Trust Deed Carstairs
Established by the Scottish government to help those struggling to keep their debt manaegable, a Trust Deed Carstairs is a formal insolvency contract which permits you to transfer numerous outstanding debts into one reduced monthly payment plan. The agreement occurs across a set period, in general 48 months, at the end of which all excess debt will be waived assuming all conditions have been fulfilled.
The instant your repayment system has been set up and becomes ‘protected’ we can bring an end to creditor harassment. They can no longer threaten you with legal actions, and, every time they have to contact you, they must go through us. This means an end to stressful telephone calls and threatening letters demanding cash from you. Trust Deeds exist to aid the countless Scots all around the nation who are having financial problems to enjoy a new start – without needing to submit an application for the more severe measure of bankruptcy.
To be considered, you need live in Scotland, or have been inside the past 12 months, possess outstanding debt in excess of £5000 in unsecured finance, and be in a situation where you cannot pay back the whole amount that you owe.
- Store Cards
- HMRC Debts
- Payday Loans
- Council Tax Arrears
- Unsecured Personal Bank Loan
- Credit Cards
We’ll also have to determine whether or not it is for you possible to pay a regular monthly payment that suits creditors, usually through income or assets. This generally requires the capability to repay at least 10 percent of the full amount owed
How is a Trust Deed set up?
Setting up the contract is merely a series of simple, easily comprehensible steps.
Step 1: Once you pick up the telephone and give us a call, our team will get some financial information from you and evaluate your position. Once we have all of the data we require, we can work out what you can reasonably pay to each month without having nothing to live on.
Speaking to us is entirely cost-free and everything we will advise you of is totally professional and impartial. We will not demand that you take any more steps towards a financial solution after chatting with us, and it will cost you absolutely nothing.
Step 2: Should you opt to carry on moving forward, then we will be designated as your trustee. As soon as we write a proposal we will submit it to your creditors, detailing the way in which assets are going to be taken care of, what monthly repayment you will be able to offer, and exactly how much of the debt owed they can anticipate receiving across the fixed term. In most instances, your house and car will be secure.
Your creditors then have 5 weeks to consider the proposal and settle for or reject the terms. The process can go forward if we do receive objections, as long as they will not form more than a third of the debt you owe – at this point the agreement will have obtained protected status. If creditors do not reply at all, this is thought of as an acknowledgement.
If the proposition is not approved, then there will be additional options available which our team can outline in depth.
Step 3: The trust deed Debt Advice Glasgow will now have received protected status. From this point, any creditors involved in the agreement cannot pressure you with legal repercussions or attempt to get in contact through any medium.
All that you have got to do is deliver your individual cheaper regular monthly payment; we will manage the rest.
Step 4: All going well, after the forty-eight month fixed term you will have paid, meaning than all of the debts that stay will be written off entirely. It is prohibited for the creditors to try to get any more money from you.
From here you’ll be debt free, and will make the most of your financial fresh start.
Advantages of a Trust Deed
- Get back in control of your money by permitting us to transform your spiralling debt into a singular repayment that you can afford.
- When the deal is in place, your existing debt cannot rise any higher – interest and any other fees that could ordinarily be added can no longer be charged.
- Creditors can no longer pressure you with continuous daunting mail and unwanted telephone calls.
- Important assets like your property and car can be protected.
- We will deal with all of the monotonous and complex forms and communications.
- Court action is no longer a choice open to creditors.
- The cost of our services will be taken care of from the money you owe to creditors – there won’t be any upfront costs to you. They are included in the monthly installment, or sometimes the sale of any assets.
- Provided you stick to the arrangement and satisfy each and every payment, after 4 years all of the remaining debt will be completely written off.
- Following a period of time, the record of the arrangement will be wiped off of your credit history, allowing you to restore it and regulate your financial situation much more easily.
Your Assets in a Trust Deed Carstairs
A Trust Deed is a good way to protect your most vital assets, while still being able to pay off your debts due to the flexibility it offers.
Your Home – Unless you choose to do so, it is very unlikely that you will need to sell your house. Our consultants will handle your assets with the intention of making sure you can stay in your house.
Nonetheless, it may be necessary to release some equity (the difference between the market value of the house and the debt to be paid on it) in order to satisfy creditors as part of the contract. The equity, which will have been evaluated at the beginning of the process, might need to be converted into cash as part of the deal, but there are numerous ways to do this without having to lose the property. These methods of protecting your house will be detailed to you by our consultants.
Your Car – It is also unusual to have to forfeit your motor vehicle if you need it for work or for family commitments.
On the other hand, if your vehicle is brand new, or valued at a great deal of money, you might be required to swap it for a less valuable model, which will release some cash to contribute toward your repayments to creditors. If you are in some form of finance agreement to purchase your car, like Hire Purchase, it will be included as part of your necessary expenses.
Again, if the value of the car is excessive, it might have to be reconsidered, but typically we can ensure you hold on to your vehicle.
Find out if you can get a debt solution by getting in contact with one of our consultants now, and let us help you to join the tens of thousands of Scots throughout the country in taking the journey towards a debt free life.