Notes for Guidance - Creditors - Debt Arrangement Scheme

The legislation allows for fees to be charged to cover the administrative costs associated with the DPP. The client does not pay any fees for the administration these are borne by you and the other creditors.

There is a 2% fee for the consideration of an application for approval of a DPP, which is paid to the DAS Administrator. There is also an administration fee of 20% of the sum due to a creditor, to be paid to the payments distributor. 

In cases where AiB have been nominated as payments distributor for a case, a 5% fee will be applied for administration costs.

The money advice organisation is required to inform AiB if they wish the remaining 15% of the statutory fee ingathered to be returned to the organisation directly, or if they prefer the funds to be remitted to central Scottish Government to help with the provision of advice in Scotland. 

These fees will only be applied when the client has paid their regular payment to the payments distributor and will be deducted prior to any money being paid to the creditors.

Creditors will always receive a sum minus the applied fees. Therefore, creditors will receive payment of 78% of the debt when the DPP is completed.