Trust Deed

If you are a resident of Scotland and have debts greater than £5,000 (don’t worry we can still help if you owe less than this), a Trust Deed could be the best option to help clear your debts. Like an IVA, Trust Deeds are government-backed schemes to help you become debt free in a fixed time period – which is usually 36 months for a Trust Deed.

What Is A Trust Deed?

A Trust Deed is a formal arrangement based on a proposal by a debtor to their creditors to clear their debt.

Trust Deeds are only used in Scotland, and are the Scottish equivalent to an Individual Voluntary Arrangement (IVA).

Trust Deeds are regulated by the The Bankruptcy (Scotland) Act 1985.

Do You Qualify For A Trust Deed?

To qualify for a Trust Deed, your total debt must exceed £5,000 and you must owe to at least two different creditors (different banks, credit card companies etc.). There is no upper limit to the level of debt accepted in a Trust Deed.

Only residents of Scotland can apply for a Trust Deed. For residents of England, Wales or Northern Ireland, the equivalent is an Individual Voluntary Arrangement (IVA) which we can also arrange. If your debts are less than £5,000 but greater than £2,000 you can apply for a Debt Management Plan. In all cases, please complete our contact form.

A Trust Deed Can Help You Avoid Sequestration

There is no stigma associated with a Trust Deed and there is no requirement to publish your details which is not the case with sequestration.

Unlike sequestration, you can still hold public office duties whilst under a Trust Deed. A Trust Deed is also cheaper to administer.

Quick Trust Deed Application Process

Step 1
Complete our contact details form on this page.
Step 2
Based on your personal circumstances, we will create a debt repayment proposal for you. We will talk you through the proposal to ensure you are happy with all the details.
Step 3
The proposal will then be passed onto a Trustee who will oversee all aspects of your Trust Deed. The Trustee will contact all your creditors and negotiate your proposal with them.
Step 4
Once the proposal is agreed and finalised, we will set up a standing order to transfer your payments to your creditors.
Step 5
Become debt-free!

Trust Deed Frequently Asked Questions:

Will interest on my debts be frozen?
No, however any interest payments are included in the ‘agreed’ monthly payment and after 36 months any existing debt is written-off.

How long will it take to become debt free?
A Trust Deed agreement guarantees you to be debt free within 36 months.

What is a Protected Trust Deed?
‘Protecting’ a Trust Deed means that no further action can be taken against you by your creditors for recovery of the money you owe them. Lenders have to accept the balance of your Trust Fund account as full and final settlement at the end of the three year period.

What type of debts can be included in a Trust Deed?
The type of creditors that can be included are: banks, finance companies, credit card companies, store card companies and the Inland Revenue. Mortgages and loans secured on your property cannot be included.

For any other questions, please complete our contact form for a no-obligation call from our debt advisors.

Data Protection

Your data is safe with us, we will not pass any of your details onto anyone other than our advisors. We will not add your address or email address onto any mailing lists.

We are a registered Data Controller with The Data Protection Act 1998, registration number Z1587785.