DAS Scheme

The Debt Arrangement Scheme can help you pay your debts in a managed way and free from creditor pressure.

There are five parties involved in the DAS Scheme:

1. The debtor who agreed to proceed with a debt payment programme with their DAS Approved Money Advisor.
   
   
2. The DAS Approved Money Advisor that provides debt advice.
   
   
3. The creditors who has agreed (or is obliged) to accept payments via the debt payment programme.
   
   
4. The DAS Administrator who is responsible for the approval of a debt payment programme.
   
   
5. The Payments Distributor who collects DAS payments and forwards them to the creditors.
   

The start of the process is to approach a Money Adviser for advice on the solutions available to you. This is often free but some may charge you for their services. If you and they conclude that the DAS scheme is the best solution for you they will put you in touch with a DAS Approved Money Advisor to arrange a Debt Payment Programme.

A Debt Payment Programme is a way to repay your debts at an affordable rate over any reasonable period of time. Creditors have the opportunity to agree to the Debt Payment Programme (and are deemed to have agreed if they do not object). If they object to the Debt Payment Programme the DAS Administrator may still approve it if they believe the programme to be fair and reasonable.

Once a Debt Payment Programme has been approved you have protection from creditors and they can no longer take legal action against you. Interest will be frozen from the point of approval.

There are clearly benefits to the DAS scheme for certain people. A good debt advisor will be able to assist in comparing the scheme to bankruptcy (sequestration), LILA sequestration, Protected Trust Deeds and Debt Management Plans (DMP’s). Further information on the DAS scheme is available Money Scotland website.

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