Fewer Scots going into bankruptcy

The amount of Scots going into bankruptcy has dramatically declined this financial year, according to new figures.

A report from Scotland's insolvency service Accountant in Bankruptcy (AIB) has indicated that 8,838 Scots declared themselves bankrupt in 2012-13, which represents a 20 per cent dropped compared to the previous year.

According to heraldscotland.com, this is largely due to an increase in the amount of Scots repaying their debts through the Debt Arrangement Scheme (DAS). There was a 40 per cent increase in applications for this scheme in 2012-13.

In spite of these figures, debt still remains a fear for a significant portion of the Scottish population. These individuals may be comforted to know that there are options, such as a payday loan, that can help them if they are struggling to pay certain bills. 

Rosemary Winter-Scott, who is chief executive of AIB, believes that the Scottish debt problem is slowly moving in the right direction.

Speaking to stv.tv, she said: “The Annual Report for 2012-13, reflects another busy and exciting year across the whole organisation, with much progress made towards our vision to create an insolvency system that is part of a Financial Health Service through our considerable work on policy and legislative reform.”