In the past, creditors were unable to recover against cash owned by the debtor. As of November 23, 2009, that will change under Part 8 of the Bankruptcy and Diligence etc (Scotland) Act of 2007.

If a creditor obtains a judgment and serves a charge for payment that expires with no money having been paid, then a creditor can instruct the sheriff to carry out a money attachement. A sheriff has no power to enter homes so practically such an instruction will be carried out at a place of business. It must occur between Monday-Friday from 8am to 8pm.

There is a presumptioin that money (it can be negotiable instruments, promissory notes, money orders or currency) found on the premises belongs to the debtor, although the sheriff must make reasonable inquiries. The sheriff must submit a report to the court and the creditor has 14 days to apply to the court for a payment order authorizing the sheriff to release the money. The debtor or third party can contest the payment order and a hearing will then be held. A debtor can request a return of the money on the basis that the attachment is unduly harsh.

The new rules are fairly simple, but need to be followed precisely. The real difficulty will be for a court to determine ownership.