Trust Deed Salary

VideCuiFidas

Hi,

I've signed trust deed (Scotland) I've opened new account and will be ready on couple of days.

Today my main bank account was closed and took all my funds in Monday I have a salary coming in which will probably go to my frozen/closed account.

Will they take all the money is this legal?

What can I do?

mwarby

Speak to your employer as a matter of urgency and have them change where the payment is going, you should make it clear that if they don't you'll be in financial hardship

mwarby

If they don't/won't change it speak to your IP who can advise on what to do, I had a payment made to my old bank account in an IVA, the bank allowed that to be transferred out. I expect a lot will depend on status of trust deed (protected or not) and whether the bank supported it

thevdm

From my understanding, a payment going into the frozen bank account after the date that you went bankrup should be yours.


The only issues that come up here are:
* If you owe money to the bank/building society that the account is with then they can take the money to cover the debt.
* If you don't owe money to the bank/building society that the account is with then you would have to go through the IP to get the money back, this could take some time.


As mentioned before, speak to your employer asap to get the account changed. If they are unable to change the account in time ask them if they can stop the payment and make it at a later date when it is possible. It would be quicker and easier to wait an extra week for the payment than for it to go into a frozen account.

VideCuiFidas

Yes I do owe money to the frozen/closed account.

I will phone payroll first thing in the morning try to explain situation and change bank details.

mwarby

thevdm wrote: »

From my understanding, a payment going into the frozen bank account after the date that you went bankrup should be yours.

AFAIK the trust deed is not bankruptcy at all (sequestration is Scottish version). A trust deed until it become a protected trust deed is basically a DMP once protected it is pretty much an IVA.

I far from understand all the rules in Scotland, but assuming the English bankruptcy rules apply maybe dangerous