Little or no equity
A home may present a different issue where there is little realisable equity.
Trust Deeds for homeowners
Own your home and
Own your home and
considering a Trust Deed?
Being a homeowner does not automatically rule out a Trust Deed, but equity can be one of the most important parts of the assessment.
✓ Understand your equity position✓ Compare Trust Deed and DAS✓ Do not commit before property is assessed
For people living in Scotland. Checking your options does not commit you to a debt solution.
Why home equity matters
A trustee must consider your assets, including your interest in your home. The way equity is dealt with can materially affect the suitability and terms of a Trust Deed.
This is one reason homeowners should compare a Trust Deed with DAS rather than focusing on debt write-off alone.
Significant equity
Where substantial equity exists, the trustee must explain how it is expected to be dealt with.
DAS comparison
Under DAS you repay included debts through a DPP; property is treated differently from insolvency assets.
Common questions
Questions people ask before taking the next step
Will I automatically lose my home?
No. But your property and equity need to be assessed before anyone can responsibly explain the implications.
Should I remortgage to clear debt?
That depends on affordability, risk and the available alternatives. It should not be assumed to be the best route simply because equity exists.
Is DAS better for homeowners?
It can be worth considering because DAS is not an insolvency process, but suitability depends on the whole financial position.
✓
You don’t have to work it all out yourself.
Answer a few questions and find out which Scottish debt options may be worth discussing.
✓ Protected Trust Deed✓ Debt Arrangement Scheme✓ Other options where appropriate
Start My Scottish Debt Check →
Confidential. No commitment. For Scottish residents.