Scottish Trust Deeds Help and Advice

scottishdebtsurvival

iamwhatiam wrote: »

Hi,

My trust deed has just finished and my wife and i never missed any of the 36payments.

When we signed into the TD the house had no equity and we paid £500 each to have the TD secured. The house during the 3yrs in the trust deed has gone up in value and we now have approx 40k in equity...can anyone answer the following please:

Is our equity in the house safe and cannot be touched & can we know put our house up for sale

Thanks..

Hiya

Re the house: the £500 bought out the IPs interest in the property. the trustee should have confirmed this in writing at the time either before the £500 was paid or just after. Therefore he/ she will have no further interest in the property.

As to whether you can sell the house immediately, there are a couple of issues. You dont say whether you have your discharge letter or whether you have simply just paid the 36 months contributions. Between paying your last contribution your trustee has to pay your creditors their dividend and inform the Accountant in Bankruptcy of their accounts over the last 3 years. This can take approx 3 months. as part of the process the trustee will lift the inhibition which would have been registered in your name at the property at the start of the PTD. Basically, this prevents you selling the property whilst this is still in place.

So, in summary, if you've got your discharge letter i would guess that your inhibition has been lifted. If not, then a polite call to the trustee telling him of your intention to sell the property and ask if the closure of your PTD be given priority would normally work.

Best of luck

magicgirl68

Just been on AIB website and noticed that they are changing the way DAS works. Suggesting minimum monthly payment of £100. Thought this might be useful to someone, doesn't change until July 09 I think, so maybe anyone who hasn't made up their mind yet and can't pay £100 a month should have a look soon!

beanielou

Whats the current minimum payment into a DAS at the mo?

coolcait

Hiya

Interesting news about the proposed changes to DAS. At the moment there's no minimm payment, and there's no limit on the length of a DAS either - though most money advisers won't look at anything that's going to last for more than 10 years.

The big change might be letting people go straight to AiB, instead of having to find a money adviser who does DAS.

Thanks for letting us know about this news magicgirl - I'll follow it with interest!

Bexter

Hi Tigger

I've posted this elsewhere previously but thought some of it might help you..

I began a trust deed in 2003 which is now complete.

• The credit agreements that fell under the trust deed will stay on your credit file from 6 years from the date that you took the trust deed (date of default on your file). HOWEVER many companies will not have updated the file correctly. This means a) the dates of default will be wrong and they won't drop off your file at the right time and b) may not be marked as settled which they should be once you finish the deed and have the letter to prove discharge. To sort this out, you need to write to all applicable creditors, enclosing a copy of the letter. there is a template letter to send which tells them it is against the Ombudsman guideliens to makr the default any later than the date you signed the deed - PM me if you want it. It can be a painful process to gt your file updated (you obviously need to access your credit report to see which entries are wrong - some of mine were marked up to a year late). I found I was able to contact many by phone after the oriignal letter and get things changed but it took a few months.
• In terms of getting a mortgage, it's possible but in the current climate very very difficult until you are at least one year post-discharge and have a minimum 10% (probably more) deposit. I found London & Country offered good advice and they are free. However, things have changed since I was looking for a mortgage and it may be harder now as it is for everyone.
• Rebuilding credit - in the past couple of years I have been able to get a mobile through 3, a Vanquis credit card and a Next Directory account. This is the best way to rebuild credit- spend a little each month and then immediately pay it off. Shows you are borrowing responsibly - requires a lot of discipline. Never miss a payment, never pay late, space applications out over a few months, don't apply for too much credit (especially credit you probably won't get). Make sure you're on the electoral roll.
• As for whether to ask the credit agencies to put your deed on the file - not sure. Mine does appear on Experian in the court section - but is now marked settled, and will again fall off at the 6 year point. If you're going for a mortgage it will come up on the solicitor's search anyway until you're fully discharged.

I hope that helps a bit - it pays to spend a bit of time making sure things are in order in my experience. As soon as you make a joint application for something like a mortgage, your partner will be linked on your file, but in my experience it has not made any difference to my partner's credit - it is something to be aware of though.

Joyful

I posted this on another thread last night but it seems all the knowledge is on this thread. Any help would be appreciated.


Hi

I am posting on behalf of my Daughter at her request so hope I can get some advice/help for her.

