The number of decrees and total amount of debt registered against consumers in Scotland dropped by 42% in the third quarter of 2020, according to new figures.
Registry Trust said the number of decrees fell from 4,859 in quarter three of 2019 to 2,805 in the same period this year.
While the total value of the debt fell from £13.2 million to £7.6 million, there was little change from the average value of £2,715 last year to £2,710 this year.
The number of decrees against Scottish businesses fell by 35% from 805 to 525 as the total value dropped 43% from about £3.5 million to just over £2 million.
For incorporated businesses, the figures recorded the same percentage drop with 437 decrees this year compared with 670 in 2019, with the debt value down 42% from just over £2.9 million to about £1.7 million.
Smaller businesses also welcomed a decline in decrees with 135 in 2019 to 88 this year (35%) while a 48% total value fall puts the 2020 figures at around £342,036 – down from £655,220 last year.
Mick McAteer, chairman of the Registry Trust, said: “Covid-19 interventions by government and regulators, and forbearance by creditors, have helped Scottish consumers and businesses.
“But once these measures are wound down, the damage to household and business finances could start to show up.”