Trust Deed Scotland
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0141 221 0999
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Frequently Asked Questions

  • Do Trust Deed Scotland advertise their services on TV & Radio? +

    Yes. Trust Deed Scotland as seen on STV, channel 4, Radio Clyde, Capital Radio and Real Radio. We understand that there are some imitation websites but this is the official Trust Deed Scotland website.

  • Will I lose my home?+

    In our experience no one has lost their house when entering a Trust Deed. Your recommended provider will establish whether or not you have any too much equity in your home as a part of their initial assessment. If you do have equity, then you will be given an option to buy any future equity from your Trust Deed provider. There are alternative solutions such as Debt Arrangement Schemes which may be more suitable should you have too much equity to make the Trust Deed viable. Your Trustee will establish this prior to signing.

  • Will I ever get credit or a Mortgage again?+

    When you enter into a Trust Deed you will not be allowed any form of additional credit. After your arrangement has been complete and you have been formerly discharged, you will find it more difficult to get obtain credit for at least three years after it's completion. You will need to rebuild your credit rating.

  • Will my details be published in my local newspapers?+

    No, as part of getting your Trust Deed protected your Trustee will put details of your Trust Deed in the register of insolvencies.

  • Is It like an IVA?+

    They are Similar. The Trust Deed is the Scottish equivalent of an IVA in Scotland, and is only for residents of Scotland and usually lasts for four years, An IVA is for residents of England, Wales and Northern Ireland. A typical IVA would last for typically five years and have similar workings.

  • Who can set it up?+

    Only a licensed Insolvency Practitioner can set up and administer them.

  • Does it matter which company I use?+

    Some insolvency companies do not offer home visits or will charge you for a survey. Some even charge you setup fees! We put you in contact with the best company suited to you.

  • Can I find case studies of people who have already complete a Trust Deed?+

    Yes. We have a section specifically for this. Have a look at our trustpilot reviews from our customers .

  • Is a Trust Deed a loan?+

    No .It is a voluntary action which allows you to come to an agreement with your creditors to repay them less than you actually owe them. No credit checks are required and your offer of repayment is based on what you can actually afford to repay.

  • Will I be credit checked before acceptance?+

    No. Since you will not be borrowing any money, there will be no need for a credit search.

  • Can I enter a Trust Deed if I already have Court Action against me?+

    Yes. Entering into a Trust Deed is not prohibited if you have court action against you.

  • If I am a homeowner, will I have to release equity in my home?+

    Depending on the equity you have you may have to release equity in your home into the Trust Deed usually as part of the final settlement. However, there are mechanisms that can be put in place to protect your home such as "buy-back" or extra contributions.

  • Does it make a difference if I am a homeowner?+

    No. It makes no difference whether you are a private tenant, homeowner, council tenant or if you are still living with your parents.

  • Do I have to tell my partner?+

    It is a private arrangement between you and your creditors. It is advisable, where possible to share this with your partner for your own peace of mind. You may need to check that you have no joint debts or that someone has acted as a guarantor on your behalf.

  • Does it cover all of my debts?+

    No. They can only cover your unsecured debts and arrears. This is usually things like credit cards, bank overdrafts, store cards and personal loans.

  • Does it cover student loans?+

    They do not cover student loans.

  • What is the difference between a secured and unsecured debt?+

    A secured debt is a debt secured against an asset that you own. Typical secured debts will be a mortgage, a secured loan, car HP etc. An unsecured loan is any loan not secured on an asset such as a bank overdraft, a personal loan, a credit card, store card etc.

    Call us now on 0141 221 0999 if you have any queries about debt eligibility

  • Do creditors have to accept a Trust Deed?+

    No. Your creditors do not have to accept, but it will only fail if creditors representing either over 33% in total debt value, or over one half in number; object in writing within five weeks of your trust deed being proposed.

    A large number of UK creditors have their insolvency debts handled by specialist agencies and your Trustee will normally only propose your Trust Deed in line with current guidance.

