Personal Debt Articles

How can I tell my partner I’m in debt?

19th December 2018

Being in debt can be a huge burden that affects every part of your life, but one of the most difficult aspects is when you’re in a relationship, as it can be very difficult to tell your partner about your debts. According to research by relationship charity, Relate, one in seven adults in Great Britain […]

Moving abroad to escape unpaid debts – what happens?

4th June 2018

If you are drowning with unmanageable debt, you may be tempted to try and escape this for good by leaving the country. You may be considering a move abroad for other reasons, such as to be closer to family or for better employment opportunities. However, does moving abroad mean your creditors can no longer chase […]

What is a charge for payment in Scotland?

22nd May 2018

If you have been struggling with debt and have found yourself unable to make the required payments to your creditors, you may eventually be in the position where you creditors look to take further action against you to recover the money you owe. If this is the case, they may ask a sheriff officer to […]

What Scottish individuals need to know about diligence and debts

12th May 2018

Diligence is the technical term for enforcement and comes in many forms. Diligence can only be used following court action and is therefore the result of a lengthy recovery campaign on the part of the creditor. Before any type of diligence can be actioned, creditors must have formally requested payment in writing; this is known […]

Advice for individuals being chased by debt recovery companies – what are your rights?

9th May 2018

If you are one of the thousands of Scottish people who are struggling with problem debts, you may have also been faced with debt collection agencies chasing you for payment. If this is the case, knowing what your legal rights and options are can make the whole process much less worrying. Why are debt collection agencies contacting […]

What is the ‘simple procedure’ process in Scotland?

2nd May 2018

Should a creditor decide to take court action against you to recoup the money they are owed they may do this through what is known as the ‘simple procedure’. This process is a civil legal procedure which can only be used for debts under £5,000 and is only available in Scotland. How do I know […]

What are the best options for me based on my level of debt?

26th April 2018

When it comes to debt, there is not a one size fits all solution; what may be suitable for one individual may be completely inappropriate for someone else. In Scotland there are three main solutions all of which can help indebted individuals take control of their financial issues and start planning for a debt-free future. […]

How can I apply for bankruptcy in Scotland?

3rd January 2018

If you’re in serious debt with no hope of repaying your unsecured creditors, you don’t have to wait for a creditor to take legal action against you. You may be able to take matters into your own hands and apply for sequestration (bankruptcy in Scotland). This also prevents your situation from worsening. There are two […]

How can I deal with aggressive debt collectors?

10th November 2017

Dealing with debt collectors can be a highly stressful experience, but when they’re aggressive in their techniques, how do you deal with it? Strict regulations surround the collection of debts, and it’s against the law for debt collectors to act aggressively, intimidate or bully, or intimate they can carry out certain enforcement actions when in […]

Which creditor takes priority when repaying debts?

10th October 2017

When you owe money to a number of different creditors, it can be difficult to know who should take priority. To clarify which debts should be paid first, consider the consequences of failing to pay each one. A good example is your rent or mortgage payments – failing to pay these could result in the […]

How long does a trust deed last in Scotland?

25th September 2017

Scottish trust deeds offer a way out from serious debt, and the chance to rebuild your financial life once the trust deed term has ended. They’re a debt solution that’s only available to residents of Scotland, and generally last for four years although there are certain factors that can affect this length of time. One […]

Can I file for sequestration if a debt collection agency is chasing me?

25th September 2017

If you’re filing for sequestration, you’ve probably been pursued by creditors or debt collection agencies for some time, and may view bankruptcy as the best way out of serious debt. When a debt collection agency is chasing you, it doesn’t stop you filing for sequestration, but it doesn’t necessarily mean they have to stop in […]

How to avoid Scottish Pawnbrokers and selling off your prized possessions

21st September 2017

Using the services of a pawnbroker may be tempting if you need cash urgently and cannot obtain credit, don’t have a bank account, or are facing serious debt. But it may not be the best way to deal with the situation. As experienced and reliable insolvency practitioners, we can help you avoid using pawnbrokers and […]

What is a Money Adviser in Scotland?

13th September 2017

When you’re in debt and don’t know which way to turn, obtaining reliable and up-to-date advice is crucial. As a resident of Scotland you have access to approved local authority money advisers, and reputable money charities, to guide you and help escape the debt spiral. Approved money advisers in Scotland ensure you choose the best […]

What happens after you are discharged from sequestration (bankruptcy)?

4th September 2017

Being discharged from sequestration represents a key moment in becoming debt-free, and signifies the beginning of an improved financial situation. The sequestration process may appear to be relatively short at 12 months when compared with other official debt relief procedures, but it doesn’t necessarily mean the end of your obligations at this time. Your Trustee […]

Your options when you cannot afford high property factoring fees in Scotland

25th August 2017

High factoring fees are placing an increasing financial strain on many property owners in Scotland, with some property factoring companies being criticised for huge price rises for what is often only essential basic maintenance and insurance. The purpose of a factor is to carry out ongoing maintenance, cleaning, and servicing of communal areas in property […]

What if I can no longer afford my car lease?

25th August 2017

The car finance market is currently under investigation by regulators, as fears grow that it could become the next ‘debt bubble.’ The problem is that personal contract purchase (PCP) and hire purchase (HP) car financing agreements require little in the way of an initial deposit, and can be easily obtained by consumers posing a high […]

Gambling addiction – what help is available in Scotland?

25th August 2017

Because it’s highly addictive, gambling on even a small scale can turn into an addiction that takes over your life. The fact that it’s also easily accessible online now only serves to exacerbate this growing problem. So if you recognise that gambling has become an addiction, either for yourself, a friend, or a family member, […]

What is the time limit for recovering debt? Can it be written off?

8th August 2017

Certain time limits exist for creditors to take action against people who owe them money, before the debt becomes what is known as ‘statute barred.’ This timescale depends on the type of debt owed, and the action taken by the creditor. The Prescription and Limitation (Scotland) Act, 1973, sets out the regulations about when a […]

Personal Debt – What action can your creditors take against you?

