Trust Deed Ecclesmachan
Designed for those being affected by unmanageable debt, a Trust Deed Ecclesmachan is a formal, voluntary agreement with creditors. It will wipe out personal debt using one reduced monthly instalment determined by whatever you can easily pay for. The process is fixed-term, meaning upon the conclusion of the predetermined period of time usually four years every one of your remaining debt is wholly written off – on the condition that all payments are fulfilled.
When your repayment system has been put in place and becomes ‘protected’ we will put an end to creditor harassment. They cannot pressure you with legal action, and, whenever they have to contact you, they must do so us. This means no more stressful telephone calls and threatening letters demanding cash from you. Trust Deeds exist to help the countless Scots across the nation who have found themselves struggling against debt problems to create a fresh beginning – without needing to apply for the more severe step of filing for bankruptcy.
To meet the requirements, you have to be resident in Scotland, or have been inside the recent year, possess outstanding debt upwards of £5000 in unsecured finance, and be in a situation in which you are unable to pay back the entire sum that you owe.
- Credit Cards
- HMRC Debts
- Store Cards
- Payday Loans
- Unsecured Personal Bank Loan
- Council Tax Arrears
We’ll also have to work out whether you are able to cover a monthly payment that satisfies creditors, normally from assets or income. This ordinarily requires the capability to repay at minimum 10% of what was owed.
How is a Trust Deed set up?
The process of getting everything set up with us company is a series simple and easy, achievable steps.
Step 1: After you contact our team we will review your financial situation and familiarise ourselves with the situation you are in. Once we are familiar with your financial condition we will determine what you could reasonably contribute each month without letting you carry on struggling.
Advice from us is free and unbiased. There is zero-obligation to take any further steps towards a debt solution subsequent to our discussion, and no fees apply.
Step 2: If you choose to carry on, we will become your official trustee. We will communicate the terms of the agreement to your creditors, explaining how your assets are going to be managed (your house and vehicle are secure in most cases), and inform them of how much of the debt you owe that they can be prepared to collect over the agreed fixed term.
Your creditors then have five weeks to accept the terms. If any objections we receive will not surpass 1 third of the value of the debt you owe, then the solution will go ahead – attaining protected status. If creditors do not respond to the proposal it is assumed that they have approved the terms and conditions.If the proposal fails during this period then we can provide alternative financial advice on how is best to proceed.
Step 3: At this stage, your trust deed Debt Advice Edinburgh will have been awarded protected status. This means creditors cannot continue to harass you, and all court measures towards you is out of the question.
You are only required to meet the rules of the arrangement by supplying your singular reduced regular monthly payment.
Step 4: If after the fixed-term all of the agreed monthly payments have been delivered, then any leftover debt to creditors will be wiped out. All creditors who were a part of the agreement cannot try and go after you for any debt that remained.
From here, you are welcome to enjoy your debt free life.
Advantages of a Trust Deed
- Get back on top of your financial situation by permitting us to convert your spiralling debt into a singular payment based on afford.
- When your arrangement is in place, your outstanding debt cannot rise any further – interest as well as other fees that might normally apply can no longer be charged.
- Creditors will be unable to harass you with continuous overwhelming letters and unsolicited telephone calls.
- Important assets such as your house and car are ordinarily protected.
- We will deal with all the monotonous and complex forms and communications.
- Court measures are no longer a possibility open to creditors.
- The cost of our services will be settled from the money owed to creditors – there won’t be any advance costs to you. They will be included in the monthly repayment, or occasionally the sale of any assets.
- If you adhere to the agreement and meet each and every repayment, after four years all of the leftover debt will be completely written off.
- After a set period, the record of the agreement will be removed from your credit rating, which will allow you to restore it and control your finances much more easily.
Your Assets in a Trust Deed Ecclesmachan
When matched against various other debt solutions, a Trust Deed can be an effective way of protecting your essential assets while dealing with your financial troubles.
Your Home – If you don’t actively prefer to, it is incredibly rare that your house is required to be liquidated. Our team will always have your assets as a priority, making sure you can stay in your house.
On the other hand, sometimes you might be required to realise some equity (for example, the value of a property with a mortgage minus any charges towards it) to get the blessing of creditors. Any equity open to you will have been assessed soon after you reach out to us. It might need to be converted into cash, or ‘realised’, but there are methods of achieving this without you having to lose your home. These methods will be outlined simply but in detail by our knowledgeable team.
Your Car – In cases where your car is essential for your daily needs, it is improbable that you are going to have to lose it.
However, if the vehicle is of significant worth you may need to swap it in for an earlier or more modest version. This will allow additional revenue that can go to creditors, so you can have an agreeable proposition. If you are employing a Hire Purchase or any other form of finance arrangement to acquire your car, then this will be considered as part of your essential monthly expenses.
Again, if the vehicle that you are ‘paying up’ is expensive, then this cost may need to be reviewed.
See whether you can get a debt solution by getting having a chat with our advisers now, and let us help you to join the thousands of Scots across the nation in taking the journey towards a debt free life.