Taking steps to regain control of your financial situation

Debt arrangement schemesThis is a scheme set up by the Scottish Government. The arrangement allows you to repay debt at an affordable amount each month. While in it, you are protected from diligence or being made bankrupt by creditors.

Debt management plans

These help individuals or households manage their debts when they are unable to maintain their contractual payments to their creditors due to financial difficulties.

Equity release

This allows you to release money from your property and continue to live there. You can only consider equity release if you are over 55 and a homeowner. Specialist advice is essential as there are risks.

Settlement offers

If you have recently received a cash lump sum, you could use this to offer creditors a one-off payment to clear your debt. This is known as a "full and final settlement".

Protected trust deed

This is a legally binding arrangement between you and your creditors.

If accepted, they agree to a fixed affordable monthly payment over a fixed term (usually three years). It is a form of insolvency and so your unsecured debts need to outweigh your assets, such as property or vehicles.

Sequestration

This is the Scottish equivalent of bankruptcy and can help you to get rid of debt that would otherwise take many years to clear. It is a form of insolvency, so your unsecured debts need to outweigh your assets, such as property or vehicles.

• Source: Consumer Credit Counselling Service