Hi Steve12

There are a couple of things here. Firstly you would need to be in employment to make a contribution in a Trust deed for it to work. If you have no source of income, then sequestration may be a solution.

There is a thing called prescription in Scotland which basically is the time period creditors can legally pursue an old debt.

You can argue that the creditor is out of time or ÔÇÿstatute barred' from taking you to court for this debt: if

ÔÇó the creditor has not already obtained a decree against you; and
ÔÇó you or anyone else owing the money (on a debt in joint names) have not made a payment on the debt during the last five years; and
ÔÇó you have not written to the creditor admitting you owe the debt during the last five years.

It may be something to consider.

Mark

Thank you very much for the information

Not much I can add to Mark's comprehensive response other than I would support his view that Sequestration should be considered as an option. Furthermore given that you are not working and have no income and I am also assuming that there are no assets to be considered the Low Income Low Asset (LILA) route to the Sequestration process. Finally the cost of proceeding with this option is a payment of £100 for the Accountant in Bankruptcy to process the application. Whereas the Trust Deed process is normally 3 years if there are no reasons to defer your discharge from the Sequestration you will receive an automatic discharge after 1 year. It should be noted however should you find employment during this period you may have to pay an Income Payment Agreement/Order (IPA/IPO) for a period of 3 years.