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Debt Arrangement Scheme (DAS) — Scotland's Debt Solution

The Debt Arrangement Scheme (DAS) is a Scottish government debt management tool that lets you repay your debts in full over time, with all interest and charges frozen, and legal protection from creditor action. It's administered by the Accountant in Bankruptcy (AiB) and is unique to Scotland. Unlike bankruptcy or sequestration, you repay everything you owe — but at a pace you can afford.

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What is DAS and who is it for?

DAS is designed for people in Scotland who:

  • Have debts they want to repay but need more time and lower payments
  • Have a steady income (enough to make regular payments, even if small)
  • Want to avoid sequestration (bankruptcy) and its consequences
  • Need protection from creditors while they repay their debts
DAS is Scotland only. If you live in England or Wales, the equivalent protection during a repayment plan is provided by an IVA (if creditors agree) or Breathing Space (for short-term protection). Contact your debt adviser for the right solution for your location.

How DAS works — the Debt Payment Programme

Under DAS, you enter a Debt Payment Programme (DPP). This is a formal agreement that:

  • Freezes all interest and charges on included debts from the date the DPP is approved
  • Sets a single monthly payment based on what you can afford after essential living costs
  • Distributes that payment between all your creditors proportionally
  • Provides legal protection — creditors cannot pursue enforcement while the DPP is in force
  • Creditors can object to a DPP, but the AiB can approve it without their consent if the programme is fair
Unlike an IVA, you repay 100% of what you owe under DAS (with frozen interest). This means DAS can last many years for large debts — but for many people the peace of mind and legal protection is worth it.

The Moratorium on Diligence — immediate protection

While setting up a DPP, you can get a 6-week Moratorium on Diligence — Scotland's version of Breathing Space. This gives immediate protection while you work with an adviser:

  • Creditors cannot take enforcement action (diligence) during the moratorium
  • Sheriff court proceedings are paused
  • Bank arrestments and wage arrestments cannot proceed
  • You apply to the AiB — it takes effect immediately
  • You can extend the moratorium if needed while your DPP application is being processed

How to apply for DAS

1
Get free debt advice
Contact an approved money adviser. DAS applications must be made by approved money advisers — you cannot apply directly. Approved advisers include Citizens Advice Scotland bureaux, Money Advice Scotland services, and local authority money advice teams.
2
Complete a budget and debt assessment
Your adviser will calculate your available monthly payment after essential living costs. They'll identify which debts to include in the DPP.
3
Submit the DPP application
Your adviser submits the application to the AiB. Creditors are notified and have 21 days to object.
4
DPP approved
If approved, the AiB sends a DPP confirmation. All interest freezes from this date. You make a single monthly payment to a payments distributor who sends money to your creditors.
5
Continue payments
Keep paying until all debts are repaid in full. If circumstances change, your adviser can apply to vary the payment amount.

What happens if you can't keep up payments?

  • If you miss payments, creditors may object and the DPP could be revoked
  • Contact your money adviser immediately if you're struggling — payments can be varied (reduced temporarily or permanently)
  • If the DPP is revoked, creditors can restart enforcement action
  • You may need to consider sequestration (bankruptcy) if the DPP breaks down
  • Don't wait — early contact with your adviser gives the most options

Get advice about your specific situation

Ash is a free UK guidance assistant. Ask about your rights, get step-by-step guidance, and generate a formal letter if you need one.

Talk to Ash — it's free

No sign-up · No account · Works for England, Scotland, Wales & Northern Ireland

Related guides

Dealing with Debt
Overview of all debt solutions — DAS, IVA, bankruptcy.
Breathing Space
England and Wales equivalent for short-term protection.
Bankruptcy
Sequestration in Scotland — when debts can't be repaid.
Bailiffs
Sheriff officers and diligence in Scotland.