Council tax arrears are common and there can be a few ways to help you pay.
Make sure you apply for any discounts, reductions or exemptions that you may be eligible for and check they have been applied to your council tax bill.
Ensure that your income is maximised and you are getting all the financial help and benefits you may be entitled too. Use a benefits calculator to do this.
Use a budget planner to get a personalised analysis of your spending and be in a position to offer repayment to the arrears.
Your local authority will bill you for a year, however this is payable in monthly instalments. Councils split the instalments over 10 months, with two months at the end of the financial year having no instalments due. If you are struggling to make your payments a simple way to make them more manageable monthly would be to make payments over 12 months rather than 10.
There are a number of options available to you to that can help prevent any legal action being taken and help you deal with all of your debts in a manageable way. See our link below to find out more information about these options and what is the best option for you.
If you need a period of breathing space to consider whether to apply for bankruptcy, a trust deed or Debt Arrangement Scheme (DAS) debt payment programme, you can request a moratorium. This is an important step which could affect your credit score, so you should seek money advice before proceeding.
A moratorium will stop any creditors taking further legal action against you. Due to COVID related legislation passed last year, a moratorium currently lasts for a period of 6 months up from six weeks prior to the change. The legislation also removed restrictions on how often someone can apply for a moratorium, previously only one moratorium could be applied for every 12 months.
This legislation is due to be reviewed by the Scottish Parliament on the 30th September 2021.