Frequently Asked Questions

If you want to find out more about the debt arrangement scheme then you’re in the right place. We’ve put together a list of the most common questions our customers ask so you can find the answers you are looking for quickly.

If we don’t answer your question below then don’t hesitate to get in touch with us. Our friendly advisers have a wealth of experience helping people get out of debt and all our advice is FREE.

Call us on 0800 280 2816 or request a call back using our ‘Get advice now’ button below.

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  1. Who qualifies for a DAS?
  2. What is a DAS?
  3. Is it only available for individuals?
  4. How does a DAS DPP become approved?
  5. What does an approved DPP mean?
  6. What happens to the arrestment in place on my earnings?
  7. What is the Fair & Reasonable Test?
  8. What is a continuing money adviser?
  9. Who acts as my continuing money advisor?
  10. Who is the DAS administrator?
  11. What is the DAS Register?
  12. What is a Payment Distributor?
  13. Does DAS cost me anything?
  14. What is the minimum monthly payment to a DPP?
  15. Must I include all my debts?
  16. Will DAS freeze my interest and charges?
  17. Will it affect my credit rating?
  18. What happens when I complete my DPP?
  19. How long does a DPP go on for?
  20. Will I lose my home and car?
  21. Are mortgage/rent arrears included in my DPP?
  22. Will my employer find out about my DPP?
  23. Can I apply for DAS even though I am self-employed?

  1. Who qualifies for a DAS?
Any person, couple or business that has at least one debt, resides in Scotland and has received advice from an approved money advisor can apply for DAS. They must also be able to afford regular monthly payments to the DAS.  
  1. What is a DAS?

A Debt arrangement scheme (DAS) is a debt management scheme within Scotland that allows your debts whilst receiving protection from your creditor(s) in terms of interest and charge and any threat of legal action.

You must have a disposable income to enter a DAS to allow a payment to be made to your creditors.

Within DAS you can apply for a debt payment programme (DPP) which allows you to repay your debts over a reasonable period of time based on one affordable monthly payment Find out more by visiting our DAS page.  
  1. Is it only available for individuals?
No. A partnership, trust or unincorporated body of persons can apply for a Business DAS.  
  1. How does a DAS DPP become approved?
When you call PayPlan we will go through all the debt solutions available and recommend the most suitable debt solution for you. If DAS would be the best route, you will need to put together a DAS proposal detailing the amount of money you owe, how much you can afford to pay back each month and how long you will be making these payments for. PayPlan don’t manage your DAS but we will offer advice on the debt solution.

Your creditors will then have the opportunity to accept or reject your proposal. If they vote to accept it will go ahead as planned. If one of your creditors objects you can appeal this decision to the DAS Administrator. If they decide your appeal is ‘fair and reasonable’ your proposal may be still able to go ahead.  
  1. What does an approved DPP mean?
An approved DPP or debt payment programme means you will make repayments to your creditors as agreed. While you make these payments your creditors will not be able to take legal action and they will be required to freeze their interest charges.  
  1. What happens to the arrestment in place on my earnings?
Once your DPP is approved the arrestment will cease to have effect and the creditor can no longer deduct money from your wages. Any balance that is outstanding will be added into your debt level and paid back through the affordable payments that you make to the DPP.  
  1. What is the Fair & Reasonable Test?
This is the test that the DAS Administrator will use when deciding whether or not to approve a DPP. If all creditors accept the DPP the fair and reasonable test will not need to be used, however if one or more creditors reject the DAS Administrator will take into account certain criteria to decide whether to overrule the rejections. 
  1. What is a continuing money adviser?
A money advisor will offer advice about debt solution and will help you make a proposal and get accepted on to a debt arrangement scheme. After you have been accepted onto a plan the money advisor’s role is over. A continuing money advisor however will stay with you throughout your repayments and act as a supervisor to your plan.  
  1. Who acts as my continuing money advisor?
Where you have appointed a money advisor only, the Accountant in Bankruptcy (AIB) will then become your continuing money advisor for any queries throughout your DPP. Where you have chosen a continuing money advisor, your chosen company will continue to oversee your DPP for its duration.  
  1. Who is the DAS administrator?
As DAS is a scheme approved by the Government, they will appoint a civil servant to act as DAS administrator. They are responsible for approving your DPPs and maintaining the DAS Register.
  1. What is the DAS Register?
The DAS Register is a public register that records details of everyone participating in a DAS. Credit agencies use this register to update credit files.  
  1. What is a Payment Distributor?
A payment distributor is an approved party in the DPP who will receive your monthly payments and distribute money to the creditors.

The payment distributor is approved by the DAS administrator.  
  1. Does DAS cost me anything?
Within DAS there are charges for the costs of the distribution to creditors and application, there is a maximum of 10% that can be taken in total, no more than 8% to the payment distributor and 2% for the application fee. These fees are taken from your normal monthly payment and are not paid in addition to your debt; therefore your creditors will receive a minimum of 90% of the debt back.

Some companies that act as a continuing money advisor in DAS charge additional fees such as a set-up fee and a monthly management fee for supervising your plan and these costs are in addition to the above. This means that your repayment term could be extended and result in paying much more than you originally owed.

We would always advise you to enter the DAS with a company who does not charge additional fees.  
  1. What is the minimum monthly payment to a DPP?
There is no minimum monthly payment for a DPP; however your money advisor will ensure that your disposable income will be sufficient to repay your debts within a reasonable time-scale. This will help ensure your DPP is approved by the creditors and DAS administrator.  
  1. Must I include all my debts?
All your unsecured debts, apart from student loans, Child Maintenance arrears and Court Fines must be included within a DPP.  
  1. Will DAS freeze my interest and charges?
Interest and charges are frozen as soon as your application is submitted. If your application isn’t approved it is likely charges will be reintroduced onto your debts and creditors may apply the charges that would have been added during the application period.  

Similarly if you don’t comply and your DPP is revoked your creditors will be able to add on any interest and charges that would have been owed if the DPP was never in place.
  1. Will it affect my credit rating?
DAS will show on your credit file with the credit reference agencies for a period of six years, or until your DAS has finished, if this is longer. This will make obtaining credit more difficult.  
  1. What happens when I complete my DPP?
After completion your DPP you won’t be responsible for the debts any more. You will also be removed from the DAS register.
  1. How long does a DPP go on for?
In a DPP you pay the full amount of your debts back. Once you know the total amount of debt you owe and you’ve agreed an affordable monthly payment, you can work out how long your plan will go on for.  
  1. Will I lose my home and car?
One of the greatest advantages of a DPP is that your assets are not usually taken into consideration and are usually protected by the scheme.  
  1. Are mortgage/rent arrears included in my DPP?
Yes, mortgage and rent arrears are included in your DPP. They will receive payments from your payments distributor similar to your other unsecured creditors. You should ensure that your keep making any future mortgage/rent payments as they can still take legal action against you if the arrears arose after your DPP is approved.  
  1. Will my employer find out about my DPP?
All DPPs are entered on the DAS register which is a public register. Therefore, if your employer is likely to check your credit rating or the DAS Register, there is a possibility that your employer could find out.
  1. Can I apply for DAS even though I am self-employed?
Yes, if you are a sole trader, you can enter a normal DAS. If you are a partnership, trust or unincorporated business you will need to enter a Business DAS.