8th August 2017

If you’re struggling to repay personal debt, it’s important that you know the steps that creditors can take to recover their money. It will help you prepare for the inevitable threatening letters, and more serious enforcement measures a creditor might take. Enforcement action in Scotland is known as ‘diligence.’ One of the main aspects of […]

How to prioritise your debts to ensure you pay them off sooner and minimise interest

7th August 2017

The amount of interest you pay on your borrowing is often the element that makes it unmanageable at some point. When you miss a payment, you are charged interest on the amount outstanding, plus a fee for being in arrears. These can be significant amounts for anyone to pay, but if you’re already struggling to […]

Austerity Blamed As More Scots Turn to Debt Solutions

27th July 2017

Government policies and austerity measures have been blamed in part for forcing more and more Scots into the position of requiring debt solutions. Paul Wheelhouse, who is a Scottish parliament member and minister for business, innovation and energy, has pinpointed austerity policies as a source of financial problems for many indebted consumers across the country. […]

How Do You Know if You Qualify for an IVA?

17th July 2017

Guest article written by William Berry; an experienced personal debt adviser and Director at www.IVA.co.uk. For information on how IVAs work in Scotland, there is a similar process called a Trust Deed If you have unmanageable debt, an Individual Voluntary Arrangement (IVA) helps you repay as much money as possible to creditors over an extended […]

What happens if you lie on credit card applications to obtain credit?

6th July 2017

When credit card companies make a decision about you as a potential customer, they use the information on the application form to assess your credit-worthiness, and establish the most appropriate level of credit to offer. This type of information includes your employment position, incomings and outgoings, and your previous history of debt repayment. They will […]

Car Insurance Premiums Accelerating Well Ahead of Inflation

27th June 2017

The average premium paid by car insurance policy holders increased by an average of 16.6 per cent in Scotland last year, according to a new set of figures. Research by Consumer Intelligence suggests that the average car driver in Scotland paid £474 during the year to May 2017, which represents a notable rise from the […]

UK’s Personal Debt Mountain Grew Again in May

27th June 2017

The overall scale of personal debts held by UK consumers were growing at an annualised pace of 5.1 per cent during the month of May. That figure reflects a slowdown in the pace of growth of Britain’s personal debts but still represents a sizable increase in the overall scale of arrears owed to creditors throughout […]

Friends and Families Urged to Look Out Loved Ones Struggling with Debt

21st June 2017

People around the UK have been urged to be on the lookout for warning signs that their friends and family members might be struggling with debt problems. The Money Advice Service (MAS) has conducted research that suggests roughly one in six British adults are at risk of falling into a debt crisis and the organisation […]

How to make an offer of Full and Final Settlement to your creditors

20th June 2017

When you’re in a situation where debts are spiralling out of control and you want to prevent the situation worsening, one option is to make a ‘full and final settlement’ offer to your creditors. This means that you have to use a lump sum of cash to repay a proportion of your debt, with the […]

Unsecured Debt Levels Forecast to Go Beyond Pre-crisis Peak

31st May 2017

The average level of unsecured household debt in Britain will soon exceed the record levels of 2007 and before the financial crisis that devastated economies around the world. That’s according to newly published analysis by the Trades Union Congress (TUC), which has concerns about what it calls a “living standards crisis” affecting families and individual […]

Young Brits ‘Need More Lessons in Financial Management’

17th May 2017

Most adults across Britain received no advice on how to handle their personal finances while they were in school or at college. That’s according to a study looking into the extent to which children and young adults around the country are being supported in understanding how best to manage their money as they go through […]

Why Scottish individuals should be wary of unregulated debt advice

11th May 2017

As part of Scotland’s Financial Health Service, Scottish people in debt are obliged to obtain advice from an approved money advisor prior to entering insolvency processes such as the Debt Arrangement Scheme (DAS) or a Scottish Trust Deed. Cases have been reported in the press, however, where unregulated debt advisors are encouraging Scottish residents to […]

New Rules Could Limit Scale of Bank Overdraft Charges

24th April 2017

A new set of rules soon to come before the UK parliament could see banks forced to limit the scale of their overdraft charges. The Labour MP Rachel Reeves is intending to present a bill before parliament on Tuesday April 25th that will give regulators at the Financial Conduct Authority (FCA) powers to limit the […]

Third of Brits ‘Reliant on Debt to Make Ends Meet’

22nd March 2017

As many as one in three UK consumers consider themselves to be reliant on debt and credit to get by financially on a month to month basis. That’s according to new figures released by the price comparison company MoneySuperMarket, which has noted a substantial rise in overall indebtedness throughout the country. The numbers show that […]

What happens when a creditor takes me to court in Scotland?

22nd March 2017

If a creditor is taking you to court in Scotland, the initial notification will be a writ or summons. This document should include details of your creditor, the amount owed, name of the court, and what the sheriff has been requested to do. You need to respond by the date specified in the summons or […]

What are the alternatives to formal debt solutions such as DAS, Trust Deed and Sequestration?

22nd March 2017

When you are in financial difficulty and need to find a solution to your debt problems, there are various formal routes that remove the stress of creditor legal action, and help you get back on the right path. But you may also be able to help yourself without having to make a formal arrangement such […]

19 Million Brits ‘Just About Managing at Best’

15th February 2017

As many as 19 million British people are living on inadequate or barely adequate incomes and can be described as “just about managing at best” from a personal finance perspective. That’s according to a new report released by the Joseph Rowntree Foundation (JRF), a social policy research charity, which has aimed to highlight the financial […]

Can I use money from my pension to pay debts?

13th February 2017

New pension regulations introduced in 2015 completely changed the way you can access your pension, and opened up what was previously a limited range of options. Some people choose to pay off debt with their pension, but is this wise when there are other ways that could help? Apart from the fact that most pension […]

Diligence against earnings – Information for Scots in debt

10th February 2017

Diligence against earnings is a collective term for the ways creditors can deduct money directly from your salary in order to enforce the payment of a debt. The three methods are: earnings arrestment, current maintenance arrestment and conjoined arrestment orders. Earnings Arrestment (EA) – This is the most common type of arrestment order in Scotland. Earnings arrestment is […]

What is money attachment in Scotland?

