Will the Trust Deed affect my credit rating?
Yes a Trust Deed does affect your credit rating because you are breaching the original contractual terms of the credit agreement.
Once you have successfully completed your Trust Deed it will still show on your credit reference agency files for another two years, which may make it more difficult to obtain credit, although not impossible. You will no longer have any outstanding unsecured debt and will be in a position to start rebuilding your credit rating once again. Six years after the Trust Deed starts, your credit rating will contain no mention of it.
It’s important to remember, if you have already missed payments or have been paying reduced amounts to your creditors then your credit rating may already have been adversely affected.
Debt Advice Foundation is a registered UK charity offering free, confidential debt advice. If you need advice about Scottish Trust Deeds or would like to see if you qualify, please call the charity’s helpline to speak with a Advisor on 0800 043 40 50.