The Scottish Government have released figures showing who the top five providers of the Scottish Debt Arrangement Scheme were in 2017/18.
The largest provider by far, was the UK debt charity, Stepchange.
This was followed by four other providers, only two of whom are Scottish-only providers: specialist private debt firm, Carrington Dean and also Citizen Advice Scotland member, Citizen Advice Rights Fife.
In total, there are 16 providers named, 4 of whom are local authorities, 3 Citizen Advice Bureaux and 7 insolvency practitioner firms.
The list only names those providers who did more than 25 Debt Payment Programmes (DPPs) in 2017/18, but notes “other ” money advice providers account for 14.9% of all other DPPs delivered.
Reduction in numbers linked to cut in public funding of money advice services
However, the 2,318 Debt Payments Programmes that were approved in 2017-18, represents a 45% reduction in the number of Debt Payment Programmes that were approved three years earlier in 2014-15.
Local authority funded money advice services over that period also saw a 45% reduction in funding, suggesting the fall in number is linked with cuts in funding for money advice services.
What is the Debt Arrangement Scheme?
The Scottish Debt Arrangement Scheme is a formal debt repayment plan that allows consumers who are struggling with their debts to repay them through an organised plan.
Benefits of the Scheme are it:
- Freezes all interest and charges;
- Those in the Scheme only make one payment per month; and
- Borrowers are protected from all debt recovery action by lenders.
For more information on the Debt Arrangement Scheme, visit my page on it here.
|StepChange Debt Charity Scotland||1,151||49.65%|
|Pinnacle Debt Solutions||124||5.35%|
|Citizens Advice & Rights Fife||99||4.27%|
|North Lanarkshire Council||68||2.93%|
|Murray Stewart Fraser||49||2.11%|
|South Lanarkshire Council||41||1.77%|
|Inverclyde Council HSCP||29||1.25%|
|The Moray Council||26||1.12%|
|All other money advisers||329||14.19%|