Trust Deed or Bankruptcy?

mummyyummy_2

Where can I get free accurate advice about which of these to go
for? The whole thing confuses me to be honest! All I know is we are in debt and a change of circumstances means we are no longer in a position to pay. So I need help please? Thankyou

TheGardener

Hi,
Are in Scotland or England? Trust Deeds are a Scottish system. In England it would be Bankruptcy. Start with the free online StepChange debt remedy tool on the stepchange website or call National Debtline, CAB etc.

skintandfat

Take advice

Bankruptcy is the last option, but it may be the one for you

Seek advice before going bankrupt

Scotland Insolvency Service (AIB) website

http://aib.gov.uk/

Things to do before you go BR
Open a bank account in an organisation you don't owe money to- remember some banks are linked, such as Halifax and BOS, so money you have in one account can be taken using the power of 'offset'

If you get benefits get them to go to an account in your wife's name- they can't touch benefits, but can freeze your accounts - even joint accounts. If your partner has a sole account in his / her name they can't touch it.

Don't do anything illegal
It is illegal to sell property under value and dispose of assets in any way before bankruptcy
Treat all debtors equally- if you have £100 and you owe to different creditors then you divide the money between your creditors on a % basis.
Look after your priority debts- such as rent, gas, electricity, council tax- although council tax debt and utility debt will be written off at the date of BR
Pay what are your priority debts first and any money left over (after reasonable living expenses) go to the other debt

Above all - be open, honest and truthful
Be firm with debtors, you may want to change your phone number and your land line number before you do this.

See
http://www.stepchange.org/
for debt advice
or the CAB

Whatever you do DO NOT pay for debt advice

Step change are quite good- I know people who have been there

Remember- you and your family are what is important, not the defunct business.

Keep positive and good luck

http://www.consumeractiongroup.co.uk/forum/forumdisplay.php?167-Debt-Collection-Industry

http://forum.beatmydebt.com/viewforum.php?f=38

Anondebtadvisor

How much debt do you have yummymummy? and do you own a property?

National_Debtline

Hello there, we have some useful fact sheets outlining the key points of both options, you can find them here:

http://www.nationaldebtline.co.uk/scotland/factsheet.php?page=01_bankruptcy

http://www.nationaldebtline.co.uk/scotland/factsheet.php?page=21_trust_deeds

Also, here is some information on the Debt Arrangement Scheme (it's worth comparing all options)

http://www.nationaldebtline.co.uk/scotland/factsheet.php?page=22_debt_arrangement_scheme

Best wishes,

David @ NDL.

mummyyummy_2

Thankyou ill have a good read of all these before I go any further. Yes I'm in Scotland. I may post again for more advice.

National_Debtline

Hello again,

Feel free to ask as many questions as you need, it's not a decision to take lightly.

Best wishes,

David.