Scottish Trust Deeds Help and Advice

kiltedgee78

hello this is my first post though i have been looking at this site religiously for the past few years.

my situation is a had bad debt around 4 years ago and i contacted the CCCS who arranged a debt management plan. this was going ok and i could afford the payments however it was going to take 15 years to clear my debt. I then had a baby and my family moved to a larger house as there wasn't enough space to swing a cat. this meant a hike in rent. I spoke to the CCCS at the time and reduced my payments, but not enough, now my mistake was not conacting them earlier but my bank offered an overdraft and a credit card which i took to tide me over. i realise now that this invalidates my aggrement with the CCCS. so i have spoken to CAB no their adviser has mentioned a TRUST DEED though he has not given any real recommendation. Is the trust deed a viable option. i could, with my partners help manage to pay the larger amount for a trust deed in the knowledge that it would be cleared in 3 years. I will add that i have no assests and none of the debt is in my partners name.

I have tried to get further info online but i've just ended up more confused. Any assistance would be helpful.

What the CAB adviser stated that the insolvency practitioner will charge £2500 and this will be added to my debt and my monthly payment should be around £120. however online documentaiton it suggests that payments are likely to be above £200.

What happens in 3 years time. how does this effect my credit rating in the future as i would like to think about property at some point in the future

beanielou

Hi & welcome kilt
Did the CAB not mention a Debt arangement scheme at all?

kiltedgee78

i don't remeber the CCCS ever mentioned that though it was 4 years ago when i took out the DMP and when i asked for a proper advisor to contact me when i was looking into alternatives such as bankruptcy i received no call back.

beanielou

No, sorry,Im asking about when you had recent contact with CAB.
Look on money advice Scotlands website for a few pointers.

beanielou

Hi there Gillian & welcome to MSE
The amounts include the interest.
As debts are not in your name you do not need to enter the trust deed AFAIK.
HTH you a wee bit

GlasgowHelpPlease

Sorry if this has been covered before - new to the site, and had a look but wasn't sure about the answer.

After months of worrying (putting it mildly!) I have finally taken the plunge and am in the process of trying to decide between a Trust Deed and a Debt Arrangement Scheme.

My question is this: Northern Rock have more than 33.3% of my unsecured debt, and I have read on here that they can be difficult about agreeing to TD's or DAS's. Is that still the case?

If it is, is there anyway to keep them out of the scheme/TD - I could probably manage to pay my mortgage and the NRock unsecured lending, and have enough to pay back the credit cards and other lenders over about a 9 year period under the DAS arrangement.

Is there any way that I can go ahead with any kind of scheme if N Rock won't agree??

Thank you very much

GlasgowHelpPlease

gillianr2 wrote: »

When my husband spoke with the IP this morning regarding the trust deed we had brought up the same thing, we are with NR too and have been told they will almost certainly say no. He asked if we could leave NR out of it completely but he said that pasrt of th conditions of a trust deed is declaring all unsecured loans. Basically you can't pick and choose who you pay your full debt to and who you don't is what we were told!

We didn't know anything about the debt arrangement scheme and tbh I think even though it will take alot longer to pay off I think it sounds a bit less frightening than the trust deed!

Hth

It seems so unfair that Northern Rock could be the ones who decide which route you end up going down - especially when they got bailed out of their difficulties!

I agree about the DAS - does seem less scary, but it also seems such a long time until everything gets paid off

Good luck with whatever you end up doing.

GlasgowHelpPlease

gillianr2 wrote: »

When my husband spoke with the IP this morning regarding the trust deed we had brought up the same thing, we are with NR too and have been told they will almost certainly say no. Hth

By the way - has anyone tested this for sure with Northern Rock? Especially recently when they have been told by the government to be sympathetic to people in difficulties? Would be very interested to hear from anyone who has actually tried to get a TD with Northern Rock and see if they can be persuaded.

Thanks again

beanielou

All unsecured lending must go into the DAS & secured as well come to that.
HTH.

beanielou

Not too sure but will try to remember to check ~ think it could just be his income if debt all in his name though.