Trust Deed Moffat
A Trust Deed Moffat is a legally-binding arrangement designed to help all those battling debt. It helps you in getting rid of multiple debts to different creditors, through a lower monthly repayment, determined by what you can pay for. If at the conclusion of your arrangement, which usually is set at four years, each of the terms and conditions have been fulfilled and no payments have been missed, then any debt that has yet to be paid off is writted off entirely.
Once we have set up your monthly repayment programme you are protected against lenders. They can’t contact you directly in an attempt to get money, and no longer have the choice to take legal action against you and your family. They can only contact us, and we will relay all appropriate details directly to you. Trust Deeds were developed to aid the tens of thousands of Scots battling with debt to obtain a brand new beginning without having to take the radical step of entering sequestration.
To meet the criteria, you have to live in Scotland (or have resided there within the previous 12 months), have unsecured debts of amounting to more than £5000, and be insolvent (unable to pay back the whole sum you owe).
- Credit Cards
- HMRC Debts
- Store Cards
- Payday Loans
- Unsecured Personal Bank Loan
- Council Tax Arrears
You will also have to pay a regular monthly payment from your salary or assets, that is enough in order to satisfy your creditors. We can determine all of this, however lenders will in general require at minimum a repayment of ten pence on every £1 that are due.
How is a Trust Deed set up?
Due to the fact we will handle the vast majority of the documentation, we make the whole set up process very easy for you.
Step 1: The first thing to do is pick up the phone and give us a call, subsequently our advisers will get to know your financial situation. Afterwards, we can figure out what you are able to reasonably afford to contribute towards your repayments.
All of the advice our consultants will provide is free of charge and sincere. No charges apply, and after you have heard that which we have told you, we will not pressure you to take the process any further should you decide you do not not wish to.
Step 2: In the event that you do opt to advance, debt free life will be appointed to serve as your trustee. From here, we will produce a proposal outlining for your creditors precisely how much you can pay each instalment , and in what way your assets will be managed, and how much in total they can expect to receive across the four years.
All of the creditors included subsequently have 5 weeks to give an answer. As long as any rejections of the proposal that we receive will not surpass a third of the overall amount that you have to pay, then the agreement will go ahead and become protected. If we do not receive a answer from a creditor, we can assume they agree with the plan.
In the unusual event that the conditions of the deal are not approved, our advisers will provide alternate courses of action to help move your financial situation forward for you to consider.
Step 3: Your trust deed Debt Advice Glasgow will now have gained protected status. From this stage, your creditors are unable to threaten you with court action or attempt to get in contact by any means.
All that you are required to do is provide your singular lowered regular monthly repayment; our staff will handle the rest.
Step 4: All going well, after the 4 Year fixed term you’ll have paid, meaning than any of the debts that stay will probably be written off completely. It’s prohibited for its creditors to attempt to take any more money from you.
From here you will be debt free, and will make the most of your financial fresh start.
Advantages of a Trust Deed
- Regain control over your financial situation by letting us convert your unmanageable debts into a single decreased monthly repayment.
- Once you have signed up for the agreement, your existing debt is frozen during the arranged term – no more charges, for instance interest, may be added onto the balance.
- Put an end to creditor harassment; you can stop worrying about the telephone ringing and the letter box opening.
- Safeguard your most crucial assets, like your motor vehicle and home.
- All of the actual complex administrative stuff is handled by our team.
- Creditors cannot attempt legal action to get money from you.
- There will be zero additional fees for our expert services, they are ordinarily included in your monthly installment, or may sometimesbe taken from from the liquidation of any appropriate assets.
- After all installments are actually met, usually after around 48 months, all remaining money owed to creditors taking part in the agreement are wiped off.
- After a fixed term, your credit rating will be reset, giving you more flexibility to manage your finances from then on.
Your Assets in a Trust Deed Moffat
When matched against other debt solutions, a Trust Deed can be a fantastic way of safeguarding your most critical assets while addressing your debt.
Your Home – If you don’t actively want to, it is incredibly rare that your house is required to be liquidated. Our staff will always hold your assets as a priority, ensuring you can stay in your house.
Nonetheless, sometimes you could be required to realise some equity (for instance, the value of a property that has a mortgage minus any charges against it) to acquire the support of creditors. Any equity open to you will have been estimated soon after you reach out to us. It might have to be converted into cash, or ‘realised’, but there are many techniques of achieving this without you having to lose your home. These methods will be described simply but in depth by our experienced specialists.
Your Car – If your vehicle is vital to your day-to-day needs, it is improbable that you will lose it.
However, if the motor vehicle is of great value you might need to swap it in for an older or more moderate version. This will allow more money that can go to creditors, so that you can have an agreeable proposal. If you are utilising a Hire Purchase or some other type of financial arrangement to obtain your vehicle, then this will be taken as part of your necessary monthly expenses.
Again, if the motor vehicle you are ‘paying up’ is expensive, then this cost may have to be reconsidered.
See whether you are eligible for a debt solution by getting in touch with one of our advisers now, and let us help you to join the tens of thousands of Scots across the nation in taking the journey towards a debt free life.