Check If You Qualify

Disadvantages of a Scottish Debt Arrangement Scheme (DAS)

Reviewed 15th May 2024

The process duration depends on the amount of debt involved; it could take several years to repay.

It is a viable alternative to sequestration (bankruptcy) and has a number of benefits which we have touched upon in our specific DAS advantages guide.

However, it goes without saying that all debt management processes have their drawbacks; it’s often a case of having to one step backwards to ultimately move two steps forward. The debt arrangement scheme is no different and here we analyse the key disadvantages of a DAS which you should be aware of:

Sharon McDougall Square

Sharon McDougall

Debt Adviser

Call: 0800 0639 250

Scotland Debt Calculator

Get a rough indication of what your repayments might be under each of our different debt solutions.

Your Total Debt

£0 - £5,000

£5,000 - £10,000

£10,000 - £20,000

£20,000+

Your Employment Status

I am employed

I am self-employed

I am unemployed

I am a student

I am retired

Your Total Monthly Income

£0 - £1,000

£1,000 - £2,000

£2,000 - £3,000

£3,000+

What can you pay monthly towards your debt?

£0 - £100

£100 - £200

£200 - £300

£300+

Debts Not Written Off

In contrast to the other common formal insolvency procedures in Scotland such as trust deeds and sequestration, a debt arrangement scheme exists until your debts are fully repaid – meaning your debts will not be written off. It could take you months or years to be debt free, depending on the amount of debt you have.

  • Credit Rating

It won’t come as any surprise but your credit rating may be affected – usually for six years. Your name will be published in the Debt Arrangement Scheme Register which is a public register. The reality is that few people will see it but if anyone does search for your name, they’ll be able to see you subject to a debt arrangement scheme.

  • Longer Repayment Period

A debt arrangement scheme can last for several years if you have large debts and this period can be extended if you have to reduce the amount you pay to creditors each month.

Debt Report

Get your instant Debt Report today

Find out which debt solution is best for you

Our debt report is completely easy to use and is a great starting point for anyone with over £5000 of debts looking to take control of their debt issues. By providing us with details of your incomings and outgoings we can suggest the most appropriate way forward for you.

Get Your Report
Debt Report V2
Das Banner Bottom

Related News

Debt Levels Soaring across Scotland, New Figures Show Debt Level Rising

Debt Levels Soaring across Scotland, New Figures Show

Levels of unsecured debt in Scotland increased dramatically during 2022 as the cost of living crisis took its toll on household finances.

Nearly Half a Million Scots Facing ‘Profound Financial Hardship’ Financial Hardship

Nearly Half a Million Scots Facing ‘Profound Financial Hardship’

Close to half a million Scots are in a position of profound financial hardship, according to a new set of figures.

Scots with Disabilities Urged to Check Eligibility for New Benefits Scottish Man In Wheelchair

Scots with Disabilities Urged to Check Eligibility for New Benefits

Disabled people in Scotland are being urged by the government to check whether they might be eligible for benefits that could help make their life a little easier.

FAQ

FAQ on Debt Arrangement Scheme (DAS)

Services

Our Other Services

Business Debts
Icon Briefcase

Business Debts

Whether you are a sole trader or a limited company director, we can help you work through your current financial problems including money owed to HMRC

Business Debts
Sequestration

Sequestration

Sequestration is the Scottish version of bankruptcy and may be suitable for you if you do not have the money to pay back your debts

Find out More
Trust Deeds in Scotland

Trust Deeds in Scotland

A Trust Deed involves making a monthly contribution to your debts for up to four years. After this time any remaining debt included in the Trust Deed will not need to be paid.

Find out More
map pin

Glasgow

2 Bothwell Street, Glasgow, G2 6LU

The Team

Meet our qualified Scottish based team

100% Confidential Advice

Chelsea Williams David Tannock Sharon McDougall Square

We'll give you a call

Our Scottish based team can help advise you on your debt problems.

Here at Scotland Debt Solutions we take your privacy seriously and will only use your personal information to contact you with regards to your enquiry. We will not use your information for marketing purposes. See our Privacy Policy.

The team

Meet our qualified Scottish based team

100% Confidential advice

Chelsea Williams Thomas Mckay Kelly Jones Tannock1

Tools

Useful Tools

Find a Local Office
Usp Signpost

Find a Local Office

We have five offices located across Scotland. Find your nearest one here.

Find an Office
Instant Scheduled Call & WhatsApp
Headset

Instant Scheduled Call & WhatsApp

Arrange a call with an expert advisor at a time to suit you or contact our team via WhatsApp for immediate help and advice.

Arrange Callback
Personalised Debt Report
Usp Planner

Personalised Debt Report

Our personalised debt report will help you better understand your financial position and see where your money is going.

Debt Report

More on DAS

We can help you with...

Debt Arrangement Scheme (DAS)

Debt Arrangement Scheme (DAS)

A Debt Arrangement Scheme (DAS) lets you pay off your debt through a series of manageable instalments over a reasonable length of time.

Find out More
Differences between a trust deed and debt arrangement scheme (DAS)
Icon Note

Differences between a trust deed and debt arrangement scheme (DAS)

Find out More
Differences between Sequestration & Debt Arrangement Scheme (DAS)
Umbrella

Differences between Sequestration & Debt Arrangement Scheme (DAS)

Find out More
Pros and cons of a Scottish Debt Arrangement Scheme (DAS)?

Pros and cons of a Scottish Debt Arrangement Scheme (DAS)?

Find out More
What does the DAS Fair and Reasonable Test entail?
Icon Secure Payment

What does the DAS Fair and Reasonable Test entail?

Find out More
Which debts can be included in a Debt Arrangement Scheme (DAS)?
Icon Secure Payment

Which debts can be included in a Debt Arrangement Scheme (DAS)?

Find out More

Our Insolvency Practitioners are regulated by ICAS or the IPA and our firm is authorised and regulated by the Financial Conduct Authority

Fees and Information: There are fees associated with our services. These will be fully explained before entering into any of the personal debt solutions referred to on this website. Full details of our fees and how these are charged are fully explained to you prior to you committing to any particular service.

ICAS Insolvency Practitioners