Debt Arrangement Scheme (DAS)
The Debt Arrangement Scheme is a statutory Scottish scheme that lets you repay your debts in full through a single affordable monthly payment, with interest and charges frozen and legal protection from creditor action.
How DAS works
An approved money adviser prepares a Debt Payment Programme (DPP) based on your budget and submits it to the Accountant in Bankruptcy. Once approved, creditors must accept the payments, cannot add interest or charges, and cannot take enforcement action. Payments are made to a payments distributor who shares them among your creditors.
Who is DAS for?
- You live in Scotland
- You have a regular income and can afford a realistic monthly payment
- You can repay your debts in full within a reasonable period – usually under ten years
- You want legal protection without entering insolvency
Advantages
- Not a form of insolvency – nothing is written off but there is no bankruptcy record
- Interest, fees and charges are frozen for the life of the programme
- Creditors cannot take legal action or use sheriff officers
- Payment breaks of up to six months may be available if your circumstances change
Disadvantages
- Debts are repaid in full, so programmes can run for several years
- Recorded on the public DAS Register and on your credit file
- Obtaining new credit is restricted while the DPP is in place
- Missing payments can lead to the programme being revoked, reinstating interest
Frequently asked questions
Is there a fee for DAS?
The payments distributor retains a small statutory percentage of each payment to cover administration. The money adviser's help is normally free.
Can I include all my debts?
Most unsecured debts can be included. Secured debts and debts jointly held with someone not in the programme need specific consideration.
How is DAS different from a Trust Deed?
DAS repays everything with no write-off and no insolvency. A Trust Deed repays what you can afford over a fixed period and writes off the rest, but is a formal insolvency.
Want to know if this applies to you?
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