    In the event that your trust deed did fail you will always be advised on what to do next and also on other Scottish debt solutions such as the Debt Aarrangement Scheme or sequestration.

  • Will the PTD prevent my creditors taking further recovery action?+

    Yes. Once a Trust Deed has become protected (PTD), you are protected from all further recovery action by your unsecured creditors provided that you keep up the terms of the repayment.

  • How long will it last for?+

    This can vary, but it usually lasts for 4 years. It may be extended if you are a homeowner or if during the agreement for example, you fell pregnant and were unable to keep up repayment whilst on maternity leave – your trustee could extend the length of your agreement to reflect any period of reduced payment.

  • What if my circumstances change?+

    If you are unable to maintain repayments because of changed circumstances, your trustee can request a variation to reflect your new circumstances.

  • What happens if I just stop paying my agreed contribution?+

    If you fail to keep to the arrangement, your trustee has the right to freeze your bank account and even to apply for you to be sequestrated.

  • How are the Trustee fees collected?+

    The fees that the Trustee charge are collected from the payments you make into the 'pot' and you will normally have no other fees to pay.

  • How long does it take to set up?+

    Signing can take a few days, however It takes typically 5-6 weeks to get protected.

  • Will interest and charges be frozen while being set up?+

    No but any such interest and charges will be included in the Trust Deed if it is approved and becomes protected.

  • What happens if the Trust Deed is not approved?+

    You will have to come to an informal arrangement with you creditors to repay your debts or consider sequestration.

  • What does it mean when a Trust Deed becomes "protected"?+

    This means that no further action can be taken against you by your creditors for recovery of the money you owe them. Lenders accepted the proposal that your trustee has made to your creditors.

  • Can I get an Online quote?+

    You can get an instant indication of whether you would qualify by completing the Trust Deed Wizard.

  • What am I committing myself to if I sign?+

    You are entering into a contract to repay your debts, usually at a reduced rate. As such you agree to:

    • Co-operate with the Trustee
    • Pay the agreed monthly contribution
    • Not take any further credit
    • Advise the Trustee if you receive any unexpected windfalls in excess of £200.

    Call us now on 0141 221 0999 and see if we can help. For a life after debt, try

  • What Are Trust Deeds?+

    Trust Deeds were introduced in 1985 by the Government as an alternative to sequestration (bankruptcy) and are formal voluntary arrangements, using the Bankruptcy (Scotland) Act 1985.

    They can only be administered by a licensed Insolvency Practitioner (IP) who will act as a Trustee and communicate/negotiate with your creditors acting on your behalf. You will pay an agreed amount over typically 48 months and after this time period ends you will be 'discharged' and your outstanding debts will be written off.

  • What Is The Basic Criteria?+
    • You must be a Scottish resident and have lived in Scotland for a minimum of 6 months
    • You must be struggling to repay your debts.
    • Minimum debt level £5,000
    • Only your unsecured debts, typically credit cards, Loans, Store Cards, Bank Overdrafts, (excluding student loans) Council Tax Arrears can be included.
    • The minimum monthly repayment contribution is generally £100.
  • What If My Creditors Do Not Accept The Proposal?+

    When a proposal is drafted, the experience and knowledge of the insolvency practitioner ensures that the vast majority (over 98%) are accepted. If the creditors still do not accept the proposal, then the trustee will still be able to negotiate your case to get it accepted.

    Remember not all creditors need to agree to the repayment proposal and should the creditors to the value of 67% of the total debt agree to the proposal, the others are still legally bound by its terms regardless.

Trust Deed Wizard™
tool tips This includes unsecured loans, credit cards, council tax arrears, bank overdrafts etc.

Note - student loans cannot be included in a Trust Deed.
tool tips This is your monthly take home pay including any other income

Income Example
Take home pay £1200
Child tax credit £200
Total net income £1400
tool tips This includes all rent, mortgage payments, food and all other household outgoings that you pay each month.

Excluding your payments for your unsecured debt.