Protected Trust Deed

One payment based on what you can afford, usually for about four years. If you complete it, what’s left of the debts in it could be written off.

Get help How it works

Roughly how much do you owe?

It takes about 5 minutes, and there’s no obligation to go ahead.

About 5 minutes
to answer a few questions online
No obligation
nothing goes ahead unless you agree
A partner debt firm
we pass your details to one
A real person
an adviser can call to talk it through

At a glance

Where it applies: Scotland.

Where it applies: Scotland
How long: Usually about four years
Binding on: Your creditors, once it’s protected
Recorded: On your credit file and a public register

General information, not advice about your situation. Limits, fees and lengths change, and the rules differ across the UK.

Why people choose it

Pay what you can afford
Based on your income after essential costs, and shared between your creditors.
Creditors may be bound
Once it’s protected, it can bind creditors who didn’t agree.
A set period
There’s a date it’s due to end if you keep to it.

How it works

A specialist looks at your money
They go through what you owe, own and can afford, and explain how a trust deed would work for you.
The deed is set up
Your assets pass to a trustee, and your creditors are told. They can object.
It becomes protected
If it isn’t successfully objected to, it binds your creditors.
You make your payments
Pay for the set time. If you complete it, what’s left could be written off.

An example of how a Protected Trust Deed could work

An illustration of how a Protected Trust Deed could turn several debt payments into one. If you complete it, part of what’s left could be written off at the end.

Illustrative example

Let’s say you owe

Credit cards: £12,418.60
Personal loan: £8,904.35
Overdraft: £4,211.90
Store card: £2,977.12
Catalogue: £1,846.20
Buy now, pay later: £1,604
Total owed: £31,962.17

After a Protected Trust Deed

57%¹written off

£280a month

In this example you pay £13,440 over four years, fees included. If the deed is completed, the other £18,522.17 could be written off.

Interest and charges may stop on the debts in it
One payment instead of several
A set end date, if you keep to it

Get help

An illustrative example, not a real client. Written off here means what you owe, less everything you pay in over the four years, with fees included. Creditors can object, results depend on your circumstances, and no outcome can be promised. Protected Trust Deeds are only available in Scotland.

Weigh it up

What could help, and what to know first.

What could help

Once protected, it may bind your creditors.
A set period, then what’s left could be written off.
It may be an alternative to sequestration.

What to weigh up

Fees are taken from your payments.
It’s on your credit file for years and on a public register.
Your home may be at risk, depending on its value and what you owe.
Payments may go on for longer if your income goes up.
Not all debts can be included.

Is it right for you?

It could suit you if

You live in Scotland and have a regular income.
You owe a lot and can’t pay it back in a reasonable time.

It may not be right if

You don’t live in Scotland.
You own a home with significant value that you want to keep.
Your debts are small, or you could pay them back another way.

Other routes to compare

No one option suits everyone. People often compare these.

Debt Arrangement Scheme
A Scottish scheme to pay back in full over a longer time
Bankruptcy
A legal process when you can’t pay back what you owe
Debt Management Plan
One monthly payment shared between the people you owe