Trust Deed Selkirk
Established by the Scottish government to support those unable to keep their debt in check, a Trust Deed Selkirk is a formal insolvency contract which permits you to transform numerous outstanding debts into one reduced monthly payment plan. The plan occurs over a set period, usually four years, by the end of which any outstanding debt will be wiped out assuming all terms and conditions have been fulfilled.
As soon as we are able to get your debt solution put together and confirmed by your creditors, it becomes protected. From this point on they cannot attempt to get money from you by mailing frequent letters and making incessant calls. All communications must go through us instead. Any court actions against you are also no longer a possibility. Trust Deeds are a great way for Scots to wipe out massive amounts of cash without needing to take the more extreme measure of entering sequestration.
In order to be eligible, you should be resident in Scotland, or have lived here within the previous year, and also have unsecured debts equating to a minimum of £5000 that you are not able to repay (you must be insolvent).
- Store Cards
- HMRC Debts
- Payday Loans
- Council Tax Arrears
- Unsecured Personal Bank Loan
- Credit Cards
We’ll also need to work out if you are able to cover a regular monthly payment which suits creditors, normally from income or assets. This generally requires the revenue to pay back at minimum 10 pence on the pound of the full amount owed
How is a Trust Deed set up?
The process of getting everything organised with our business is a series of straightforward, manageable steps.
Step 1: As soon as you contact our team we will look into your finances and get an idea of the situation you are in. Once we are familiar with your circumstances we will figure out what you are able to realistically contribute every month without letting you carry on struggling.
Advice from us is free and impartial. There is zero-obligation to take any additional steps towards a debt solution following our discussion, and no charges apply.
Step 2: If you choose to proceed, we will become your formal trustee. We will communicate the conditions of the agreement to your creditors, explaining the way in which assets will be handled (your property and car are protected more often than not), and tell them how much of the outstanding debt they can be prepared to acquire across the predetermined fixed term.
The creditors involved then have five weeks to agree or disagree with the terms and conditions. If any objections we obtain do not exceed one third of the total of the debt owed, then the solution will go ahead – acquiring protected status. If creditors never react to the proposition it is assumed that they have approved the conditions.
Should the proposal fail at this stage then we can provide alternate financial guidance on how is best to proceed.
Step 3: After your trust deed Debt Advice Edinburgh has obtained protected status, creditors cannot burden you with telephone calls or constant letters. You are also safe from any legal consequences.
This will continue to be so provided you continue to make your decreased regular payments, as per the conditions of the agreement.
Step 4: If you have met all of the agreed installments, then after the 48 months all leftover debt will be written off. It isstrictly illegal for any of the creditors involved in the agreement to try and get any more money from you.
With no remaining debt, you can start to appreciate your debt free life!
Advantages of a Trust Deed
- Take back control over your financial situation allowing us to convert your unmanageable debts into a single cheaper monthly repayment.
- As soon as you have signed up for the commitment, your present debt is frozen during the agreed term – no more costs, like interest, can be added onto the balance.
- Put an end to harassment; stop worrying about the phone ringing and the letter box opening.
- Safeguard your most critical assets, such as your car and propery.
- All of the difficult administrative stuff is handled by us.
- Creditors are not allowed to carry out court action to get funds from you.
- There are absolutely no additional fees for our services, they are typically included in your monthly installment, or in certain cases from the liquidation of any appropriate assets.
- After all installment payments have been achieved, usually after around 48 months, all remaining debts to creditors engaged in the agreement are written off.
- After a set term, your credit rating will be reset, which grants you more freedom to control your financial situation from then on.
Your Assets in a Trust Deed Selkirk
Trust Deeds are an effective way of getting back in control of your financial situation and writing off debt without having to put your car and home at risk.
Your Home – Although selling your home is a plan some individuals desire to opt for, nevertheless it remains very improbable that you will have to. A principal priority of our team when dealing with your money is to help you and your family to stay in your own home.
Nevertheless, in an effort to satisfy creditors so that the procedure can proceed, you may have to release some equity on your property. The equity available to you will have been conveyed to you at the beginning of our conversations. This may well be key to the deal going ahead, but will not require you to sell the house. All of this and the procedures involved will be described at length by our specialists.
Your Car – If your motor vehicle is a crucial component of your daily life, possibly for work or responsibilities to family members, then it is very unlikely you’ll need to give it up.
In instances where the vehicle involved is of significant value, perhaps since it is brand new, then you can be asked to swap it in for an older or less expensive model in order to give you access to more revenue to satisfy your creditors. In cases where you pay for your vehicle via a finance agreement, then this will be considered as we are figuring out your essential expenses.
In the event the obligations towards it are extreme then alterations might have to be made, but it’s very likely you will be able to keep your car.
For more information on whether you meet the criteria to enter into a debt solution give our fantastic staff a call as soon as possible. We are committed to helping you get back in control of your finances using formal legislation like countless other Britons across the British isles!