Notes for Guidance - Money adviser - Debt Arrangement Scheme

If at least 90% in value of creditors have consented (or are deemed to have consented), the DAS Administrator must approve the DPP automatically regardless of the amount of the debt or the length of the proposed programme.

If there is only one debt and the sole creditor has actively consented the programme will be automatically approved.

Where at least 10% in value of creditors object (or where the DPP is for a single debt and the creditor has not responded within the 21 day period), the DAS Administrator must approve a DPP proposal that is fair and reasonable. 

The DAS Administrator will take into account all creditors’ responses and the criteria set out under Regulation 25.

You and all parties who are eDEN users will be notified through the system. 

The DAS Administrator or continuing money adviser must send written notification of the approval of the DPP to the client and any creditors who have not signed up to eDEN.

Any non-eDEN notifications should be sent the next working day from when the decision was made. 

Any relevant party has 14 days from the date of notification to request a review of the decision. 

The date of approval will take effect from midnight of the day immediately preceding the day the notice appears in the Register. (i.e. a DPP approved on 1 November 2024 will be approved from midnight on 31 October 2024).

The DAS Administrator, or the continuing money adviser, must also send written notification of the approval to the clerk of a court which has made:

• a conjoined arrestment order
• a time to pay direction under section 1 (time to pay directions) of the Clients (Scotland) Act 1987, or time to pay order under section 5 (time to pay orders) of that Act
• a time order under section 129 (time orders) of the Consumer Credit Act 1974

This will, in effect, recall the order. Therefore, if a creditor is receiving any monies as a result of a direction or order, these payments will stop as the debt will be paid through the DPP. 

They will also send a notice of recall to each employer or party with possession of funds or property arrested. Earnings or property in the hands of a third party (arrestee) shall be released for the client’s use.

Where property is attached and the client has already been notified of the date of auction (prior to the date of making a moratorium application, or the date of application for the DPP), the removal and sale of the client’s property may still proceed.

You and all parties who are eDEN users will be notified through the system, with reasons why the DPP was not approved. 

The DAS Administrator or continuing money adviser must send written notification of the rejection of the DPP to the client, and any creditors who have not signed up to eDEN.

Any non-eDEN notifications should be sent the next working day from when the decision was made. 

Any relevant party has 14 days from the date of notification to request a review of the decision. Protection from diligence will continue for 14 days from the date the notice is placed on the DAS register. 

The client may make a subsequent application to the DAS Administrator for approval. However, they will be unable to submit a further moratorium application if they have had one granted within the past 12 months.