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Home » Trust Deeds (Scotland) » Trust Deeds - FAQs » What is a Protected Trust Deed?

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What is a Protected Trust Deed?

A protected trust deed is a special kind of trust deed that is binding on all your creditors.  Provided you comply with the terms of your protected trust deed, your creditors usually can take no further action to pursue your debt or to make you bankrupt.

A protected trust deed prevents you from applying for your own bankruptcy or for a debt payment programme under the Debt Arrangement Scheme.

If you run up any new debts after you sign the trust deed, you will not be protected from action by your new creditors.

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