Trusr Deed. Too good to be true?

roseredskye

I have just been phoned by Baines and Ernest re debt management. They advised by entering into a trust deed i would only pay £310 per month for 3 years afterwhich any debt remaining would be wiped. Surely this is too good to be true?

What are the disadvantages? Currently i am selling my own flat and buying a house. With the profits i hope to help clear some of my 30 grand of debt which will leave me with 15k approx.

The guy was really aresey with me when i said i needed to think about it more. Not sure if i've done the right thing?

MrsTinks

NO NO NO - do NOT do it! There is no such thing as having your debts wiped out. The nearest thing is bankrupcy.
These people will charge you for helping you repay your debt please use one of the free services listed in my signature who will be able to advise you about the best route to take to get out of your debt.

RAS

Hi

Am guessing you are in Scotland? Not my strong point but I understand this is the equivalent to an IVA in England and Wales or is it the equivalent to bankruptcy? Either are insolvency agreements.

A couple of points

1. If this is being sold to you as a great deal without explaining the downside, I am really concerned and think you should report them. Preferably with details of your conversations.

2. You can make the same or better arrangements via one of the debt charities and all the money goes to pay your debts, none to paying Baines and Ernst's fees.

if you have a lump sum coming and the debts are with DCAs, you may be able to make full and final offers.

Please get prioper independant advice, as the current suggestion is not a good one.

Oh and see http://forums.moneysavingexpert.com/showthread.html?t=860949 for other posters views on this company.

roseredskye

lol ty! I knew it was prob to good to be true. It sounded so good, and an end to all the worry.

xx

roseredskye

RAS wrote: »

Hi

Am guessing you are in Scotland? Not my strong point but I understand this is the equivalent to an IVA in England and Wales or is it the equivalent to bankruptcy? Either are insolvency agreements.

A couple of points

1. If this is being sold to you as a great deal without explaining the downside, I am really concerned and think you should report them. Preferably with details of your conversations.

2. You can make the same or better arrangements via one of the debt charities and all the money goes to pay your debts, none to paying Baines and Ernst's fees.

if you have a lump sum coming and the debts are with DCAs, you may be able to make full and final offers.

Please get prioper independant advice, as the current suggestion is not a good one.

Oh and see http://forums.moneysavingexpert.com/showthread.html?t=860949 for other posters views on this company.

Yes i'm in Scotland. They said the downside was that i couldn't get credit over £200 but would be able to obtain secure loans or a remortgage.

I spoke to my financial advisor before B&E called back and he said not to touch it cos i'm not at that stage of debt. Can't wait to see this place and pay some debt off!

weemoose67

First of all, do not touch Baines and Ernst with a bargepole. I had dealings with them several years ago and they are scum. The amount of money they are asking you to pay per month, a large percentage of that will go to them and only a small amount to their creditors.

I am in a Trust Deed just now, about 1/2 way through. From what I can gather, TD are getting harder to do as creditors seem to prefer to make somone bankrupt.

The fact that you have property, will be an issue if you have a TD - do not know that much about it, as I did not have any assets.

Being in a TD is ok, as you are allowed a reasonable amount to live on. You cannot borrow money whilst in a TD, and if you came into money, then I think part of it has to go into TD.

If I were you, I would contact Money Advice Scotland, who are fantastic.

Good Luck

And Remember, Baines and Ernst - just say NO !:)

GeorgeUK

A Trust Deed is the Scottish equivalent of an IVA.
http://www.insolvencyhelpline.co.uk/paye-employed/trust-deeds-scotland.htm

This is usually seen as one step before bankrupcy.

rayday2

Have you had a look on the national debtline website they have specific advice for people in Scotland.

There could be an answer to your money worries just not a magic wand!

Donedoingdebt

weemoose67 wrote: »

First of all, do not touch Baines and Ernst with a bargepole. I had dealings with them several years ago and they are scum. The amount of money they are asking you to pay per month, a large percentage of that will go to them and only a small amount to their creditors.

Same here!
Not only that, but they are also completely unorganised.
When I closed my account with them after a year of s##t, not only did they return all my correspondence & records, but also those of several different people with the same surname from all over the UK, together with account numbers & personal details.