Trust Deed Thornhill
Developed by the Scottish government to aid those battling to keep their debt in check, a Trust Deed Thornhill is a formal insolvency agreement which enables you to transfer a number of outstanding debts into one decreased monthly payment plan. The arrangement occurs over a fixed period, typically four years, after which all remaining debt will be wiped out presuming all conditions have been met.
After we have put in place your regular repayment plan you will be protected against lenders. They can’t contact you directly pressuring for money, and no longer have the choice to take court action against you and your family. Your creditors just contact us, and we will communicate all relevant information directly to you. Trust Deeds were created to help the tens of thousands of Scots dealing with with debt to find a fresh beginning without needing to consider the severe action of entering sequestration.
To meet the criteria, you must live in Scotland (or have resided there within the last 12 months), have unsecured debt of amounting to more than £5000, and be insolvent (unable to repay the entire sum owed).
- Credit Cards
- HMRC Debts
- Store Cards
- Payday Loans
- Unsecured Personal Bank Loan
- Council Tax Arrears
You will also need to contribute a monthly payment from your income or assets, that is enough to satisfy your creditors. We can confirm all of this, although lenders will generally need at minimum a settlement of 10p on every £1 that were owed.
How is a Trust Deed set up?
The process of getting everything organised with our business is a sequence basic, manageable steps.
Step 1: When you get in touch with our business we will look into your financial situation and familiarise ourselves with the situation you are in. Once we are familiar with your financial condition we will work out you can reasonably pay every monthly installment without allowing you to continue to struggle.
Advice from us costs nothing and is impartial. There is zero-obligation to take any further steps towards a debt solution subsequent to consultation, and no fees apply.
Step 2: In the case where you choose to carry on, we will become your official trustee. We will offer the proposal to your creditors, outlining the way in which assets are going to be dealt with (your property and motor vehicle are secure generally), and tell them how much of your debt you owe that they can be prepared to acquire over the agreed fixed term.
Your creditors then have five weeks to accept the plan. If any objections we receive will not meet or exceed a third of the total of the debt you owe, then the solution will go ahead – reaching protected status. If creditors never respond to the proposition it is assumed that they have accepted the conditions.If the proposal fails during this period then we can provide alternative monetary advice on how is best to move forward.
Step 3: After your trust deed Debt Advice Glasgow has gained protected status, creditors cannot burden you with telephone calls or constant letters. In addition, you are shielded against any legal consequences.
This will continue to be so as long as you continue to make your lowered monthly installments, as per the terms of the settlement.
Step 4: In the event you have met all of the agreed obligations, then after the agreed term all outstanding debt will be wiped out. It isstrictly illegal for any of the creditors active in the agreement to attempt to get any more cash from you.
With zero remaining debt, you can start to appreciate your debt free life!
Advantages of a Trust Deed
- We are able to transform your current unmanageable debts into a practical individual repayment, based on what you can afford to pay for.
- All fees and rates of interest that would normally raise your debt balance will be stopped.
- The strain of endless unwanted phone calls and frightening letters will be gone – is illegal for creditors to try and reach you directly.
- Most likely, it will be possible to hold on to your car and stay in your house.
- The boring forms and admin stuff is up to us, you can just focus on making the repayments.
- The threat of court repercussions will be gone altogether.
- Any fees that are connected with our services will be obtained out of the regular monthly payment or from any of your assets which might be sold – there will be no initial cost.
- All of the debt that remains unpaid throughout the four years, in other words as much as eight tenths of the initial total, will be written off.
- The procedure gives you the opportunity to reset your credit score and to build up from there, instead of allowing it to continue to drop as you battle to meet the monthly payments.
Your Assets in a Trust Deed Thornhill
Trust Deeds are an effective way of getting back in control of your financial situation and eliminating debt without putting your car and house in danger.
Your Home – Although selling your property is an option some individuals prefer to go for, nonetheless it remains extremely unlikely that you will have to. A major priority of our staff when negotiating your money is to help you and your family to stay in your home.
Nonetheless, in order to satisfy creditors so that the process can move ahead, you may need to release some equity on your home. The equity available to you will have been outlined to you at the outset of our chats. It may well be key to the arrangement going ahead, but will not require you to sell your house. All of this and the variousapproaches concerned will be explained in greater detail by our staff.
Your Car – If your vehicle is a vital element of your way of life, possibly for work or obligations to family members, then it is highly unlikely you’ll need to give it up.
In situations where the car involved is of great value, possibly because it is brand new, then you might have to trade it in for an older or less expensive model in order to give you access to more cash to satisfy your creditors. If you pay for your car by using a finance agreement, then this will be factored in as we are calculating your essential monthly costs.
If your bills towards it are extreme then changes might have to be made, however it is very likely you will be able to keep your car.
Check if you are eligible for a debt solution by getting having a chat with one of our advisers today, and let us help you by joining tens of thousands of Scots across the country in taking the journey towards a debt free life.