Trust Deed Langholm

Established by the Scottish government to support those struggling to keep their debt manaegable, a Trust Deed Langholm is a formal financial agreement which permits you to transform numerous outstanding debts into one lowered monthly instalment plan. The plan takes place across a set interval, normally four years, at the end of which any remaining debts will be wiped out assuming all terms have been met.

Trust Deed Langholm

When your repayment plan is set up and becomes ‘protected’ we will put an end to creditor harassment. They are unable to pressure you with legal actions, and, every time they need to contact you, they must go through us. This means an end to undesired telephone calls and threatening letters demanding money from you. Trust Deeds exist to assist the tens of thousands of Scots throughout the country who have found themselves struggling against financial problems to work towards a fresh beginning – without having to apply for the more excessive measure of filing for bankruptcy.

To qualify, you have to live in Scotland (or have resided there inside the previous 12 months), have unsecured debts of over £5000, and be insolvent (unable to repay the whole amount of money you owe).

  • Payday Loans
  • Store Cards
  • Overdrafts
  • Council Tax Arrears
  • Credit Cards
  • HMRC Debts
  • Unsecured Personal Bank Loan

We’ll also need to work out if it’s possible for you to pay a monthly repayment that suits creditors, generally through assets or income. This usually requires the capability to repay at least 10 pence on the pound of the full amount owed

How is a Trust Deed set up?

The entire process of getting everything arranged with our business is a series simple and easy, achievable steps.

Step 1: After you get in touch with our company we will investigate your financial situation and get an idea of your circumstances. Once we are familiar with your situation we will figure out what you could realistically contribute each month without allowing you to continue having difficulties.

Advice from us is free and impartial. There is zero-obligation to take any more steps towards a debt solution after consultation, and no charges apply.

Step 2: Should you choose to move forward, we will become your official trustee. We will offer the proposal to your creditors, detailing how your assets are going to be dealt with (your house and vehicle are secure generally), and make them aware of how much of your debt you owe that they can expect to receive 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 will not go beyond one third of the value of the money you owe, then the solution can go forward – earning protected status. If creditors will not reply to the proposal the assumption is that they have accepted the conditions.

Should the proposal fail at this stage then we can offer alternate financial advice on how is best to move ahead.

Step 3: After your trust deed Debt Advice Glasgow has achieved protected status, creditors cannot bother you with telephone calls or constant mail. You are also safe from any legal consequences.

This will continue to be the case as long as you keep delivering your your lowered monthly repayments, as per the conditions of the arrangement.

Step 4: Provided you do meet all of the agreed obligations, then after the 48 months all remaining debt will be wiped out. It isstrictly illegal for any creditor included in the agreement to try and extort any more cash from you.

With zero remaining debt, you can start to enjoy your debt free life!

Advantages of a Trust Deed

  • We will be able to transfer your current unmanageable debts into a practical single payment, contingent on what you can afford.
  • All fees, charges and rates of interest which would otherwise increase your debt balance will be stopped.
  • The strain of frequent unwanted telephone calls and demanding letters will disappear – will be illegal for creditors to try and get hold of you directly.
  • Normally, you will be able to hold on to your motor vehicle and stay in your own home.
  • The dull paperwork and administrative stuff is up to us, you can just focus on making the repayments.
  • The risk of legal repercussions will be gone completely.
  • Any charges that apply for our services will be taken from your regular monthly installment or from any assets which might be sold – there will be 0 upfront cost.
  • All of the debt that is not paid off during the four years, put simply, as much as eight tenths of the initial total, will be cancelled.
  • The process offers you a chance to reset your credit rating and to rebuild from that point, rather than letting it continue to drop as you struggle to meet the minimum monthly payments.

Your Assets in a Trust Deed Langholm

When compared with some other debt solutions, a Trust Deed is a fantastic means of safeguarding your most crucial assets while dealing with your financial troubles.

Your Home – If you don’t actively desire to, it is incredibly rare that your home will need to be sold. Our staff will always hold your assets as a priority, ensuring you will be able to stay in your home.

However, sometimes you may be required to realise some equity (for example, the worth of a property that has a mortgage minus any charges towards it) to acheive the support of creditors. Any equity available will have been determined when you reach out to us. It might have to be transformed into cash, or ‘realised’, but there are many tactics of accomplishing this without you having to lose your home. These methods will be outlined simply but in depth by our knowledgeable specialists.

Your Car – If your motor vehicle is crucial for your everyday needs, it is unlikely that you will lose it.

However, if the car is of significant value you may need to trade it in for an earlier or more modest model. This will allow more revenue to go to your creditors, so that you can have an agreeable proposition. If you are employing a Hire Purchase or any other kind of finance contract to own your motore vehicle, then it will be considered as part of your necessary monthly expenses.

Again, in the event the vehicle you are ‘paying up’ is expensive, then this expense may need to be reconsidered.