Types of debt SDS can help with
April 30, 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 a positive outcome.
Scotland Debt Solutions provides professional advice and support regarding a range of different types of unsecured debt, and offers a free initial consultation.
If used correctly, payday loans can be very useful. The biggest disadvantage is their extortionate annual rates of interest, often exceeding 1,000%.
This fact alone leads to debt misery very quickly if you fail to make a payment, and although generally offered as a short-term loan, they sometimes continue for much longer than expected.
If you are struggling to repay a payday loan, you need to act quickly to alleviate the risk of insolvency. With interest rates being so high, it takes very little time for a loan such as this to become unmanageable.
We can offer advice on the best course of action by helping you plan your repayments without default. We will look at your regular income and other outgoings, and if the situation requires, can guide you on the benefits of each long-term debt solution.
Store cards are often ‘sold’ to shoppers at the till, with an offer of an immediate discount on their purchases. This can be very enticing when you are trying to save money, and difficult to turn down. Although store cards are not necessarily a bad idea, the high rate of interest applied means that great care should be taken to pay off the balance in full each month.
If you default on payment the provider will quickly take action to recover the outstanding amount, which could increase considerably after the addition of interest and charges.
Scotland Debt Solutions will negotiate with the creditor on your behalf. You may be able to obtain an agreement to pay over a longer period of time, or if you have other debts, consolidate all repayments down to a single monthly payment which frees up cash and offers relief from creditor pressure.
Solutions might include a Debt Arrangement Scheme, Protected Trust Deed, or in the most severe cases sequestration. We offer a free consultation to discuss your situation and will provide the professional opinion needed to prevent further deterioration in your financial position.
If credit card debt has spiralled out of control due to job loss, illness, or simply an escalation of fees and charges, you need to act quickly to get the situation under control.
As with the store cards mentioned above, we are able to negotiate for lower repayments and/or an extended payment period with all your creditors, either on a formal basis prior to entering insolvency, or unofficially if you feel that your current financial situation is only temporary.
Unsecured personal loans allow a borrower to budget effectively because each payment is the same amount each month, but other circumstances or types of debt can hamper your ability to repay your personal loan.
In these cases, it may be necessary to enter a Debt Arrangement Scheme or Trust Deed with your lender. This will stop legal action or any other creditor pressure, and help you gain control of your finances for the long-term.
Scotland Debt Solutions has offices throughout Scotland, and can quickly arrange a meeting to discuss your debt situation.
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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 […]
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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 […]
If you’re struggling to pay your unsecured debts, a debt payment programme could help you to regain control of the situation, and become financially stable again. Debt payment programmes are a fundamental part of the Debt Arrangement Scheme (DAS) in Scotland, and allow you to repay over a longer period of time. These programmes involve […]