Protected trust deed discharge help please

hunnycat

Hi all

I signed a trusted in may 2006, this was granted protection in Aug 2006.
At the time i was paying £50 per month towards this but after about a year i couldnt afford this so they told me i could stop paying. At the 3 year anniversary it was extended to a 5 year trust deed then May last year was the 5 year anniversary.
I called to ask what was happening about my case and was told it was being processed and would be closed, when i asked when i would recieve my discharge letter i was told i wouldnt as i was non compliant!
The girl just kept repeating this when i was asking questions.

The help i need is , what does this mean with regards to applying for credit? I want to open a joint account with my husband & we want to apply for a mortgage within the next 2 years.

I did manage to speak to one guy who said it doesnt matter and that after 6 years it would all drop off my credit file. Do i still need to declare it after 6 years?
So confused


thanks .x

cakeadoodle

I would be less concerned about the joint account and more concerned about the fact that your trustee is not willing to discharge you from your debts. If the protected trust deed has failed, you will still be responsible for the debts included in the trust deed, along with interest and charges (as if the trust deed had never existed).

You should write a letter to your trustee, asking them to set out their position clearly. They have the option of discharging you (and your debts) if you have made every effort to repay and have been unable to do so through no fault of your own (e.g. loss of income). They also have the option to make you bankrupt but they are unlikely to do so if you haven't paid enough to cover their fees to date. Likelihood is that they will end the trust deed and you will be back to square one.

Get yourself along to Citizens Advice or a Money Adviser ASAP - before your creditors raise fresh enforcement action against you. If you still are not in a position to pay your debts (or pay them over time through the Debt Arrangement Scheme) then you may have to consider bankruptcy.

You're going to have to deal with your current debt situation before you can begin to think about applying for credit in the future.

I can't stress enough that you should get some (free) advice immediately.

Good luck!

hunnycat

Hi,

Thanks for the reply. I am so confused over the situation.
I will phone them on monday, my case has apparently been closed but the girl said i wouldnt get a letter of discharge but that would be the end of it all.

I forgot to mention in the first post i had a property which was part of the trust which the trustee as me to remove the tenants from so they could sell it. I advised that i couldnt afford the mortgage as the tenants rent just covered this and no more. I got the tenants out and the trustee had 8 months from when they moved out to being repossed and it had never been marketed. I am not sure if the trustee got any money from the propery once the mortgage lender sold it.

will get onto the citizens advice first thing tomorrow too.

thanks