The Debt Arrangement Scheme (Scotland) Regulations 2004

Discretionary conditions

30.—(1) A debt payment programme on approval under regulations 25, 26 or 27, or approval of a variation under regulation 39, may be made subject to one or more of the conditions specified in paragraph (2).

(2) A specified condition is that the debtor shall–

(a) realise, and distribute amongst the creditors the value of, an asset of the debtor other than an asset excepted by paragraph (3);

(b) sign and deliver a payment instruction to an employer;

(c) seek agreement from a creditor to pay a continuing liability under regulation 34;

(d) complete, and submit when due, a tax or duty return or declaration;

(e) maintain an emergency fund in accordance with paragraph (4); or

(f) be bound by any other reasonable condition intended to secure completion of the programme.

(3) An excepted asset is–

(a) a dwellinghouse or mobile home occupied by a debtor as the debtor’s home;

(b) an asset that is exempt from attachment under section 11 (articles exempt from attachment) of, or that is not a non-essential asset under schedule 2 (non essential assets) to, the Act.

(4) In respect of an emergency fund, the debtor shall–

(a) make payments at the rate specified by the DAS administrator, into an account designated by the administrator for the purpose of the fund; and

(b) make no payment from the fund other than a payment for–

(i) an emergency repair as specified in paragraph (5); or

(ii) an essential requirement of the debtor or an immediate family member who is maintained by the debtor.

(5) An emergency repair is one required to maintain–

(a) a dwellinghouse occupied by the debtor in wind and water tight condition;

(b) in reasonable working order any item that is not a non-essential asset for the purpose of Schedule 2 of the Act;

(c) a vehicle required by the debtor for travelling to work, or other essential purpose.