Last year through the CCCS she was put in touch with a Company who advised she should go on a Trust deed and her Husband of 1 year to go Bankrupt. She has a shared house through the Homestake and her Husband is not on it. She was advised before this could happen her Husband needed to get more income from his job.

Roll onto 2009. Her Husband has a new job and has been advised it is he who must go on the Trust Deed and my Daughter go Bankrupt. Although there is only £3000 equity in the house obviously this concerns her.

Also when they take his salary into account they also take the maintenance for her child with ex and her child tax credits. She has asked why these could not be counted as her income as this is what it is. She has also asked if she brought in a couple of hundred a month by working (currently at home with a baby and toddler) could she then add her maintenance and child tax credits and then go on a Trust deed and has been advised not.

The lady from the company that first advised her is no longer there and she is getting very confused from the new person. He has advised her the only way to stop the house possibly being taken off her after a year would be if someone bought a percentage and even mentioned the companies that do this:eek:.

Sorry I went on a bit but can anyone explain the rules of both if my Daughter is a stay at home mum but does get the income I posted?

rosey22red

I would like to ask for some advice. I entered into a trust deed 3 years ago and have been paying ever since. I feel I was very badly advised when entering into the rust deed. I was 21 years old and although my debt was large it was managable. In hindsight I would have been able to pay these debts without resorting to a trust deed. My mum had died only 3 months before and I was in a very emotional period. I don't feel the trustee was clear in making sure I understood what I was entering into. She sold it as, pay for three years and your debt will disappear. To a 21 year old this sounds to good. I know now that it is, too good to be true! I have not had any credit since my trust deed but I'm still unable to get a bank account with switch card, a credit card (which I now need for my job) or any other kind of credit.
Is there anything I can do? With regards to clearing, or explaining, the trust deed on my credit file? Is it worth contacting the trust deed?
Any advice would be greatly appreciated.

violet_warren

im hoping you might be able to help me, i had a trust deed which was settled in jan 2003, i have the discharge papers to prove this.

but now after 6 years of being discharged i have a company chasing me for a loan. the loan was originally for £3000.00 taken out 1998, they are saying i have to pay over £8000.00 back to them.

after reading some reviews i have not contacted the company, as i believe this might open up my file.

do i ignore them? or can they take me to court, or will this show back up on my credit rating if i do not pay, as it is 6years since i have been discharged my credit rating is excellent now, and i dont ant anything appearing against my name

Bexter

Hi

Regardless of trust deed, if it's been 5 years since you made a payment or acknowledged the debt in writing it will be statute barred in Scotland anyway. Meaning you don't have to pay anything and they can't pursue you or put anything back on your credit file. Have a look here;-

http://www.bdl.org.uk/images/Prescrition%20and%20Limitation%20(Scotland)%20Act.pdf

Here's a template letter you can send to them - you are right not to call them or get into conversation.

Hope that helps.

Dear Sir/Madam

Acc/Ref No

You have contacted me regarding the account with the above reference number, which you claim is owed by myself.

I would point out that under The Prescription and Limitation (Scotland) Act 1973 Part 1 Section 6 "If, after the appropriate date, an obligation to which this section applies has subsisted for a continuous period of 5 years:

(a) without any relevant claim having been made in relation to the obligation, and
(b) without the subsistence of the obligation having been relevantly acknowledged,
then as from the expiration of that period the obligation shall be extinguished:"

I would also point out that the OFT say under their Debt Collection Guidance on statute barred debt that "it is unfair to pursue the debt if the debtor has heard nothing from the creditor during the relevant limitation period".

The last acknowledgement of this alleged debt was made over five years ago. Unless you can provide evidence of payment or written contact from myself in the relevant period under Part 1 Section 6 of The Prescription and Limitation (Scotland) Act 1973 , I would respectfully suggest that you are no longer able to take any court action against myself to recover the alleged amount claimed.

Should you continue to pursue this account without providing this evidence I shall seek an interdict and damages accordingly. A formal complaint will also be made to Trading Standards along with a report to the OFT questioning your fitness to hold a consumer credit license.

I await your written confirmation that this matter is now closed and that no further contact will be made concerning the above account after that last letter.

I look forward to your reply.

Yours faithfully
Mr A N Other

fatgit

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