The Scottish Debt Arrangement Scheme (DAS)

A DAS is a settlement made by the Ministry of Scottish Government for the debtors, unable to pay

debts. This scheme allows you to pay an affordable monthly amount freezing all your charges and

interests.

How it works?

When it is decided that you are going for a DAS you should inform your creditors as soon as

possible so that they can give you some time to apply.

Once you apply for DAS the authority will refer you approved money adviser. After taking all

your debts in account he will figure out an affordable monthly payable amount for you. Then he

will set a Debt Payment Programme (DPP) for you.

Once your creditors agree to your proposal you are on, if they refuses the DAS Administrator

may approve your DAS if there is no other suitable way. Once DPP is turned on you can start

single monthly payments for all your debts and you are free from annoyances.

Settlement of monthly payment

The monthly payment would be set according to your income. The approved money adviser

would take care that there is enough money in your hand as living cost but it is better to put as

much effort to pay off the debt as you can. However in case of emergency you can get a six

month payment break.

How long does it last?

It takes a long time to pay off DPP. However, the time so set by the approved money adviser

would be reasonable according to your circumstance. You will have to make the regular

payment as long as i) your debts are over or ii) you can pay make the full payment of the debt.

No more interest, charges, penalties. No more creditors’ call

When you are going through a DAS all your interests, charges, penalties will be stopped. Once

you entered a DPP you creditors are not able to charge you any amount more than DPP. When

the DPP is on the creditors are legally barred to call you or make any kind of contact to you.

Drawbacks:

 It would take a long time to bring you out of debts as you are paying a little amount every

month as you can afford.

 It would affect your credit rating. A DPP will appear on your credit file for at least six years.

 Some companies may charge to set up a DPP