The Debt Arrangement Scheme (DAS) is one of the debt solutions available for people who are living in Scotland. The best way of describing the DAS solution is that it is a legally binding Debt Management Plan.
In the same way as a Debt Management Plan it allows you to reduce the payments that you make to your unsecured creditors to fit within a budget that you can afford. However the key advantage of the DAS over a DMP is that once agreed your creditors are legally bound by its terms.
This means that after a DAS is agreed your creditors are not allowed to add further interest to your accounts and they cannot take further action against you or your property to collect their debt.
You still have to pay back 100% of the debt you owe however with no interest being added to your balances this will be a lot easier. In addition if you are homeowner you will generally not be obliged to release any of the equity from your home to put towards your unsecured debts.
If you would like help or advice about a Debt Arrangement Scheme please give us a call on 0800 088 7376 or complete the form below to speak to one of our experts
As well as the information found on this website the Accountant in Bankruptcy (the Scottish Government’s Insolvency Service) has also produced two guides to personal debt solutions which you may also find useful: Debtor’s Guide and Debt and the Consequences.
The Money Advice Service (MAS) are an independent service set up by the Government to provide people with free advice about all aspects of personal finances. For help from MAS if you are struggling with debt please follow this link: MAS – Help if you are struggling with debt.
It is also recommended that you read this one page document produced by MAS entitled “Dealing with debt – 5 things you should know”.
More information about the Debt Arrangement Scheme solution is available in the left hand column. However only a brief overview is given here. For more details and advice please see one of our dedicated information websites:
Wilmott Turner is able to advise you on whether or not a Debt Arrangement Scheme is right for you. However we do not currently offer a service to help you implement this debt solution.
If you decide that you want to apply for a DAS we can help by directing you to the appropriate free or commercial DAS service provider depending on your preference. For more information see: Apply for a Debt Arrangement Scheme.