Debt help for Scottish residents

If you're in debt and you live in Scotland, there is a debt scheme unique to Scotland that could help you, called DAS.

The Debt Arrangement Scheme (DAS) has helped thousands of Scottish residents to lower their monthly payments to an affordable level and avoid legal action from their lenders.

How does the Debt Arrangement Scheme work?

Under the Debt Arrangement Scheme, a Money Adviser can arrange a Debt Payment Programme or DPP between you and your unsecured lenders. The amount you'd pay every month on your DPP is based on what you can afford - after you have covered your essential living expenses like utilities, housekeeping and food.

What are the benefits of DAS?

First and foremost, if you've been struggling to repay unsecured debts, DPP monthly payments are set at a level you can afford. That means that once you're on DAS, you should still have enough money every month to pay for your essential expenses at the same time as reducing your debt. This should give you a bit of breathing space and make managing your monthly finances simpler.

Struggling with unsecured debts can be stressful and can have a real impact on your wellbeing. On DAS, you only pay what you can afford, which should relieve some of the pressure. On top of that, it can even help people to remain in their homes, since you wouldn't be expected to put any money towards your unsecured debts that you need for your mortgage or rent payments.

If you can afford to make the repayments and your lenders agree to it, they'll freeze the interest and charges on your debt, so you can repay your debts without having to pay off the interest or charges as well. If you're struggling with debt, you'll understand how every penny counts.

If the DPP is accepted, you are also protected from your unsecured lenders taking you to court.

Can I get a Debt Payment Programme?

If you're a Scottish resident, you could get a DPP if it's the best way for you to repay your unsecured debts. You'll only get one if you can afford to make payments that your lenders will accept. You'll need help from a Money Adviser to reach that stage of agreement with your lenders and set up the DPP.

If you're already on another debt solution such as a Trust Deed or you've recently been made bankrupt, you won't be able to apply for DAS.

Are there any disadvantages to DAS?

Your credit record would be affected by lowering your repayments, which can make it difficult to borrow money, or borrow it at a low interest rate, for six years. Your name would also be placed on the DAS Register.