Council Tax Advisors CIC now advise on Scottish debt solutions to meet growing demand from Residents

An increasing number of Scottish residents are turning to Council Tax Advisors CIC for free help in dealing with debts related to council tax arrears. According to CTACIC, they and other debt support agencies are seeing a steady increase in the demand for their services, with such help often leading to debt solutions such as trust deeds, sequestration, and debt arrangement schemes.

A large proportion of those seeking help for their debt problems have found themselves in trouble because of council tax arrears often facing sheriff officer enforcement. CTACIC offers free advice on how to manage the resident’s debt situation, mediating with the sheriff officers and council to establish an affordable, sustainable payment plan to repay their creditors. In cases of severe debt, solutions such as sequestration and trust deeds are considered

Chris Richards, Managing Director of Not for Profit, Council Tax Advisors CIC, commented: “It is staggering that the volume of enquiries we are receiving from Scottish residents has increased so much in such a short period of time. We are just pleased to be able to offer the appropriate free advice and support to those in arrears with their council tax and suffering from wider debt issues”.

However, many residents of Scotland are unaware of the options that are available to them. Faced with mounting debt and interest payments, they may not be clear on how they can get their debt under control. Speaking to a specialist advice service such as CTACIC is an excellent first step for anyone facing debt.

In Scotland, a trust deed allows a registered and qualified insolvency professional to manage negotiations on behalf of the debtor. Generally reserved for debt levels of £5,000 and above, a trust deed is a legal arrangement and a way to stop debts from spiralling out of control.

Another solution for mounting debt is sequestration. In this solution, available for those whose debts are over £1,500, the insolvency practitioner manages the sale of the debtor’s assets in order to pay off creditors. This, too, is a serious arrangement, but one that is proving invaluable to many people in Scotland.

For those without major assets, a LILA sequestration may be available. Standing for ’low income, low asset’, LILA sequestration sets an affordable plan for paying towards a bankruptcy and can allow a debtor’s unsecured debt to be written off after being discharged from bankruptcy.

However, for a large number of Scottish residents, an ideal solution is to enter into a debt arrangement scheme, or DAS. Backed by the government, a DAS allows a debtor to work with an approved money advisor to negotiate a payment plan with creditors. This scheme consolidates debt repayments into a single, affordable payment each month, which is then distributed to creditors.

Council Tax Advisors CIC encourages anyone in Scotland facing debt, particularly council tax arrears, to reach out to them for free help. Working with an approved advisor allows those in debt to avoid the problems that may come from sheriff officer enforcement. “The sooner you act, the easier it will be to find a solution that works for you”, added Richards.
 

Contact Information

Chris Richards

Managing Director

Council Tax Advisors CIC

(44) 01225 667 667

chris.richards@counciltaxadvisors.co.uk