One Million Scots Keep Debts Quiet
December 19, 2013
It’s often said that people can keep feelings and emotions locked up inside and when it comes to the sensitive subject of personal debt, it seems many of us are adopting the same reticent approach.
According to a recent survey on how we handle the stigma of indebtedness, results show that one in 20 people in Scotland are keeping debts of more than £10,000 secret from their nearest and dearest, whilst one in five are keeping smaller debts of around £2,800 hush-hush.
This equates to a total of 1.1 million Scots hiding their financial situation from friends and family.
Unfortunately, this often means that they’re less likely to tackle the issue by speaking with creditors or seeking help from professional debt advisers.
The survey results also highlight how nearly a quarter are hiding debts of between £2,500 and £5,000, and one in ten are concealing between £5,000 and £10,000. Worryingly, 5% are pretending that their debts of £10,000+ don’t exist, effectively sweeping it under the carpet.
A debt advice spokesperson commented:
“The fact that you are keeping the debt secret indicates that you probably couldn’t afford to spend the money in the first place – and if you’ve done it once, you’re likely to do it again. You could very quickly find yourself struggling to repay unmanageable debts that threaten your credit record.”
If your borrowing has led to a secretive debt problem, it’s truly essential to address it as soon as possible. The first step is the toughest one to take but by sharing the problem with a professional debt adviser and with people close to you, you will soon be on the path to financial recovery.
Here at Scotland Debt Solutions, we can help you to create a debt management plan and discuss any suitable debt solutions to help get your finances back on track.
Speaking with your priority creditors is the first step. If they are aware that you’re struggling financially, they may be more open to arranging a payment plan, or giving you more time to repay. Being nervous about sharing the issue or making that call is completely normal, and that’s why our team at Scotland Debt Solutions are on-hand.
Why not call us today, and let us help provide you with the first steps to fixing your finances?
If your credit score has been affected by problem debt, you may be looking for ways to start rebuilding it and getting on with your financial future. Whether you are still struggling with your debt or have entered into an official debt management or insolvency procedure such as a Debt Arrangement Scheme (DAS), Trust Deed […]
If you’re worried that the council might take action against you for non-payment of council tax, entering into a Scottish trust deed can be a beneficial step. It stops legal action by all creditors included in the arrangement, and provides a ‘safe haven’ from which to regain control of your finances. As council tax arrears […]
A debt payment programme (DPP) remains on your credit file for six years, along with other default markers and court judgments that have been made against you. This can seriously affect your ability to borrow for this period of time, and longer. Even if you can secure borrowing, lenders are only likely to offer unfavourable […]
If you owe a debt of £5,000 or less, your creditor may send you a Simple Procedure Notice of Claim. This is a relatively new procedure that was brought in by the Scottish government and commenced on 28th November 2016 – their intention being to make it easier to resolve debt disputes. So if you’ve […]
A Bankruptcy Restriction Order may be made against you if it’s believed that you acted dishonestly, recklessly or unlawfully before you were made bankrupt, or during your bankruptcy. Your Trustee will inform the Accountant in Bankruptcy (AiB), and if their suspicions are upheld, a BRO of 2-15 years can be made depending on the seriousness […]
Debt payment programmes (DPPs) are an intrinsic part of the Debt Arrangement Scheme, which allows you to pay off unsecured debt at an affordable rate. If a debt payment programme is rejected by one or more creditors, the DAS Administrator can apply their discretion on whether to approve the plan, after using a test to […]