Good morning,
A Trust Deed is a legally binding voluntary arrangement, available only in Scotland, which offers debtors an alternative to bankruptcy.
It is designed to enable those who cannot repay their debts a way to establish, with the aid of a Trustee, a monthly repayment schedule based on what the debtor can afford to pay. The Trust Deed will last for a specified period, usually three years. When the specified term of the arrangement comes to an end, any remaining debts are written off.
Trust Deeds are only applicable where a debtor does not have enough disposable income (the surplus money after day-to-day living expenses) to meet his/her unsecured contracted credit repayments.
It should be borne in mind that Trust Deeds are a formal and legally binding arrangement between the debtor and a licensed Insolvency Practitioner (the Trustee) and should only be entered into accordingly.
Kind regards,
Julia Simavi
Shortlisted with special commendation for Debt Counsellor of the Year by Credit Today Awards 2007
View my profile:
http://www.supersonicsquirrel.net/julia ... rofile.asp
Visit my website:
http://www.supersonicsquirrel.net
Credit Today Awards 2007
http://www.credittoday.co.uk/awards/winners.htm