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Topic starter
29/08/2012 10:31 am
I have been discharged fro 4th October 2011, I have my discharge letter. I know I am fortunate to be in this position but my Trustee remains in office. Why is there no specified time limit on this. I am nearly 1 year on & am still getting told the same thing. I got a letter telling me this should be cleared up by August. I called today & got the same info as always, there's a back log. I know a lot of people are in trust deeds now but to take nearly 1 year I would expect the whole of Scotland to be in one. Which company is it that looks into ppi ? Any advice would be great.
29/08/2012 11:01 am
Hi p boy kk
In an ideal world, after the last payment the Trustee should issue Form 5 to discharge the individual and then Form 6 and 7 to discharge himself.
Unfortunately there was a court action a while back Paymex v HMRC where Paymenx argued that VAT should not be charged in IVA fees and they won. This, after a while was then applied to Trust Deeds. IP's were then advised that they are unable to close the cases and seek their own discharge until the VAT issue has been resolved. ie all the VAT paid has been reclaimed and repaid to the cases and then to creditors.
To be honest this is a mammoth task and completely outwith our control as creditors are demanding this.
However that said, I fail to see why Trustees cannot discharge the individuals in all cases where applicable and stay in office to sort out the VAT issue.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
29/08/2012 11:06 am
Hi p boy kk.
The VAT issue mentioned by Mark and the PPI issue have certainly caused problems and plenty of delays. In many instances trustees simply aren't in a position to discharge themselves.
It's good that in your instance the issues haved been somewhat mitigated by you being discharged and therefore being in a position to work on your credit file.
There is no single company that is handling the PPI claims. Each trust deed firm is free to select whichever PPI firm or firms they feel most suitable.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
29/08/2012 11:13 am
Thanks for the replies. Your info is always spot on & makes me feel better about the situation. I'll take my paranoid head off now.
29/08/2012 3:10 pm
Do PPI claims and VAT issues affect the finalisation of a sequestration too?
29/08/2012 4:22 pm
The VAT issue does not apply to sequestrations. PPI reclaims do, but would not affect discharge for the debtor as this is automatic after 1 year in a sequestration.
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