
  • Credit Union Loans (only where these are regulated)

How to Request Guarantor Loan Payment Breaks

Even before the Coronavirus outbreak, if you’ve been sold a guarantor loan in the UK, you may be able to make an affordability complaint for guarantor loans compensation via Resolver. Resolver is a tool created by MoneySavingExpert that helps with guarantor loan protection for both the guarantor and the borrower and if your loan was unaffordable when it was sold, you’re due a guarantor loans refund of any interest you’ve paid (plus 8% statutory interest). Guarantor loans are notoriously offered at a higher cost interest rate offered as a last resort, where the guarantor will often pay the debt off on the borrowers’ behalf. You can argue that your guarantor loan was mis-sold to you when your lender didn’t make check your income and living expenses correctly. If you’ve found that you’ve been:
  • Struggling with living expenses
  • Borrowing to pay off a guarantor loan
  • Topping up your loan over and over again
In these circumstances, your loan may have been unaffordable meaning you have a valid dispute cause. The complaint itself won’t affect your guarantor. They shouldn’t be told that you’ve complained. You can ask for your guarantor to be removed if:
  • The loan was unaffordable for you, the borrower.
  • The guarantor couldn’t afford to repay the loan without difficulty when the loan was taken out.
  • You pressured them into becoming the guarantor
  • The lender didn’t explain the implications of being a guarantor to them
  • You had other financial links with the borrower (for example, if you share rent payments or car finance) that weren’t taken into account by the lender when affordability was assessed.
  • It wasn’t made clear to you that the loan was a top-up loan and that you would be responsible for the entire loan (not just the top-up).
If you successfully removed them as a guarantor, the loan will turn into a ‘normal’ loan. If you were unable to previously explore a Trust Deed, DAS or any other debt solution due to having a guarantor loan, this ‘normal’ loan can then be included as a creditor, without any impact to your guarantor or your guarantor’s credit rating. If you are looking to request a guarantor payment break, you should contact the company directly in the first instance. Amigo Loans Bamboo Loans George Banco Trusttwo

What is Home Collected Credit?

Also know as doorstep loans, and not to be confused with those offered illegally by loan sharks, home collected credit loans are often for small sums – between £50 and £500 – over short periods, with repayments collected weekly or fortnightly at your home. Doorstep loans tend to have a much higher interest rate than a bank loan or a credit card. All home credit lenders have to be authorised by the regulators; if not, they are acting illegally. If someone calls at your door and offers to lend you money during the Coronavirus, you should ask to see proof that they are authorised by a UK regulatory body. If they can’t provide this proof, it’s most likely that they are a loan shark or another Coronavirus scammer and you should end the conversation and report them to Trading Standards. The new Coronavirus credit payment break measures set out expectations for lenders to:
  • Offer a temporary payment freeze on loans and credit cards for up to three months, for consumers negatively impacted by Coronavirus
  • Allow customers negatively impacted, and who already have an arranged overdraft on their main personal current account, up to £500 charged at zero interest for three months
  • Ensure overdraft customers are no worse off on price, compared to what they were charged before the recent overdraft pricing changes started
  • Ensure consumers using any of these temporary payment freeze measures will not have their credit file affected.
Trust Deed Scotland® urges anyone in financial difficulties to check their lending firm websites or social media posts for more information, and where possible use their online services to request assistance. Many lenders are experiencing a high demand in calls throughout their call centres, so it may require a push from you in many directions.  

How to Request Credit Card Payment Breaks

You should only request a credit card payment break if you really require it, and you should continue to make normal payments until your lender confirms that you have been granted a payment break. you will not automatically have interest and charges frozen during the Coronavirus outbreak. Your credit card lender may email, or even write to you to suggest how to go about claiming a credit card payment break, but we again advise that you check your lending firm(s) websites or social media posts for more information, and where possible use their online services to request assistance.

Coronavirus Debt Advice in Scotland

At Trust Deed Scotland® we understand that debt can be overwhelming.

You may be finding it difficult to cope already and with the current Covid-19 conditions, this may be causing you to worry further about how you will afford to repay your unsecured debt, don’t worry every year we help thousands of Scottish residents reach a brighter future. For qualified, expert coronavirus debt advice in Scotland, give us a call on 0141 221 0999 or complete our Trust Deed Wizard®.