10th February 2017

Money attachment allows a creditor to ‘attach’ (seize) money which is located in a premises owned by the debtor. Money attachment can only be carried out following a decree issued by the courts. Following this, a creditor may then instruct a Sheriff Officer to search business premises and seize money to satisfy the outstanding debt. […]

Study Highlights ‘Transformative Impact’ of Debt Advice

24th January 2017

Getting advice on how to handle your financial problems can have a transformative impact on your life if you’re struggling to cope with the pressures of indebtedness. That’s according to research conducted by the Money Advice Service (MAS), which has been investigating the difference that reaching out for debt help can have on individuals and […]

Average British Household ‘Almost £13,000 in Debt’

9th January 2017

British households have an average of close to £13,000 in debts outstanding even before their mortgages are counted into the equation. That’s according to the Trades Union Congress (TUC), which has been assessing official figures compiled by the Office for National Statistics (ONS). The ONS recently revealed that the collective scale of unsecured debts held […]

Practical steps to help take control of your personal debts

5th December 2016

Taking control of mounting debt can seem impossible at first, but there are actions you can take that will help you escape the debt spiral before it’s too late. Whether an unfortunate life event has caused your financial situation, or you simply spent too much on credit and can’t afford to repay, here are some […]

17 Signs you’re struggling to cope with personal debt and need to take action

2nd December 2016

Debt seems to be a way of modern day life. For some things in life, such as buying a home or paying for a university education, taking on debt and paying this off in instalments may be the only way of being able to afford some things. However there comes a time when taking on […]

Is there a link between personal debt and mental health?

8th November 2016

Problem debt does not happen overnight. What may start as a niggling worry over how you are going to meet your next monthly payment, can quickly escalate into sleepless nights, and unfortunately for some, an eventual spiral into ill-health as your debt snowballs out of control. The reason for this is that problem debt affects […]

How to plan financially for Christmas when money is short

14th September 2016

Christmas can be stressful for all of us, but particularly so if you are short of money and have a limited budget for presents and celebrations. Making the money stretch can be very difficult, but you can plan ahead to make the most of the New Year sales. If you follow our tips for budgeting […]

How do I calculate my monthly living expenses?

14th September 2016

If you’ve entered into a Scottish Trust Deed or other personal insolvency procedure, and are worried about how you’re going to manage the bills, making a budget is one of the most important steps to take. Although it takes a little time and effort, once finished it will make everything much easier to manage, and […]

Debts in Scotland – What is a decree?

13th September 2016

A decree is a ‘money judgement’ issued by the sheriff courts in Scotland, and is the same as a County Court Judgement (CCJ) in England and Wales. It is an order to pay the amount claimed by a creditor, and the total may include additional interest and expenses of the court. Details of all small […]

How are my personal debts affected by the interest rates cut?

12th September 2016

The Bank of England cut interest rates to 0.25% in August 2016, a move welcomed by many consumers. New borrowers may be able to obtain finance on a cheaper monthly basis, but what does this mean for you and your existing personal debts? Secured borrowing – your mortgage If you have a mortgage, you could […]

Numbers Seeking Help with Debt Problems ‘At Record High’

8th September 2016

The number of people seeking help in dealing with their personal debt problems reached a record high in the first half of 2016. That’s according to the debt help charity StepChange, which has revealed that more people called its advisors for guidance between January and the end of June this year than has ever been […]

Personal Debts are a ‘Heavy Burden’ for a Third of Young Adults

7th September 2016

Personal debts are a “heavy burden” for 32 per cent of 18 to 24 year olds around the UK, according to recent research. A study carried out on behalf of the Money Advice Trust has found that credit card arrears and other forms of personal debt are a source of real concern for many thousands […]

What items can sheriff officers take from my home or business?

4th August 2016

Sheriff officers have certain powers of enforcement when collecting debt. If your creditor has made several unsuccessful attempts to recoup their money, they may seek the services of a sheriff officer to remove goods from your home and/or business premises. This is done with a view to selling the goods at auction in order to […]

Plans to Protect Vulnerable Energy Users ‘Don’t Go Far Enough’

3rd August 2016

Plans for reform outlined by the UK’s energy industry regulator Ofgem don’t go far enough in protecting the most vulnerable consumers and households around the country. That’s according to Ed Kamm, UK managing director of First Utility, who is concerned that many of the poorest people in Britain will continue paying far more than they […]

I have multiple debts; which one should I pay first?

2nd August 2016

It can be overwhelming when you owe money to more than one creditor, and can’t decide what to do next. Although at first you might have thought it best to pay off your debts in full, one by one, there comes a time when you need to take a different approach and look at your […]

Understanding defaulted bank loans and what happens if you default

29th July 2016

What happens when you default on a bank loan largely depends on whether the loan is secured or unsecured. Secured loans mean that you have provided security in the event of default, usually in the form of property or a vehicle. This security allows the bank to take possession if you fail to keep up […]

Advice for sole traders in Scotland struggling with business cash flow problems

29th July 2016

Being a sole trader can feel like a lonely existence, even when business is good. You make all the decisions yourself, and have to rely on your own judgement to make the business a success. When cash flow becomes an issue and you can’t regain control, it can turn into a serious situation. Even if […]

Scotland’s Personal Insolvency Rates Are Up But Trending Downward, Says AiB

28th July 2016

The number of Scots who entered a form of personal insolvency during the three months to the end of June were up by 7.8 per cent as compared with the previous quarter. However, the broader pattern in terms of the number of Scots entering either bankruptcy or a protected trust deed in recent quarters is […]

Homelessness Levels Down Across Scotland

29th June 2016

The number of people who were recorded as being officially homeless fell across Scotland over the course of the year 2015/16. According to the latest data on the subject, there were 28,000 cases of people being homeless or threatened with homelessness during the year, which represents a 5 per cent decline on the previous 12 […]

What happens if my circumstances change during a personal insolvency procedure?

