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Scottish Trust Deed Forum
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Topic starter
06/08/2011 7:21 pm
Hi
Posted a few months back regarding entering into the MTR scheme. This was successful and I am now a tenant.
My problem at present time, during the MTR process GE Money was one of my creditors. They sold the debt to Link Financial who have raised a citation which expires on 10th August.
Looked at DAS through Begbies Traynor who's fee's where £600 up front. I have not got this kind of money so it was a non starter. Ended up going to CAB who have advised me to do nothing and obtain a decree. Then I can enter into the DAS scheme, apparently because Link went to court if I attempt to enter the DAS scheme the sherriff may kick it out (forgot the technical term for this).
Just trying to deal with my own debts at present, wife has a small income and approx 2.5k herself. My own non essential debt amounts to 10k, car not included. Have a decent salary myself, but really looking to pay back over 4 ~ 5 years. Do not think a Trust Deed would be suitable due to amount of debt, your view's appreciated.
06/08/2011 10:02 pm
Hi justjohn.
It's good to hear that the Mortgage To Rent scheme worked out for you.
I'm going to need the help of one of our other experts to unpick the legal issues you mention when they next visit the forum. It will also be interesting to hear from George regarding the Debt Arrangement Scheme issue (he may be able to contribute on that on Monday).
How much are you in a position to pay into DAS or a trust deed each month do you think?
What type of arrangement is your car on?
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
06/08/2011 10:17 pm
The DAS scheme I was hoping to settle over 4 years @ £208 or 5 years @ £166. Have been told I may not have an option and might end up as bad as I was with the mortgage.
As I am willing to pay back all my debt I was hoping to keep some money to ensure a half decent living, house is in need of decoration and never had any holidays for 5 years. I am still putting together a new I&E, plus paying my car at £199 per month on HP, plus rent, rates etc.
Did not think a Trust Deed would be a viable option as I wish to keep my car for work. Just worried about doing nothing with citation and getting a decree. Time is running out and so are my options, never thought a person in work would have to go through this. Just wish to move on, pay the debt and have a life.
Look forward to Monday and hear others views.
Many Thanks
06/08/2011 10:27 pm
The debt arrangement scheme requires creditor approval in a somewhat similar way to a trust deed justjohn. Creditors will be likely to want to see that you are repaying the debts as quickly as you are reasonably able to and, as such, similar "expenditure allowances" are likely to be used.
Having said that a four or five year scheme seems like a reasonable period from all perspectives, but the debt arrangement scheme monthly payment would be set in terms of the actual affordability calculation rather than being tied to a certain time period.
One additional thought is that you could potentially look to a joint debt arrangement scheme with your wife. DAS is a little different to trust deeds in this respect.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
08/08/2011 9:50 am
Hi justjohn
I had a similar referral where the creditors raised a petition for sequestration and their solicitor advised they were looking to enter the DAS scheme. This was advised to the sheriff who extended to hearing by 6 weeks to see if this could be processed.
When you say you have a citation, can you advise exactly what you've received.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
Topic starter
08/08/2011 10:28 am
Mark
Citation from Sheriff Court from Link Financial assignee of GE Money.
Say's served with a writ & warrant, together with a time to pay (Form 03)
Form 07 Notice of intention to defend
Expires on 10th August.
08/08/2011 1:51 pm
Hi justjohn
if you do nothing, decree will be granted and you will then be served with a charge for payment. On the expiry of this, they could go for a wage arrestment etc.
It may be worthwhile having someone attend on your behalf, although it is short notice.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
09/08/2011 3:00 pm
Hello,
It may interest all to know that you can advise the DAS Administrator of your intention of completing a DAS application. This action is known as an 'intimation' and is registered on the DAS register. The 'intimation' also can stop any credotor from taking new legal action against a debtor and some creditors will stop charging interest on the outstanding balances. The action remains in force for 6 weeks to allow the debtor and money adviser complete the pre application process. The 'intimation' may be cretaed by the debtor by post to the AIB however it is quite a simple process for a money adviser to raise this action - basic information is required of the debtor which is then placed on the DAS website.
