What can I do about my debts?

There are a number of options available to you. Your money adviser / local CAB adviser will explain all of the options which are best suited to your specific circumstances.

The options open to you include:

  • Enter into a debt management plan with your creditor – this is an informal arrangement with your creditor which allows you to pay your debts over a period of time which is acceptable to both parties.
  • Create a debt arrangement scheme – run by the Scottish Government, this scheme can give you time to pay off multiple creditors, whilst protecting your assets.
  • You can enter into a trust deed – this is formal arrangement between you and an insolvency practitoner. He or she will become your trustee. The trustee is there for the benefit of your creditors and he/she will use contributions from your income and/or sale of your assets to repay some of what you owe.
  • You can apply to the Accountant in Bankruptcy to make yourself bankrupt (sometimes referred to as sequestration, in Scotland) – this is a very serious matter and it can have a number of significant consequences and you should seek legal advice before going down this route.