Scotland
Protected Trust Deed
Scotland's equivalent of an IVA — typically four years, with protection from further creditor action.
- Typical term
- Usually 4 years
- Type
- Formal insolvency
- Available in
- Scotland
What it is
A Trust Deed transfers your qualifying debts to a trustee, who collects one affordable payment each month and distributes it. Once it becomes protected, creditors included in it cannot pursue you or add further interest.
Who it tends to suit
- You live in Scotland
- You owe around £5,000 or more
- You can commit to a regular monthly contribution
Benefits
- Fixed, predictable term — commonly four years
- Interest and charges stop once it is protected
- Creditor contact stops
- Remaining qualifying balances are written off at the end
Things to weigh up
- Recorded on the Register of Insolvencies
- Affects your credit file for six years
- Assets of value, including property equity, may need to be taken into account
- Fees apply and come out of your contributions
If you own your home
Equity in your home is assessed at the outset. Options usually include a third-party payment or an extended term instead of a sale.
Not sure this is the right fit?
The finder compares this against every other UK route based on where you live and what you owe.
Compare my optionsMay not be suitable in all circumstances. Fees apply and your credit rating may be affected. Arcadia is an information service — always consider free, independent advice before deciding.