Step 2 Work out your business and household budget

​Working out offers of payment to non-priority creditors

Extra advice:

small offers

Don't worry if your offers look very small. Your creditors would rather you pay a small amount regularly than make promises you can't keep to.

Once you have worked out how much you can afford to pay off your priority debts, see what money you have left over for your non-priority debts. Your budget will work this out for you. If you have some money left, Your budget will divide up the money between your non-priority creditors. This is worked out on a pro-rata basis. This is how the court would do it and means all your creditors get a fair share of the money you have available.

Extra advice:

what to do next

If you are not sure about what to do next, or about the best option to deal with your debts, contact us for advice.

Information:

no money left to pay your non-priority debts?

If you have no money left to pay your non-priority creditors, you still have options.

What if I have no money left to pay my creditors?

 


 
 
 
 
 
 
 
 
 
 

Sheriff court decrees

See our fact sheet:

Debt Arrangement Scheme (DAS).

You should normally include this debt with your non-priority debts and work out the offer of payment in the same way. It would also be a good idea to see if you can get help to deal with your debts. There is a range of debt options that may be available to you. For example, the Debt Arrangement Scheme (DAS) can stop creditors taking further action against you, even if you have a decree.

What if my creditors take court action?

What are the options for dealing with my non-priority debts?

If the court has ordered you to pay the decree by instalments, you should normally include these in the household outgoings section of your household budget.

If you have worked out an offer of payment as explained in Working out offers of payment to non-priority creditors above and this is less than the amount the court has ordered you to pay, you could:

See our fact sheet:

Time to pay directions and orders

  • decide to pay the amount the court ordered you to pay and include this in the household outgoings section of your household budget; or
  • decide whether you should apply to the court to reduce the amount you have been ordered to pay.

Contact us for advice.

Are your household outgoings more than your household income?

 
If your outgoings are more than your income, you should look to see if you can increase your income or reduce your outgoings.
 

Ways of increasing your household income 

Help with managing your money and budgeting for your household

If your outgoings are still more than your income after doing these things, contact us for advice.