mis sold protected trust deed

neilbaillie

Does anyone have any idea how I can go about claiming compensation for a mis sold trust deed

[Deleted User]

You'd make a complaint to whoever sold it to you.

neilbaillie

I have, but they've dismissed my objections, but I obviously disagree with them

eskbanker

neilbaillie said:

I have, but they've dismissed my objections, but I obviously disagree with them

In which case, you need to come up with counter-arguments that outweigh their objections, but of course having this discussion at an ultra-vague meta level is way too abstract to be meaningful, so the best next step would probably be to post the story on here, about what you bought, why you feel it was mis-sold and why they disagree....

sourcrates

You are in Scotland I take it ?

If you have exhausted the complaints process of the company that arranged your trust deed, and you remain unhappy with their response, you can then escalate your complaint to the "AIB" (Accountant in Bankruptcy).

You can view there website here -

Complaints | Accountant in Bankruptcy (aib.gov.uk)

neilbaillie

eskbanker said:

neilbaillie said:

I have, but they've dismissed my objections, but I obviously disagree with them

In which case, you need to come up with counter-arguments that outweigh their objections, but of course having this discussion at an ultra-vague meta level is way too abstract to be meaningful, so the best next step would probably be to post the story on here, about what you bought, why you feel it was mis-sold and why they disagree....

OK, here goes, back in 2016 I found myself heavily in debt, my circumstances had changed and I was getting less money, at the end of the month, than I had been.  I fell into the trap of using credit cards to pay off other credit cards.  The upshot of it was that it became unmanageable.  I approached a well known company based in Glasgow who told me my best option was a trust deed.  The woman who went through the paperwork with me told me that I would be debt free in 4 years.  Fast forward 41/2 years(after a few payment holidays) and I finally made my last payment back in march.  I've now had an email telling me that they're extending my trust deed by a year.  I disputed this and they sent through a document that I had signed agreeing to a fifth year.  Obviously, since I signed it I must have agreed to this, but all through the process the advisor kept on telling me that I would be debt free in 4 years.  By that time I would have signed anything, as I was at my wits end by this point.  At no time during my trust deed was I anticipating a fifth year, and as I said, the advisor kept on saying that I would be debt free in four years, in fact she told me that if I had any store cards, I should max them out before the trust deed came into effect as I wouldn't have to pay the money back.

Anyway, I started a trust deed in September 2016 with approx £21000 in debt.  A couple of months into the trust deed the company applied for mis-sold PPI on my behalf and they managed to claim over £25000 back from previous loans.  Between that and the 48 payments that I made, this came to more than £33000, of which only £8500 has been paid to my creditors, the rest has been eaten up by fees and commission and now they want another £1920 from me before the trust deed can be closed.

My two main reasons for thinking that I've been mis-sold is that from the first, I was misled by being repeatedly told I was going to be debt free after four years.  Secondly, I think they should have advised me to try and claim the mis-sold PPI first, before entering into a trust deed.  If I had managed to claim that £25000, minus £9000 comission, that would have left me with £5000 worth of debt which would have been infinitely more manageable.

neilbaillie

sourcrates said:

You are in Scotland I take it ?

If you have exhausted the complaints process of the company that arranged your trust deed, and you remain unhappy with their response, you can then escalate your complaint to the "AIB" (Accountant in Bankruptcy).

Thanks, I am in Scotland.  I think a protected Trust Deed in Scotland is the equivalent of an IVA in England

eskbanker

neilbaillie said:

My two main reasons for thinking that I've been mis-sold is that from the first, I was misled by being repeatedly told I was going to be debt free after four years.  Secondly, I think they should have advised me to try and claim the mis-sold PPI first, before entering into a trust deed.  If I had managed to claim that £25000, minus £9000 comission, that would have left me with £5000 worth of debt which would have been infinitely more manageable.

The question of potential mis-selling has to be set in the context of what you bought - what was the company and exactly what service did you sign up for?  It seems to me that if you signed up for a full financial review from an FCA-regulated adviser then that would be very different from engaging a company specifically to manage the deed process....

In terms of extending the process from four to five years, you mention in passing that there were "a few payment holidays" and also that there's "a document that I had signed agreeing to a fifth year", which obviously weakens your case if you try to make a retrospective argument against extending it.  What was their explanation for extending?

It looks to me like @sourcrates advice about escalating a complaint will be your most productive next step, assuming you've already been through the complaints process of the company you engaged - your initial question about claiming compensation is jumping the gun as you first need to establish if there was any actionable wrongdoing before addressing restitution.