Personal debt is something which becomes a real problem if you are not able to repay them in the given time. There are times when you face sequestration and that are almost the end of the road for you. If you are a resident of Scotland then there is a way out. Scottish Trust Deed is one way to get out of this problem. The trust deeds Scotland are known to help people in this way for a long time now. The main reason why it is so popular is because it helps to pay off the debts in the simplest way possible. There are several advantages of Scottish trust deeds. They are as follows:
- The people from whom you have taken credit would not be able to undertake the law suit in order to recover the outstanding debts.
- The interest and credit charges for your full debt amount get frozen once you apply for this trust deed.
- The relation to this agreement becomes legally binding and this comes into play once you do not have much money to pay off. It would not go over 33 percent of the total amount which you are outstanding to the creditor.
- There will be a review of the credit score on a half yearly basis so that you understand your current position and what amount is still outstanding.
The cost of getting such a trust deed varies according to the amount of debt which you are in. Suppose if you have a small amount of deed and the amount is repaid in the first instance then you may have to pay the trustee fees. If the amount is huge and the condition is appalling then you may not have to pay the fees. But once the value of your house increases you will have to pay the fees from the difference in the rates.