Hi rab

You could look at a debt arrangement scheme for yourself and possibly a Trust Deed for your wife. Can you clarify the HP as it is unusual to have joint HP. What is this for and is it defnately HP?

Mark

Thanks Mark for your reply,The HP was for a car i bought and when i bought it the wife had to sign at the same time so i thought it was joint.We retire in 9years and do not want to be in debt then,please dont tell me we have to sell my house as that is the very last thing we want to do.Please put us on the right road.Thank you

Hi rab54,

A Scottish Trust Deed may help you to avoid selling your home.

Assuming you jointly own the home you each have a ?ú20000 share of the ?ú40000 equity.

As this is more than the total of your debts a Scottish Trust Deed is unlikely to be available to you. Mark is suggesting that you look at the Debt Arrangement Scheme as an alternative. This would not normally involve your home. Further information is on the left-hand menu about the DAS scheme.

As your wife's debts are considerably more than the total of her equity a Scottish Trust Deed may well be available. As the debts are quite substantial it's likely that the DAS scheme would take a very long time to clear her debts (usually the full debt would be payable). A Trust Deed would normally see any unpaid debt being written off after three years though you should be aware that your wife would likely have to contribute her share of the equity into the Trust Deed.

I know this must be a worrying time but please be reassured that there are ways to deal with these problems. The site experts will do what we can to point you in the right direction.