Edge of Bankruptcy

Submit Enquiry

Name

Email

Phone:

Enquiry Type

Comments

Enter Code:
Captcha

Taking Care of Insolvency in Scotland

Insolvency involves a situation, in which a person or an organization is not capable of repaying any of their debts. During such cases, an insolvency trustee is allotted to sell all available and liquid assets, and whatever recovered from the sale is paid to off as liabilities to the creditors. In Scotland, the insolvency of limited companies and limited liability partnerships and other organizational insolvencies are largely chaired by the UK parliament, where as personal insolvencies, including insolvencies of some public bodies like schools are chaired bythe Scottish Parliament and the court.

There are three forms of insolvencies in Scotland; sequestration, the protected trust deed and corporate insolvency. The key act that reins oninsolvency in Scotland is the Bankruptcy (Scotland) Act 1985.

Sequestration, usually means Bankruptcy, involves the transfer ofassets, belonging to the debtor, to a trustee. The debt owed to the creditors must be equal to or more than £1500. If Sequestrated, the debtor is under various, court orderedrestrictions, including the fact that he or she can not ask or loan any more credit.

Protected trust deed is, a mutual, final resolution contract or a trust deed in which the debtor settles his debt with the creditors as much as the debtor can afford. Usually a trustee is involved and the proceedings usually end in the debt being written off, if the creditors do agree, in all other sense the deed does not stop the creditor from taking legal action against the debtor. Under such an adjustment the debtor, usually is not subjected to many restrictions and the trust deed usually lasts for the period of three years. This arrangement usually never leads to sequestration, which in Scotland, can last a lot longer and ma have tighter restrictions than a period of three years, with limited restrictions

This article is free for republishing
Source: http://www.articlealley.com/article_182946_19.html


Don't Miss...
  1. Potential Implications of Insolvency for Directors
  2. Is Chapter 7 Still Available To a Debtor?
  3. Secured Debt Consolidation Loans: Secure Your Credit For Future
  4. Make An Escape From Debts Through Unsecured Consolidation Loans
  5. Secured Debt Consolidation Loans: Help you usher a new debt free life
  6. Sub Prime Auto Loans: Bad Creditors can Own Car too
  7. Helpful Information On Mortgages
  8. The Best IVA Advice for Joint Debts
  9. Online Debt Consolidation Loans- a revolt against debts
  10. Insolvency Practitioners in the UK: How to Not Get to Know Them
  11. Mortgage Information for the creditor and debtor
  12. Debt Consolidation Loans: get rid of the debt-danger
  13. Debt Consolidation Loans: Offers Finance To Eliminate All Debts
  14. Unsecured Debt Consolidation Loans: Help You Get Life Debt-Free
  15. Bad Credit Unsecured Loans: Credit To Edit Your Financial Deficit
  16. Cope Up With Your Debts With Personal Debt Consolidation Loans
  17. Dare To Achieve Your Goal with Student Debt Consolidation Loans
  18. Forget Your Debts with Secured Personal Debt Consolidation Loans
  19. Loans are Available to Consolidate Personal Debts
  20. Come Out Of The Pitfall Of Debts With Bad Credit Tenant Loans
  21. Poor Credit Student Loans: For All Those Who Can’t Afford to Study
  22. The Pros And Cons Of Debt Consolidation Loans
  23. Keeping quiet about Loans
  24. Credit Card Debt Consolidation Loans: Dig you out of the payment grave
  25. Debt Settlement - Stuck With Your Loans - Here Is The Help!
  26. Conquer Fiscal Strain with Low Cost Debt Consolidation Loans
  27. Chapter 7 Pre-Filing Requirements
  28. Have a Debt Free Life: Secured Personal Debt Consolidation Loans
  29. Loans Consolidate the Debts to Make You Debt free
  30. Debt Consolidation Loans – Help You To Eliminate Your Debts
Latest...
  1. Insolvency London, UK: System in Peril
  2. Insolvency Services in the United Kingdom
  3. With the Coming Medicare Insolvency You Will Need a Health Savings Account
  4. Potential Implications of Insolvency for Directors
  5. Tips to Help Understand Insolvency Vs. Bankruptcy
  6. Insolvency Practitioners in the UK: How to Not Get to Know Them
  7. Information on Asset Liquidation and Insolvency
  8. Bankruptcy Advice: How to Resolve Insolvency
  9. Tips for Surviving Financial Insolvency
  10. Smart Tips on Liquidation and Insolvency

© Edge of Bankruptcy 2008. All Rights Reserved