Pay to Stay
Other ways the Council can collect unpaid rent
East Lothian Council will make every attempt to contact you about unpaid rent and any other debt owed to the Council as we want to make sure you get the help and support you need to manage your finances. However, failure to respond to our attempts to resolve the situation, may result in legal action being taken against you.
There are a number of ways that the Council can recover money you owe:
We can arrest your bank account
An arrestment of your bank account means that any money held in your bank, building society or savings account is frozen. We can instruct a sheriff officer to enforce your bank to release the money held, so that it can be used to repay your debt. You will not be able to get access to your account once the bank arrestment has been served, even if the amount you owe is less than what is in the bank.
We can arrest your wages
An arrestment of your earnings allows money to be taken directly from your wages by your employer to repay your debts.
We can instruct a sheriff officer to send an earnings arrestment to your employer. The deductions will be made each pay day in the same way that tax is deducted from your wages or salary. Your employer will then send the money deducted to the Council.
We can start legal proceedings to make you bankrupt
As a last resort, we may consider petitioning for your bankruptcy. This means we will start legal proceedings against you under the Bankruptcy (Scotland) Act 1985. After legal proceedings have started there will be additional costs due by you.
The consequences of being declared bankrupt are extremely serious and could include:
· A trustee being appointed to deal with your financial affairs
· The probable sale of your assets to meet your debts
· It is likely that you would be prevented from obtaining credit for a number of years
· Your bank will, in all probability, withdraw normal banking facilities
· Utility companies may insist on pre-payment meters as a consequence of bankruptcy
We can trace you if you have left a property with outstanding debts
We actively trace absconding debtors through various means and we may use data from third parties to trace you under Section 29 of the Data Protection (Scotland) Act 1998