Scottish Trust Deeds
A Scottish trust deed is a formal arrangement with your creditors, used in Scotland where a debtor grants a deed in favour of the trustee which transfers their assets to the trustee for the benefit of creditors.
Trust Deeds are only available to residents in Scotland who have debts of £10,000 or more.
Provided certain conditions are met, Scottish Trust Deeds may be registered as "protected", thereby preventing creditors from petitioning for the debtor's sequestration or taking any other steps to recover debts due to them. Financial and personal circumstances vary, so the consequences of signing a Trust Deed will be different for each individual or partnership.
Scottish Trust Deed Advantages
- Your Trustee deals with your creditors. You no longer have to.
- You make just one payment per month from your disposable (surplus) income
- With a Protected Trust Deed, your creditors cannot take further action against you, arrest your earnings or continue to charge interest.
- Unless your employers are one of your creditors, there is no need for them to know that you have signed a Trust Deed.
- It can be possible for individuals to hold certain public offices, remain as directors and for companies to continue to trade.
- Trust Deeds normally last three years. When it ends, the remaining debt is effectively written off.
- Scottish Trust Deeds are usually more flexible and cost less to administer than Sequestration.
Click here to Apply for a Trust Deed. |
