Scottish and English debt laws are different, so if you are a Scottish resident and have questions on debt, then this is the place to post.

Moderators: TalbotWoods, JaneClack

By cufflink
#56483 I've just gone through the preliminaies with a debt company in Glasgow who, after some phonecalls, are telling me that secured debt (on my property) can't be taken as part of the overall deed unless you have enough equity in your property!

The point is, there's enough equity there to take care of about 75% of my debt... so I'm confused!
By GR
#56517 When I went through my TD I was informed that only unsecured debts could be included. This meant that our car finance was not included in the TD. We had no loans secured on the house.
By JLP
#56612
cufflink wrote:I've just gone through the preliminaies with a debt company in Glasgow who, after some phonecalls, are telling me that secured debt (on my property) can't be taken as part of the overall deed unless you have enough equity in your property!

The point is, there's enough equity there to take care of about 75% of my debt... so I'm confused!



GR is right that only unsecured debt can be taken as part of your Trust Deed, but if the equity in your property would cover 75% of your debt, the Trustee may take your equity to pay off your debts.Has he mentioned this? I am always loathe to suggest remortgaging- as in turning unsecured debt into secured debt BUT as your Trustee will take your equity anyway (or a good chunk of it), have you looked at this option on a Full and Final basis? Who did you speak to, was it an IP or a Debt Management company? Need more info please.