A Protected Trust Deed and the Debt Arrangement Scheme (DAS) are the two most common formal debt solutions in Scotland. They share a lot — one affordable payment, frozen interest — but differ in one crucial way: whether you repay your debt in full.
Last reviewed: 31 July 2026
The single biggest difference is what happens to your debt. In a Debt Arrangement Scheme, you repay everything you owe — just spread into one affordable payment with interest and charges frozen. In a Protected Trust Deed, you pay what you can afford for the term, and qualifying unsecured debt you genuinely can’t afford may be written off at the end (subject to your creditors’ agreement, and not guaranteed).
So the honest starting question is simple: can you realistically clear what you owe within a reasonable period? If yes, a DAS may be ideal. If not, a Trust Deed may be more appropriate.
The table below sets out the main differences. Your own circumstances — especially any equity in your home — will affect which is suitable.
| Protected Trust Deed | Debt Arrangement Scheme (DAS) | |
|---|---|---|
| What it is | A form of insolvency | A Scottish Government repayment scheme |
| Repay in full? | No — you pay what you can afford | Yes — you repay the full amount owed |
| Debt written off? | Possibly, at the end (if creditors agree; not guaranteed) | No |
| Interest & charges | Frozen once protected | Frozen once approved |
| Typical length | Around 4 years (48 payments) | Until debts are repaid (often longer) |
| Home & car | Trustee has an interest in home equity | Protected while you keep up payments |
| Credit rating | Affected | Affected |
| Public register | Register of Insolvencies | The DAS Register |
| Best if… | You can’t realistically repay in full | You can repay in full given time |
A DAS often fits if you can afford to repay your debts in full given a bit more time, you want to avoid insolvency, and protecting your home and car matters to you (they’re protected as long as you keep up payments). Because you repay in full, it’s viewed a little more favourably than insolvency — though it still affects your credit rating.
A Trust Deed often fits where repaying everything simply isn’t realistic on your income. It’s a form of insolvency, so it’s a serious step with lasting consequences, but it can bring real relief where the numbers don’t otherwise add up. It typically runs for around four years, after which qualifying unsecured debt you couldn’t afford may be written off.
There’s no substitute for running your actual numbers. A quick, free conversation about your income, outgoings and debts will show which route is realistic for you — and we’ll always be honest if neither is suitable and free, impartial advice would serve you better.
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See if you qualify →Trust-Deeds.co.uk is a trading style of My Debt Plan Ltd — a commercial, profit-seeking service, paid for the debt solution you enter into. Your initial advice is free and there’s no obligation; if you proceed, fees apply and are shown to you in full first. Formal debt solutions can affect your credit rating may be recorded on a public register, and carry other risks, so they are not right for everyone; any debt write-off depends on your circumstances and your creditors’ agreement and is not guaranteed. A solution is not suitable for everyone. Free, impartial debt advice is available from MoneyHelper, StepChange, National Debtline and Citizens Advice Scotland.