A Trust Deed is only available to residents of Scotland. If you are a resident of England, Wales or Northern Ireland, then an IVA is the equivalent legislation.
If you need more information or advice about whether you are eligible for a Trust Deed, call our One Advice advisors on freephone 0800 048 1752 or take the One Advice Debt Test.
A Trust Deed was introduced as a more practical alternative to Bankruptcy (sequestration), and can allow you to regain control of your finances and avoid some of the most serious implications of Bankruptcy, such as losing your home.
A Trust Deed is a formal agreement between you and your creditors. You will be allocated a Trustee who deals with your case, and they will hold a meeting with creditors and arrange how much each party will get.Trust Deeds gets their 'protected' status when they've been accepted by your creditors. They will be bound by the Trust Deed agreement and cannot take any legal action against unless you fail to make the set monthly payments.
When the Trust Deed has been accepted, all you need to do is make the agreed payment towards your debt which will be evenly distributed. A Trust Deed is usually set over 36 months, with any unpaid debt being written off on completion of your agreement.
The monthly payment you make to your Trust Deed is dependant on your financial circumstances. The amount that you pay is calculated after all living expenses and priority debts have been deducted.
What is a Trust Deed? - If you have any questions about Trust Deeds or you feel as though this might be the right debt solution for you, our advisors are on hand to help.
We have advisors dedicated to Trust Deeds and can help you get accepted. Call free on 0800 048 1752.