Advice On Trust Deeds Scotland

Trust Deed Debt Help

So your Trust deed is over and now you have to get your life back in order. I had a Trust Deed that finished in July 2009, what a wonderful feeling to be completely debt free. I knew I would have to begin at the start to repair the bad credit rating as I knew that one day I wanted to own my own property. So after looking into it I began to repair the damage that I had done to myself financially.

The first thing I had to do was make sure the information held on my credit file was correct. There is one place to go for a free credit check this is Experian they offer one month free but you must remember to cancel after the month so they don’t charge you. I became a member with Experian online so I could get a look instantly at my report, however I stress again you must remember to cancel.

Other companies may have different information on you depending on which company your creditors reported to.

Scottish Debt Advice

First thing you need to do is confirm that all creditors that were in your Trust Deed have the correct default date on file, this should be the date you signed the Trust Deed. It is vital that this date is correct so that your defaults fall away at the correct time. To get this fixed you will need to write to each creditor confirming the start date of your Trust Deed and enclose a copy of the Trust Deed.

Next you need to receive for a discharge letter from your Trustee, this will be automatic but can take a few weeks to arrive, and the trustee will issue a letter confirming that all your creditors have been paid off. If nothing arrives don’t hesitate to contact your trustee to find out what the situation is.

Once the trustee has sent your discharge letter all creditors should update your credit file to say payment is settled os satisfied. Some creditors will do this automatically other you will have to get in touch with to make them do this.
Once you receive your letter check your credit file to make sure the creditors have amended you file tow that it has been settled. If it has not you will need to write to the creditors enclosing a copy of your discharge letter, by law your creditors are required to do this and that the information given is correct. There are some template letters available on the internet; I have added a copy of the letter I used. I used the same letter to get my default date amended and to get my file marked as settled.

The creditors will take up to six weeks to update your file, However if they have not done it in that time you can phone and chase them up reminding them that they are required to do this by law. Once I sent my creditors letters they all updated my file and I did not need to contact them again.

Some creditors may have sold your loan onto someone else, if the new creditor does not update your file or respond to your letter contact the original creditor as you signed the agreement with them and they still have a responsibility for making sure the correct information is on your report.

Trust Deed Scotland Debt Help

You will get the contact details for your creditors on your credit report however you will need your account number. If you can not find your account number call your creditor they will be able to give you a reference number at least.

From the date you signed your trust deed all the defaults will stay on your file for six years.

Once your report is accurate it's time to think about rebuilding your credit. There are some things you can do, first upgraded bank account from a basic current account to a current account with a debit card they would not allow a credit card, I also wanted a Vanquis credit card, the APR is high but I just wanted to rebuild my rating, use this only once a month and always clear the balance never use it if you cannot afford to clear it, that way you do not pay interest and get a good report every month in your credit file. I also got a Litttlewoods account and adopted the same philosophy remember to always pay off in full.

Also don’t forget credit searches leave prints on your file so try to keep your applications to a minimum and don’t apply for anything you don’t think you’ll get. It is also worth applying for a small overdraft to build a good relationship with your bank.