The Debt Arrangement Scheme was introduced to provide Scottish residents with a solution to paying back debts without going insolvent. The DAS allows you to repay your debts at a slower, more affordable rate while allowing for reasonable and essential expenses to be maintained ensuring a comfortable standard of living is reached before any offer of payment is agreed. One of the main benefits to entering a DAS is that any valuable assets you may own such as home or car will not be affected in any way.
With the DAS you are paying back the full amount you owe plus a monthly administration fee to the DAS provider who will collect your monthly payment and distribute it to your creditors on a pro rata basis. On entering in to a DAS creditors are obliged to freeze all interest and charges and cease any further collections activities. Your chosen DAS provider will negotiate the repayment of your debt and put forward a statement of affairs and offer of repayment to your creditors, dealing with any contact from them in relation to recovery of your debt with them.
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