Trust Deed
Can I get credit during a Trust Deed?
A Protected Trust Deed is a Scottish debt solution. There's no legal credit limit in a Trust Deed, but check your deed's terms with your trustee. Any new debt sits outside the Trust Deed.
- What the law says
- Ask your trustee
Written and reviewed by the AfterMy team · Last reviewed October 2026
Quick answerThere's no legal credit limit in a Trust Deed, but check your deed's terms with your trustee. The Scottish government's guidance says you can still apply for credit during a Trust Deed, but it may be harder to get and could affect your Trust Deed payments. Any new debt isn't included in the Trust Deed, so those lenders can take action against you. The £2,000 rule in Scottish law applies to bankruptcy, not Trust Deeds, but your Trust Deed has its own terms, so check with your trustee before you borrow. Come back when your Trust Deed has finished.
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The short version
A Protected Trust Deed, or PTD, is a formal debt solution in Scotland, set up under Scottish law rather than the rules that govern an IVA in England and Wales. The Scottish government's guidance says you can still apply for credit while it is running, but it may be harder to get accepted, and new borrowing may affect your ability to keep up your Trust Deed payments.
A Protected Trust Deed is recorded on the public Register of Insolvencies and on your credit file, so mainstream lenders will usually decline, and the credit you could get tends to be expensive.
Come back when your Trust Deed has finished.
Is there a £2,000 rule during a Trust Deed?
Not in law. The Bankruptcy (Scotland) Act 2016 makes it an offence to get credit of £2,000 or more without telling the lender about your status, but that rule applies to people who are bankrupt (sequestrated), not to people in a Trust Deed.
That doesn't mean a Trust Deed leaves you free to borrow. Your Trust Deed is a legal agreement with its own terms, and you must work with your trustee and tell them if your circumstances change.
Debt advice charities such as StepChange suggest telling the lender about your Trust Deed if you apply to borrow more than £2,000. Before you apply for anything, ask your trustee what your Trust Deed says about new borrowing, and get the answer in writing.
The £2,000 offence applies to bankruptcy, not Trust Deeds. Your own Trust Deed's terms are what count, so ask your trustee first.
What happens to new debts
Any debt you take on after you sign your Trust Deed is not included in it. It won't be written off when you're discharged, and you are not protected from legal action by those new creditors.
New borrowing also adds a payment on top of your Trust Deed contribution, which is set at what you can afford after essentials.
What helps your file while you are in a Trust Deed
You do not need new credit to make progress. Staying on the electoral roll, keeping every bill and your Trust Deed contribution on time, and keeping things steady all build a better picture for later. Completing the Trust Deed cleanly helps too.
What happens when your Trust Deed ends
A Protected Trust Deed typically lasts four years. Your trustee applies to the Accountant in Bankruptcy for your discharge using Form 5 and must tell you the date you were discharged. This happens once you have met your obligations, and your remaining included debts are written off.
The Trust Deed stays on your credit file for six years from the date it began, or the date it ended if that is later. Sharing confirmation of your discharge date with Experian, Equifax and TransUnion helps make sure your included debts show correctly.
Come back when your Trust Deed has finished.
Guides
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Questions
Frequently asked questions
Is there a £2,000 credit limit during a Trust Deed?
Not in law. The £2,000 offence in the Bankruptcy (Scotland) Act 2016 applies to people who are bankrupt, not to Trust Deeds. Your Trust Deed has its own terms, so check with your trustee before you borrow. StepChange suggests telling the lender about your Trust Deed if you apply to borrow more than £2,000.
Can I apply for credit during a Trust Deed?
There's no legal credit limit in a Trust Deed, but check your deed's terms with your trustee. It may be harder to get accepted, and it may affect your ability to make your Trust Deed payments. Any new debt isn't included in the Trust Deed. Come back when your Trust Deed has finished.
Does a Trust Deed show on a public register?
Yes. A Protected Trust Deed is recorded on the Register of Insolvencies in Scotland, as well as on your credit file.
How long does a Trust Deed stay on my credit file?
Six years from the date it began, or the date it ended if that is later. Sharing confirmation of your discharge date with the credit reference agencies keeps your file accurate.
Is a Trust Deed the same as an IVA?
No. A Trust Deed is the Scottish equivalent, set up under different law, with a different process and a four-year term rather than the usual five to six years of an IVA.
Come back when your Trust Deed has finished.
While your Trust Deed is running, the rules above apply.