Hi Tony,

I think you're going to run into the same issue here as discussed on your previous thread. If you can afford to make monthly contributions (as an alternative to, or in addition to paying in a lump sum) it wouldn't be unreasonable for your creditors to expect you to do so.

It is an interesting question Tony. It is certainly theoretically possible to set up a DAS payment programme along with an element of composition. However, in practice I think it may be very difficult as it relies on the agreement of creditors - though I must admit I have no idea if any approved advisers have tried this successfully or not.

I believe that DAS proposals are usually judged on the criteria that they should not last more than 10 years. I imagine that you would need to be offering payments over that period before any agreement would come from creditors to write off the debt that can't be paid in that time, though I'm happy to be proven wrong!

I do know some approved money advisers so will ask around as to whether anybody had tried this and get back to you Tony.

thanks kevin that would be great. there does seem a lot of different options out there. sort of glad i havnt signed the trust deed as thru das i woudnt be classed as insolvent. i know some of my debts dont have enforceable agreements and whether that helps with das and composition is an area ofinterest for me. once my wee 1 arrives i think 2 hundred pound a month is most likely. lot of options. can u do a trust deed after a das. iknow you cant go from a trust deed to a das.

I don't think you can go into a Trust Deed during/after DAS but I am not entirely sure... our experts will hopefully confirm whether or not that is possible soon.

What are your thoughts concerning the "unenforceable" agreements you mention Tony?

You cannot sign a trust deed if you are in a DAS payment programme - it would need to be revoked for some reason first.

I suppose the validity or otherwise of the credit agreements might give you some leverage when trying to negotiate composition (ie creditors agreeing to write off some of the debt). Depending on how many creditors you have it could be a long, difficult and potentially fruitless process negotiating this. Which is why the trust deed is such an effective procedure, the write-off of debts is built in to the process and even difficult creditors can be forced to go along with the majority and write off a significant proportion of the outstanding debt to them.

It is a different matter if you have an asset to protect such as significant equity in a property, but otherwise I think a lot of people do prefer the quick, hassle-free trust deed. After all, your credit rating is going to be affected either way.