I dont see it on the paperwork also. Its says "The client only makes one affordable monthly payment, calculated after an allowance has been made for general living expenses and household expenses"

My Trust Deed is a few years old now. I did ask for recording of the phone call, but they said they did not have that any more. 

Even if it does say on the letter but was not explained to me via phone call would that be ground to say I was misold.

Due to my salary increase i could in theory clear the initial debt i had. If they take 100%.

Not all Trust Deed providers are regulated by the FCA (this is not a requirement, as their Insolvency licence provides sufficient authority. This is only required if they also offer DAS). Any relevant complaints should, in the first instance, be raised with the IP's firm, then escalated via the Insolvency Complaints Gateway.

The Trustee should have ensured you were aware that the full amount of your disposable income is required over a four year period (whilst this means payments may go up, it also means that payments can come down if you have a reduction in disposable income for circumstances outwith your control). Before raising any complaints, check the engagement letter and other documents you signed at the time, as the information is potentially within those documents.

You mention DAS "would have been a better option". Can I ask if your Trust Deed is now likely to result in you paying more than the balance of your debts at the outset?

The IP should have ensured that you were made aware of all available options and the benefits / disadvantages of each. They may have a recording of the advice call, or notes from the time of advice. It is worth asking them to provide a copy, or review the recording, as part of a complaint.

Thanks,

Nick

Hi,

On a trust deed, my salary has increased so now paying a lot more per month now.

I feel I was misled when signing up to the trust deed I was not made aware that this would be the case, that it would be 100% of my disposable income. No where in the paperwork does  it says this. 

As the trust deed company as to follow FCA regulations, it was there duty of trust/care that they inform me of this  "100% of my disposable income" would need to be paid, this was not made clear to me that, this would be the case.

They did not disclose this important information  it would have effected my decision to do the Trust Deed or not. so misleading me.

Looking at DAS it seems that would have been a better option for me. If my salary increases alot. They did not compare the scenario between DAS and Trust Deed for me to make choose that's best for me.

Was i Mis-sold??  What can I do now?

Surely they cant hide this information if they follow FCA regulations are customers must be informed of this. such a important bit of information. 

The only way to "repay" a Trust Deed early is to pay the full balance of the debts at the date of granting, plus statutory interest and the costs of the process.

Contributions are not a fixed amount - the agreement you make with your creditors is that you will pay what you can reasonably afford for a period of 4 years. The amount is assessed using the Common Financial Tool and is reviewed annually, though you should make the Trustee aware of any changes which occur between the reviews.

Additional income (such as bonuses) must be declared to the Trustee. Technically, the full amount of the bonus can be claimed by the Trustee, though they may agree to take a split share. 

Failure to declare and/or transfer the proceeds to the Trustee is likely a breach of the terms of your Trust Deed and grounds for refusing your discharge (meaning you will not be free from the debts at the end of the process).

As Paul says, some Trustees take a more lenient view than others when it comes to sharing the proceeds, it is worth asking if they would allow you to retain some of the bonus.

Thanks,

Nick

Good morning all! Hoping to get some clarification on early repayment.

If I were to receive a bonus from work, that covered all future contributions, would that be sufficient to end the trust deed or would I be required to pay considerably more? I.e. the actual total debt owed including any that had been written off as part of the trust deed?

I've seen a few older posts on this topic so was hoping for a more up-to-date opinion on it.

Thank you!

Welcome to the forum!

You're right, insofar as all options should be considered and clearly outlined to you. You would normally receive some sort of advice document confirming what has been discussed, what is recommended and why. Unfortunately, some firms can still be really guilty of pushing trust deeds for the wrong reasons. Perhaps others who have experience of your firm and trustee can share their perspectives, if you want to say who you're with.

The other personal bug-bear of mine is when debt amounts are small enough that full repayment would have been achievable over a reasonable time period. Can I ask about your debt level too?

On a trust deed, my salary has increased so now paying a lot more per month now.

I feel I was misled when signing up to the trust deed I was not made aware that this would be the case, that it would be 100% of my disposable income. No where in the paperwork does  it says this. 

As the trust deed company as to follow FCA regulations, it was there duty of trust/care that they inform me of this  "100% of my disposable income" would need to be paid, this was not made clear to me that, this would be the case.

They did not disclose this important information  it would have effected my decision to do the Trust Deed or not. so misleading me.

Looking at DAS it seems that would have been a better option for me. If my salary increases alot. They did not compare the scenario between DAS and Trust Deed for me to make choose that's best for me.

Was i Mis-sold??  What can I do now?

Surely they cant hide this information if they follow FCA regulations are customers must be informed of this. such a important bit of information. 

Welcome to the forum! In response to your question, i've seen it treated in all sorts of ways over the years, depending on the specifics of the trust deed and who the IP is. Hopefully some of our resident IPs can provide current working knowledge of best practice, and what this might mean for you.

Thanks

Paul

If I were to receive a bonus from work, that covered all future contributions, would that be sufficient to end the trust deed or would I be required to pay considerably more? I.e. the actual total debt owed including any that had been written off as part of the trust deed?

I've seen a few older posts on this topic so was hoping for a more up-to-date opinion on it.

Thank you!