25th June 2016

If you have entered a personal insolvency procedure and your circumstances have altered, you may be wondering if the terms of that procedure can be changed. The terms and conditions of individual insolvency procedures state what happens in those circumstances, but it is often the case that amendments are allowable to the original repayment plan. […]

Student Debt in Scotland Rising Faster Than Anywhere Else in the UK

20th June 2016

Debt levels among students are rising at a faster pace in Scotland than in any other part of the UK, according to official new figures. The total amounts being owed by Scottish students remains lower than in other parts of the country but there are concerns that the growing financial burden associated with studying in […]

Debt Issues Leaving Young Brits Facing Uphill Struggles

18th May 2016

The scope of financial problems with which young Brits are finding themselves saddled continues to grow and unsecured debt is a key part of the picture. That’s according to the charity group Citizens Advice, whose figures shed light on just how difficult it can be for young people throughout the country to deal with debt […]

Over-indebtedness ‘Massive Problem’ Among UK’s Students, Self-Employed and Low Earners

11th May 2016

The issue of over-indebtedness among students, self-employed people and low earners around the UK is a massive problem for British society. That’s according to the Association of Chartered Certified Accountants (ACCA), which has published a report in recent days calling for action to be taken to help people in these categories to manage their finances […]

What is an earnings arrestment?

11th May 2016

An Earnings Arrestment Order (EAO) is a form of ‘diligence’ that can be taken against you by a creditor. Diligence procedures are permitted once the creditor has been granted an appropriate court order, and earnings arrestment is just one of several measures they can take. It will have been preceded by various attempts to collect […]

PPI claims Scotland

11th May 2016

If you have taken out a loan or signed up for a new credit card within the last 10 years, it’s possible that you were incorrectly sold Payment Protection Insurance (PPI) at the same time. Scotland Debt Solutions deals with Scottish PPI claims on a no win, no fee basis, so making a claim with […]

What is moratorium on diligence or moratorium protection?

8th May 2016

If you finding it difficult to repay one or more of your creditors, and need more time to consider your options without the threat of legal action, you can now apply to the Accountant in Bankruptcy (AiB) for what is known as a moratorium on creditor diligence. This effectively stops creditor action against you for […]

Can Sheriff Officers legally enter my home?

11th April 2016

Sheriff officers may become involved in the collection of your debt if the original creditor has made several unsuccessful attempts to recover their money, and gone on to obtain a court order against you. They have the right to enforce this order only in relation to the debt specified, and in the majority of cases […]

What is a Notice of Assignment?

7th April 2016

A Notice of Assignment is used to inform debtors that a third party has ‘purchased’ their debt. The new company (assignee) takes over collection procedures, but can sometimes hire a debt collection agency to recover the money on their behalf. There are two types of debt assignment: Legal Assignment Equitable Assignment If a Legal Assignment […]

What does ‘Goods viewed for Potential Removal’ mean?

6th April 2016

Part of the debt enforcement procedure in Scotland involves the sending out of official enforcement notices to debtors. An enforcement notice can be sent by post, email or fax, or be delivered by hand by bailiffs. The notice provides the debtor with seven days in which to pay the full amount of debt outstanding, or […]

Fears Raised Over Scots’ Finances After Jump in Value of Court Ordered Debt Repayments

11th February 2016

Concerns have been raised about the ability of Scottish consumers to manage their finances and avoid serious problems relating to personal debts. The issue has been highlighted by the Registry Trust, whose own figures show that there was a significant increase in the value of consumer debt-related court judgements made in Scotland during 2015. According […]

What is an Earnings Arrestment Order and how much can be taken direct from my employer?

21st January 2016

Action taken by a creditor to recover monies owed is termed ‘diligence’ in Scotland, and is generally permitted once a court order has been issued but remains unpaid. One such diligence procedure that may be granted by the court is an Earnings Arrestment Order (EAO). This is an instruction from the court to your employer […]

What happens to Scottish secure tenants who are in arrears with rent payments?

21st January 2016

A Scottish secure tenancy means that your landlord will be a local council, housing association, or housing co-operative. Being unable to pay any type of debt is worrying, but having arrears of rent could mean losing the roof over your head if your landlord decides to take eviction action. Social landlords in Scotland are legally […]

Family Debts Levels ‘Up 42% Since Last Summer’

13th January 2016

The average level of debt among families around the UK has increased sharply since the summer of 2015 and a large number of households could soon feel a financial squeeze as a result. That’s according to the insurance firm Aviva, which reports that the overall debt level racked up by British families is now higher […]

Government Departments Are ‘Worse Debt Collectors Than Private Companies’

12th January 2016

A new report has claimed that government bodies often treat their debtors less well than private companies in the context of debt collection scenarios. The claim is being made by Citizens Advice, which says it has seen a doubling in the number of people turning to its advisors for help with debt-related problems over the […]

What is a Messenger-at-Arms? How are they different from Sheriff Officers?

11th January 2016

The office of messenger-at-arms dates back several hundred years. It is an historic profession that carries with it great responsibility, and generates more than a little trepidation for those being pursued for money. Originally known as Officers of the King, messengers-at-arms now act for the Scottish Court of Session, which is the supreme civil court […]

Council Tax Arrears and Sheriff Summary Warrants Explained

10th January 2016

Set procedures exist for the recovery of council tax arrears in Scotland. If the initial and final council tax reminders are not paid, or you do not respond to the communication, it is likely that a Summary Warrant will be received from the sheriff’s office. A Summary Warrant is a formal statement detailing how much […]

Bank of England Reports Sharp Rise in UK Consumer Debt Level

7th January 2016

The Bank of England has reported that there was a sharp rise in overall consumer borrowing levels around the UK in the weeks prior to Christmas and the festive period. In fact, the bank’s latest figures show that borrowing via credit cards, overdraft facilities and loans rose in recent weeks at the sharpest pace since […]

What financial support is there for families in Scotland?

5th November 2015

A wide range of help is available for families in Scotland, whatever their financial situation. If you are struggling to control your debt or are on a low income, various sources of support can make a huge difference to the quality of family life, whilst preventing your financial situation from worsening. Here are some of […]

What are priority debts and how should I handle them?

