What is a Protected Trust Deed?

Interest and charges frozen and debts cleared in 3 years*

A Protected Trust Deeds (PTD) is a legally binding contract that is available to people living in Scotland who are struggling with debt.

PTDs give people the opportunity to repay creditors at a rate they can afford over a period which typically lasts 3 years. Interest and charges are frozen and any debts included in the PTD that still exist at the end of this period will be written off by creditors.

What a trust Deed could do for you

PTD qualifying criteria

  • Struggling with repayments
  • Proof of employment
  • Scottish resident

The criteria above should be used as a guide. For PTD advice, call us on: 0800 015 3135†.

How to start an PTD

A thorough evaluation of your financial situation will be carried out to ensure it is the best solution for you. If you want to proceed, your case will be passed to an Insolvency Practitioner who will investigate your case further and contact you directly. Protected Trust Deeds are subject to creditor agreement, which is not always guaranteed. If creditors agree to the terms presented by your Insolvency Practitioner, then the PTD can begin. This means interest and charge will be frozen, repayments will be based on what you can afford and debts included in the PTD that still exist at the end of the three year period will be written off.

For a personal, financial service that’s built around you, call Direct Debt Solutions today 0800 015 3135

Protected Trust Deeds: what you need to know

If you own a property, you could be required to release equity from your property to repay creditors. This depends on your situation and will be discussed with you before the PTD begins.

*Remaining unsecured debts will be written off and interest and charges included in the PTD will only be frozen if you keep to the terms of the agreement. A PTD will typically last for 3 years and any remaining unsecured debts will be written off at the end of this term. However, if you own a property, you could be required to release equity from your property to repay creditors. This depends on your situation and will be discussed with you before the PTD begins. If you cannot release equity from your property, then the period of your PTD could be extended.

Your credit rating will be affected for 6 years following the PTD and details will be published in the Edinburgh Gazette.

A PTD is subject to creditor agreement which is not always guaranteed.

Protected Trust Deeds and Sequestration applications will be transferred to an insolvency practitioner for further review. Fees apply and will be notified in advance.

As part of your application, you will have a cooling-off period of 7 working days from signing and returning your Client Information Form. All payments made will be refunded, and your application closed.