Trust Deeds explained
A Trust deed is a debt solution for Scottish residents only. People who choose this method could be debt free in just 36 months and there is no court process but it IS legally binding. It is less expensive than declaring yourself bankrupt and all creditors are prevented from taking any further action against you when the Trust Deed is protected.
Advantages
· Payments are arranged so that they are fair, based on the persons budget #
· The Trustee (or Insolvency Practitioner) deals with the creditors, therefore there is no more phone calls or demands for money
· A trust deed lasts for only 3 years
· There is only one fixed monthly payment
Disadvantages
· Any equity from property must be released to help pay the debt, however it doesn't have to be sold
· Creditors can vote against the Trust Deed being protected
· Getting credit after a Trust Deed may be difficult
There is no minimum level of debt to take out a Trust Deed, however it is generally suited to those with debts of over £8,000.
A Trust deed is a debt solution for Scottish residents only. People who choose this method could be debt free in just 36 months and there is no court process but it IS legally binding. It is less expensive than declaring yourself bankrupt and all creditors are prevented from taking any further action against you when the Trust Deed is protected.
Advantages
· Payments are arranged so that they are fair, based on the persons budget #
· The Trustee (or Insolvency Practitioner) deals with the creditors, therefore there is no more phone calls or demands for money
· A trust deed lasts for only 3 years
· There is only one fixed monthly payment
Disadvantages
· Any equity from property must be released to help pay the debt, however it doesn't have to be sold
· Creditors can vote against the Trust Deed being protected
· Getting credit after a Trust Deed may be difficult
There is no minimum level of debt to take out a Trust Deed, however it is generally suited to those with debts of over £8,000.