29th October 2015

When you are experiencing financial trouble, however temporary, it is important to divide your debts into priority and non-priority payments. Priority debts include mortgage or rent payments, utility bills, council tax, and arrears of tax or National Insurance contributions. Other debts regarded as non-priority include credit and store card payments, as well as overdrafts and […]

Hundreds of Scottish Jobs at Risk as Tata Steel Plan Large-Scale Redundancies

19th October 2015

Hundreds of jobs are at risk at the Scottish sites owned by Tata Steel as the industrial giant looks to scale back its operations in the UK. As many as 1,200 of the company’s British employees are facing the prospect of being made redundant with around 450 currently working at two Tata plants in Motherwell […]

Expert Advice for Out of Work Oil and Gas Contractors

24th September 2015

Experts within the Aberdeen office of Scotland Debt Solutions are currently advising a number of individuals, including one-man limited companies and sole traders, who have been affected by the downturn and mass redundancies in the oil and gas sector. The cost per barrel of Brent crude oil has fallen dramatically in the last 12 months and […]

£6m Funding Allocated to Help Young Scots Enhance Their Employability

22nd September 2015

Close to £6 million of government funds are to be allocated to councils across Scotland to support efforts aimed at helping young people prepare for work and to find jobs. The amount of £5.8 million is to be split between 32 local authorities nationwide, with the funding intended to help the government reach its target […]

Why Switching Your Energy Provider Is the Easiest Way to Save Money

27th August 2015

Including mortgages, the average household debt in the UK is an enormous £53,961 so it’s no surprise that the amount of people opening ISAs and savings accounts is at its lowest since 2006. Whilst many people can’t quite afford to open a savings account, there are ways in which money can be saved simply by […]

Low-income Scots Paying ‘Poverty Premium’ for Basic Services

25th August 2015

Scottish households that get by on low incomes are paying higher rates than most other people to secure basic services such as energy supplies, banking facilities and internet connections. That’s according to a new report from Citizens Advice Scotland (CAS) which suggests that Scots on benefits or low wages pay up to 10 per cent […]

Home Repossession Rates Down Across the UK

25th August 2015

The frequency with which mortgage lenders are taking steps to repossess properties owned by indebted borrowers around the UK fell sharply during the second quarter of this year. According to the latest data from the Council of Mortgage Lenders (CML), there were roughly 2,500 properties repossessed during the three months from April to June 2015. […]

Debt and divorce – Understanding liability and what happens to marital assets

21st August 2015

Just as marital assets are divided during divorce proceedings, responsibility for debt incurred during the marriage will also need to be split. Various factors affect who is responsible for marital debts, however, including whether the borrowing is in sole or joint names, and if it was taken out before, during or after the marriage. The […]

Scottish Economy “Thriving” But Employment Makes Modest Decline

10th August 2015

The Scottish economy is thriving despite challenging economic conditions in many other parts of the world and a persistent degree of turmoil in the euro zone. Overall output among companies from Scotland increased over the summer in the period after the general election saw David Cameron’s Conservative Party win a majority in the House of […]

Debt solutions if you have equity or assets

10th August 2015

If there is equity available in your home or you own certain assets such as a vehicle, they may be used to reduce your level of debt should you enter into a formal insolvency procedure. Certain Scottish debt solutions utilise assets to increase the amount available to repay creditors; others allow you to avoid their […]

Government Sets Out Plan to Reform Financial Advice Markets

5th August 2015

The ways in which consumes around the UK access and receive financial advice ought to change, according to the government, which has announced the launch of a wide-ranging review of the entire market. It is hoped that reforms of the financial advisory industry will give Brits a better chance of receiving the kind of financial […]

Do personal debts die with you?

3rd August 2015

When you die, your debts will be paid from your estate unless they were taken out in joint names, in which case the other person takes on liability for the full amount outstanding. If borrowing is in your sole name, liability does not pass to your partner or family unless they were guarantors. In the […]

Scotland’s Personal Insolvency Rates Down to Lowest Levels Since 2000

22nd July 2015

The number of Scottish men and women entering formal debt solutions has fallen to the lowest levels recorded in over 14 years. According to the Accountant in Bankruptcy (AiB), there were fewer Scots pursuing sequestration or entering a Protected Trust Deed in the three months to the end of June this year than at any […]

New Debt Boom ‘Could Leave British Borrowers Vulnerable’

16th July 2015

A new debt boom could be leaving UK consumers vulnerable to financial strain and serious difficulty if economic conditions were to worsen in the coming months and years. That’s according to the international credit ratings agency Moody’s, which has published a new report claiming that the rate at which debts are being taken on by […]

How to write off gambling debt

1st July 2015

If you have built up debt from gambling, you may be able to write off part or all of the debt via a formal Scottish insolvency route. Not all insolvency solutions allow debts to be written off, but you may be eligible for a Trust Deed if you meet certain criteria, with sequestration also being […]

Summary warrants, time to pay and charge pay in Scotland

30th June 2015

If you fall behind with certain financial liabilities in Scotland, such as council tax or income tax, there are certain procedures available to your creditors that allow them to collect the monies quickly. Summary warrant is one such procedure, used mainly by HMRC and local authorities in Scotland. This process allows them to apply to […]

Statute Barred Debt in Scotland

22nd June 2015

A statute barred debt is one that can no longer be collected by a creditor due to the elapsed time limit laid down in The Prescriptions and Limitation (Scotland) Act, 1973. The rules for statute barred debt in Scotland differ from those in England and Wales. The timescale in Scotland is generally five years, with […]

Zero hour contracts – Are they creating more debt?

4th June 2015

According to figures released by the Office for National Statistics, 697,000¹ people in the UK were on zero hour contracts during October to December 2014. This figure accounts for 2.3%¹ of everyone in employment in this country, and represents workers in their main job. These types of employment contract essentially mean that employers are not […]

I want to write off my debts as a Scottish resident, is this possible?

