More Scots Entering Official Debt Solutions to Address Financial Woes
January 26, 2017
The number of people living in Scotland who either became insolvent or entered a Debt Arrangement Scheme (DAS) increased during the final three months of last year.
According to official figures on the subject published by the Accountant in Bankruptcy (AiB), there was a 1.9 per cent rise in the number of people who used some form of debt solution in Scotland during the quarter as compared with the previous three months.
The three debt solutions being tallied up by the AiB are bankruptcy, protected trust deeds and government-backed Debt Arrangement Schemes, with only the first two counted as being an official form of insolvency.
A total of 1,116 bankruptcies, 1,500 protected trust deeds and 529 new DAS were recorded as having been initiated during what the AiB refers to as being the third quarter of the year 2016-17.
Roughly £9.6 million was apparently repaid to creditors via DAS during the quarter, with more than 400 people becoming completely debt free after completing their DAS during that same period.
The number of completed DAS jumped by as much as 30 per cent during the quarter, as compared with the same period in 2015.
Representatives of the Scottish government have said that the AiB’s latest figures point to a steadying in the numbers of people who are facing serious financial problems and debt crises around the country.
“While one person experiencing the distress and anxiety of insolvency is one too many, numbers appear to be settling down at a lower level than they have been in previous years,” said Paul Wheelhouse, Scotland’s minister for business, energy and innovation.
“However, there is no room for complacency. The Scottish government will continue to do everything it can to bring prosperity to Scotland and protect the most financially vulnerable through support for financial education and providing access to debt relief and debt management for those who need it.”
If you live in Scotland and are finding it difficult to cope with your financial problems or pressures from your creditors then Scotland Debt Solutions can help. Contact any of our offices to arrange a free and confidential consultation.
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