4th June 2015

If you cannot pay your debts in full over an extended period of time, you may be able to legally write off some or all of them using the options below. Formal debt solutions such as these require guidance from a recognised money advisor prior to taking them up – this may be from a […]

Advice on writing letters to your creditors – Options you can consider when you can’t pay

4th June 2015

There are several reasons why you might need to write to a creditor – maybe you are trying to stop harassment, make alternative payment arrangements, or dispute the debt they are chasing? Whatever the reason, writing letters to your creditors is an important part of dealing with your debts responsibly, and indicates that you are […]

Dealing with debt collectors or debt collection agencies in Scotland. What actions can you take?

2nd June 2015

When a creditor has been trying to collect their debt for a while and has made several unsuccessful attempts, they may use the services of a debt collector or debt collection agency. Having to deal with debt collectors can be daunting and frightening, but collectors are required to abide by specific regulations when going about […]

Important advice on going bankrupt or declaring yourself bankrupt in Scotland

1st June 2015

If you live in Scotland and are considering personal bankruptcy, there are certain issues that you need to be aware of. These include an understanding of what will happen to your assets, and also the long-term effect of bankruptcy on your credit file. But first, you should know a little bit about how bankruptcy works […]

Top 10 things to consider when seeking debt help and advice in Scotland

30th May 2015

Whether financial trouble has hit because of redundancy or ill health, or you simply overspent on credit cards, before looking for debt help in Scotland it would be worthwhile considering the following factors: You can get debt advice free of charge The Scottish Financial Health Service steers people in debt towards professional money advice from […]

What actions can a creditor take when pursuing a debt that is owed?

25th May 2015

The term for creditor legal action in Scotland is ‘diligence.’ Your creditor will be obliged to follow strict rules for each type of diligence, and if they fail to meet their legal obligations in this way, the action can be challenged. Your creditor will probably apply interest and charges to the outstanding debt in the […]

Am I liable for my partner’s debt?

15th May 2015

Liability for a partner’s debt depends on whether the borrowing is in joint names or your partner’s sole name. In essence, if the debt is in their sole name you cannot be held liable unless you have acted as guarantor when the loan was taken out. Acting as guarantor for your partner means making a […]

Lost my job and can’t afford our bills. What can we do?

8th May 2015

If you have lost your job and are unable to pay the bills, the first thing you should do is make a list of all your creditors. You will need to prioritise them, and then contact each one in turn. It may be possible to negotiate an unofficial arrangement with some creditors to repay what […]

What should I do if a High Court Enforcement Officer contacts me?

5th May 2015

If you have been contacted by a High Court Enforcement Officer, it means that one of your creditors has been through court process to recover a debt. In Scotland, High Court Enforcement Officers are called Sheriff Officers or Messengers-at-Arms. They may also be known as Judicial Officers, and they all have power to take enforcement […]

What powers do bailiffs (sheriff officers) have in Scotland?

4th May 2015

Sheriff officers work on behalf of companies, government departments and individual creditors to enforce court orders relating to debt. This may be unsecured debt such as Council Tax arrears or tax payments. Also known as bailiffs, they operate on an employed and self-employed basis. The powers of sheriff officers are limited in so much as […]

I’m facing house repossession – what can I do?

1st May 2015

If you are threatened with house repossession, you need to act quickly. You may be able to negotiate more time to pay – it is often the case that repossession can be stopped or temporarily halted, also offering you time to obtain professional advice. You must do all you can to make alternative payment arrangements […]

Types of debt SDS can help with

30th April 2015

Professional advice can make a huge difference to your financial outlook when you are struggling to stay in control of debt. Simply having access to a professional opinion about the options available makes a big difference to your state of mind, and the sooner the problem is addressed, the more likely you are to achieve […]

Insolvencies Falling South of the Border

29th April 2015

Insolvency rates among individuals living in England and Wales fell to their lowest levels since 2005 during the first three months of this year. That’s according to the latest data from the Insolvency Service, which recorded a total of 20,826 people entering some form of insolvency during the first quarter. The figures follow just a […]

Personal Insolvency Rates ‘Falling Dramatically’ Across Scotland

23rd April 2015

The number of people entering insolvency as a result of personal debt problems in Scotland is falling dramatically, according to the latest figures from the Accountant in Bankruptcy (AiB). In fact, personal insolvency rates are now officially at their lowest level in 10 years, with the number of Scots entering either bankruptcy or Protected Trust […]

New Insolvency Rules Introduced Across Scotland

9th April 2015

A series of new laws affecting the processes involved in insolvency and debt recovery have come into effect across Scotland this month with both debtors and creditors set to be impacted. The changes are being introduced via the Bankruptcy and Debt Advice (Scotland) Act 2014, better known now as the BADAS legislation, with the aim […]

What is a Minimal Asset Process (MAP)? Formerly LILA

1st April 2015

The Minimal Asset Process (MAP) debt solution is to be introduced in Scotland on 1st April 2015. It replaces the Low Income Low Asset (LILA) product, and although very similar to LILA, the Minimal Asset Process involves different eligibility criteria on application. MAP allows a path into sequestration, the term used in Scotland for bankruptcy, […]

Unsecured debt levels rising across the UK

24th March 2015

Levels of unsecured debts across the UK are on the rise and up to an average of around £9,000 per household nationwide, according to a report from PwC. The accounting firm’s figures suggest that the overall levels of unsecured debt increased by as much as 9 per cent over the course of 2014. Suggestions are […]

Scientist Study: “Attitude to Saving is in the Genes”

11th March 2015

A new study has suggested that the savings habits we display over our life time, for better or worse, have almost as much to do with our respective genetic makeups as with good or bad judgement. Scientists writing in a paper published in the Journal of Political Economy recently make the case that some of […]

Average UK Household Income Back to Pre-Recession Levels

4th March 2015

Average incomes of households in the UK are back up to the levels of 2007-08 and the months before the Financial Crisis, according to figures and a report compiled by the Institute for Fiscal Studies (IFS). The think tank’s figures take into account the incomes of everyone around the country, including over-60s, who are the […]

Debtors ‘Can be Informed of Court Orders via Facebook’

23rd February 2015

Debtors who are facing insolvency proceedings but failing to cooperate with their appointed trustees can now be made aware of court orders made against them via Facebook, a UK court has ruled. In what is believed to be the first instance of its kind, a county court judge in Tunbridge Wells recently ruled that insolvency […]

What is Debt Consolidation?

5th February 2015

What is Debt Consolidation? Debt consolidation combines various debt payments into a single monthly repayment. It is designed to make your total debts more affordable, and their management easier. A debt consolidation loan can be a good idea in some circumstances, but there are also instances where a different solution might be preferable. People who […]

Number of Scots in Debt Management Schemes Falls By 21.3%

2nd February 2015

The rate of insolvency among individuals in Scotland fell by as much as 21.3 per cent between the final quarter of 2013 and the last three months of 2014, according to official figures on the subject. According to the Insolvency Service, which collects insolvency data on behalf of the government across Scotland, England and Wales, […]

Scotland’s unsecured debt levels down in 2014

16th January 2015

The average level of unsecured debt among Scottish borrowers fell considerably over the course of last year, a recently published report has suggested. According to the charity StepChange, the typical Scot with problem debts was £1,580 further in the red in 2013 than was the case last year. The figures suggest that the average unsecured […]

5 Inspirational Stories Of People Who Defeated Their Debt

16th January 2015

When you have large personal debt, it often feels as if there’s nothing you can do to get out of that situation. You throw away bills, ignore phone calls, and often feel overwhelmed and scared. However, a journey of a thousand miles starts with a simple, single step. There are a lot of people out […]

Charity: “£1,000 Would Save Half a Million from Debt Problems”

13th January 2015

The debt charity StepChange has suggested that savings of even £1,000 per household would save more than half a million people in the UK from falling into problem debt. The claim is based on research commissioned by the charity, which discovered that households with even modest amounts of money set aside can cope with debt-related […]

Charity Urges Indebted Brits to Seek Early Help with their Finances

7th January 2015

Indebted Brits should seek help and support from experts sooner rather than later if they are struggling to cope with the financial hangover of an expensive Christmas. In the New Year, it is believed that millions of men, women and families around the UK will find it tough to keep up with debt repayment demands in post-Christmas […]

Personal Debt Woes Landing 1,000 Scots in Court Each Day

17th December 2014

An average of more than 1,000 people in Scotland were taken to court because of their personal debts and outstanding arrears over the course of 2013/14, according to official figures from the Accountant in Bankruptcy (AiB). The figures were published alongside a report that revealed a majority of the personal debt-related court cases brought across […]

Getting to grips with your utilities debts

10th October 2014

Utility debts are a growing concern in Scotland and throughout the rest of the UK and much of Europe. A major cause of concerns in this area has been the consistent and often rapid rise of prices associated with energy supplies. In recent years, most people in Scotland have seen their bills for electricity and […]

Store card debts – What to do if you got more than you bargained for

10th October 2014

Store cards are a very common form of personal unsecured debt in use among consumers in Scotland and the rest of the UK. If you are worried about store card debts and their impact on your financial flexibility, or if you’re really struggling to cope with the consequences of racking up sizeable store card debts, […]

Dealing with rent arrears – action points for Scottish debtors

10th October 2014

Keeping up with rent payments isn’t easy for a lot of Scottish residents but if you’ve found yourself unable to pay your landlord for any reason then you should look to take action sooner rather than later. Leaving rent arrears to accumulate without taking any action can ultimately be financiallydamaging and may lead to a […]

Overdraft debts – key issues and your options

10th October 2014

An overdraft facility is a very common means of gaining financial flexibility either as an individual or as a business and they essentially mean a bank account holder can spend more money than they have in their account at a given time. Any money spent on the basis of an arranged overdraft will incur interest […]

Coping with mortgage arrears

10th October 2014

Seeing your mortgage arrears increase and your overall debt levels rise along with them can be extremely stressful and upsetting. Particularly for families but for anyone who’s concerned that they may struggle to keep a roof over their heads. It’s important to realise that eviction only happens to a relatively small number of people each […]

Coping with council tax debts

10th October 2014

Council tax has to be paid by everyone living within a particular area of Scotland or the UK in order to fund local services. Amounts owed by particular households are calculated on an annual basis and are then generally due to be paid on a monthly basis until settled in full. Owing council tax isn’t […]

High-Profile Firms Plan Scottish Exit if Independence Vote Wins

15th September 2014

As the referendum to decide Scotland’s future nears ever closer, a number of high-profile companies across the UK are already making their intentions clear by stating their plans to move across the border to England if the ‘Yes’ vote continues its head of steam and ultimately wins the referendum on Thursday 18th September. In a […]

Salmond Triumphs Over Darling in Second Scottish Referendum TV Debate

27th August 2014

As the days count down to the Scottish referendum on September 18, the battle between the ‘Yes Scotland’ and ‘Better Together’ parties is intensifying – as displayed by the second live TV debate on Monday. Following a victory for the ‘no’ camp, led by Alistair Darling, in the previous TV debate, polling company ICM has […]

Scottish Referendum: Early Polls Show Darling Defeats Salmond in First TV Debate

6th August 2014

The first televised debate on the Scottish referendum took place last night with Scotland’s first minster Alex Salmond going head-to-head with leader of the Better Together campaign, Alistair Darling – with early poll results pointing to Darling as the winner. The leaders of the pro-independence and Better Together campaigns fought over Scotland’s currency, their track […]

New debt report exposes Scotland’s personal insolvency ‘hotspots’

4th June 2014

A brand new report by debt help website Scotland Debt Solutions has revealed the hotspots for sequestrations and trust deeds are in Scotland’s smaller rural towns rather than in its largest cities. Click visual below for infographic. The first survey of its kind, the quarterly Scotland Debt Report details the levels and concentration of new […]

Will an Independent Scotland Affect My Personal Finances?

9th January 2014

The New Year heralds a hugely exciting 12 months ahead for Scotland which sees sporting events such as the Commonwealth Games and the Ryder Cup land on Tartan soil. But, more importantly, the New Year could also be the precursor of a new Scotland as Scots finally get to vote on their country’s independence. Whether […]

Over 7 million people in the UK avoid seeking debt help

23rd December 2013

The New Year is a traditional time for people to consider a new start and attempt to get their finances in order. To do this, people struggling with debt will often require professional advice and assistance. However, according to a new report, although there are 8.8 million people in the UK struggling with debt problems, […]

Millions expected to turn to payday loans to afford Christmas

9th December 2013

The festive season is in full swing and as consumers begin their Christmas shopping, it’s expected that many will turn to credit in order to afford that perfect gift. The Money Advice Service’s annual Christmas spending survey revealed that around 16 million people will use credit cards to pay for the cost of Christmas this […]

‘Must-have’ smartphones add to rising debt situation

8th December 2013

In January 2013, a report from the Office of National Statistics revealed Scots to have the second lowest level of personal debt in the UK, owing on average around £2,500 in credit cards, loans, store cards and overdrafts. However, a recent report from the Money Advice Trust (MAT) reveals an increased number of people slipping […]

Be Wary of Credit Spending With Catalogues This Christmas

5th December 2013

There’s nothing quite like Christmas to send people into manic spending sprees; reducing ordinary folk into shopaholics with reckless abandonment! This year is no different and at times it’s hard not to be lured in by catalogue websites in particular. Companies such as Very, Littlewoods, JD Williams and Woolworths often prepare for the festive season […]

Can I Stop Creditors From Contacting Me?

5th December 2013

Facing a barrage of letters and phone calls from angry creditors can be a daunting scenario but it’s important for you to understand the rights of both parties in order to ascertain what is deemed ‘harassment’ and what your creditors are legally entitled to do before and after you have sought professional debt help. Firstly, […]

Scottish Unemployment Rises But More Jobs On The Way

4th December 2013

The number of Scots out of work increased by 10,000 to 203,000 according to figures recorded earlier this year. The Office for National Statistics conducted the research in May and June which also showed that overall UK unemployment fell by 24,000 to 2.49 million. These figures mean that Scotland’s rate of unemployment is now 7.4% […]

I’ve received an Earnings Arrestment Order, what happens next?

11th November 2013

An Earnings Arrestment Order (EAO) allows the court to collect money from your wages in order to repay debts that you owe. These payments are deducted from your monthly salary until your debt is paid in full and will incur interest. An EAO is generally used to recover debts such as council tax arrears or […]

Half of first-year university students are concerned about debt

20th September 2013

As the initial trimester of university gets underway for a new batch of first-year students, a range of recent research has shown that even school-leavers are beginning to worry about debt. A survey from Lloyds TSB discovered that in the last academic year, around one in five students struggled with their finances, failing to make […]

Beware of financial scams and fraudsters

5th August 2013

According to the most recent Fraud Barometer from professional services firm KPMG, fraudulent behaviour in Scotland rose by 61% from January to July 2013, compared with last year’s figures. Ken Milliken, forensic partner at KPMG in Scotland, said: “Con artists remain the order of the day, with several high profile cases highlighting that employees are […]

My partner and I are now separated, what happens to our debt

29th July 2013

In an age where the use of modern technology is constantly growing, and in fact, key to everyday life, limited access to a bank account can make daily living much more complicated.

I’ve been made redundant. How will I afford my outgoings?

16th July 2013

In the last financial quarter, (January – March 2013) Scotland had the highest employment rate of all countries in the UK, with 71.8 per cent of residents in employment. At 7.1 per cent, the Scottish unemployment rate is also below that for the UK as a whole, which stands at 7.8 per cent. Despite this, […]

Can equity release help me to manage my debt problems?

17th June 2013

According to research released in February this year, an increased number of Scottish residents are now relying on releasing equity from their homes just to pay every day bills. In previous years, equity release has been used as a way of affording luxuries, such as a holiday abroad or a car upgrade. However, the economic […]

What is a decree or CCJ and how could it affect me?

10th June 2013

In Scotland, County Court Judgements (CCJs) are referred to as a decree. If you are no longer able to repay your debts by the payment deadline, the lender can apply to the courts and, if successful, can have a decree is issued against you to recover the debt. Alternatively, lenders can obtain a summary warrant […]

Are payday loans a good short-term option?

13th May 2013

If a financial shortfall has prompted you to consider taking out a payday loan you’re certainly not on your own. There’s been a huge rise in cash strapped people taking out so called short-term “payday” loans to tide them over a period – usually of only a few days – when they are short of […]

I want to retire, but I have unpaid debts. What can I do?

22nd April 2013

Retirement is a time we should all be able to look forward to, a time without the stresses and strains of work. But if you happen to have outstanding debt, you could be concerned about keeping up repayments when you retire. Last year alone, research from retirement income specialist MGM Advantage revealed that the average […]

What is debt consolidation?

15th April 2013

In 2012, after the introduction of a new consolidation loan, Glasgow Credit Union saw over £1.2m borrowed in just 14 weeks. Chief executive, June Walker, argues that it simply ‘highlights the scale of personal debt’ and many Scottish residents are turning to consolidation loans to pay off their existing debts. If you’ve come to the […]

How can I reduce my debt?

22nd February 2013

If you’re beginning to feel like your debt is getting out of control and you’re struggling to keep up with the repayments each month, it might be time to speak to a qualified adviser about what to do next. It’s important to know that you’re not alone. According to Citizens Advice Scotland, 118,244 Scottish residents […]

I paid for Christmas on my credit card and now I can’t afford the repayments

1st February 2013

If, like many of us, you spent a little more than planned on your credit card this Christmas, it can be tempting to try and leave card statements unopened once they start dropping through the letterbox. But if you’re struggling to repay credit card bills, ignoring the problem is the worst thing you can do. […]

The January 31st tax return deadline is looming and I’m worried I can’t pay

10th December 2012

For sole traders, freelancers and self employed people, tax returns are a twice yearly fact of life that simply can’t be ignored. If you think you may have trouble paying your tax bill at the end of this month, you’re certainly not alone. Through no fault of their own, many small businesses are struggling and […]

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