Hi A.D

Welcome to the forum.

Once the Trust Deed has been finalsied and both you and the Trustee are discharged, then that's the end of matter and they can't come back.

Mark

Welcome to the forum A.D. That's what I like - a nice easy one! Once you are discharged from the trust deed then that is the end of all of your obligations to your creditors, neither they nor your trustee could lay claim to your lump sum then.

Welcome to the forum A.D.

Always good to see a new member receive the news they were hoping for!

Thanks Mark, Kevin etc !
You confirmed what I thought regarding my pension.
One thing still concerns me though.My house is up for sale at the moment, and obviously my share of any equity will be swallowed up.
Is it true that if a figure of £1000 is paid then my creditors will have no claim on my share of equity ? Also, assuming that is the case, but I do not pay it, am I able to take it off the market with no further action being taken by creditors against me or will I have to keep it on until it is sold. Finally, what claims if any, can the creditors have regarding the house, assuming I still have it, when the deed is completed in two years time.
Sorry to be a bit long winded, but I have had conflicting information regarding these points !

Hi A.D.

Was there equity in your home at the start of your trust deed?

Have you ever been told that a third party making a payment (the £1000 you mention) would exclude the home from your trust deed?

Is there a particular reason why your home is currently on the market?

HI !
I have been in a trust deed for a year and the house has been on the market for six months. I have split from my partner,and with the house in joint names, she wishes to take her share of the equity which would work out at approximately £6000 each. Obviously my share would be swallowed up. Yes I have been told about the £1000 payment protecting my share of the equity, but given my circumstances it would not be possible to pay such a figure !
She tells me, rightly or wrongly, that the trustees actually own my share of the house at the moment. Is this true ? Also, as I intimated earlier, what are my rights in 1) taking the house off the market, and 2)not paying the £1000 and either keeping the house or selling it AFTER the deed has finished in two years time ? Do the creditors have any say on the house issue after this time ?

Hello A.D.

Your share of any equity that exists in your property "vested" in your trustee when you signed your trust deed, so your partner has a valid point.

The question of the £1000 seems to be a source of confusion here.

Some trust deed firms charge £500 (or £750, or apparently £1000 now) to "protect the equity" in a home. This can only happen where there is no equity at the start of the trust deed and would prevent the property being revalued later. Increasingly trust deed firms don't make this charge at all, but handle the process in exactly the same way (the firms represented here by Mark, Kevin, Shona and Chris don't charge but handle it this way).

The client doesn't pay the £500/£750/£1000, it needs to come from a third party.

If there was thought to be equity at the start of the trust deed this payment would not be possible and the equity needs to be dealt with.

If your home is sold your share of the equity will go to your trust deed.

If your home is not sold but your trustee believes that there is equity you will have to arrange for a sum equivalent to this amount to be paid over before you are discharged from the trust deed.

Once you have been discharged from the trust deed you can do as you wish.

In terms of taking the home off the market, presumably that is a matter between you and your ex-partner (rather than between you and your trustee)?

It's an indicator of value that you've had it on the market 6 months unsold. No-one can change the fact that few houses are selling currently and many which do are sold very much below market value or certainly below the 'hoped for value.'
it's perhaps not certain that £6000 equity is there for either you or your paartner or indeed for the benefit of covering your debts included in the trust deed.

Was a valuation done and did you discuss the house value/sale/equity before you began the trust deed?
Just out of interest, is your price close to the driveby figure or even the mortgage outstanding?

Hi A.D
It is pretty much as TDA said. The trustee has to realise your share of the equity . This does not mean the house has to be sold, just that the money has to be raised. Therefore, if you don't want to sell the house,a third party can pay the trustee the equivalent sum. If you would prefer to sell towards the end of the trust deed, that would normally be ok, depending on what was agreed at the start. Just ask your trustee if that is an option.

Hi folks !
Thanks as always for your prompt replies !
Another couple of questions though, the first in similar vein, and I apologise if I am still confused.
If no fee is paid whether it be £500 or £1000 to protect my share of any equity on the property, can the creditors return AFTER the trust deed is finished if the house is put up for sale again ?
Also, I am aware that I have to declare to the trustees if I come into any significant sums of money like a lottery win (I wish !) but what is classed as a "must declare" significant sum ? A fifty pound win on the horses ? A few hundred of a tax rebate ? A couple of thousand on the premium bonds ? Not for the first time, I'm confused !

Hi A.D. - you won't be discharged from your trust deed until your trustee is satisfied that you have met your obligations in terms of the equity in your property. However, once you are discharged then there is no further comeback and you are free to sell the property if you wish without fear of a creditor or your former trustee looking for a share of the profit.

There is no set amount regarding windfalls. Strictly speaking any money you receive over and above your normal wage should be declared. Certainly if it is running into hundreds then you should let your trustee know, but hopefully they would be happy to ignore a couple of hundred here or there.

Hi again folks !
First time been on in weeks ! Good news is the house has been sold and what was of concern to me in previous posts, fretting about being considered for a private rental while halfway through the trust deed, well my fears as pointed out by so many on here in reply to my reservations were unfounded ! As per so much of the advice I was given, I was indeed upfront about my situation and so glad I was as, it was no impediment whatsoever in renting privately and I am fully settled in my new rented accommodation ! I do wonder what would have happened if I had kept quiet about it, but far better to be honest about it and the agents dealing with my private let could not have been nicer, so hopefully that will allay any fears that others on here may have about renting privately.
One small point. My share of the equity which obviously went straight to the trustees was roughly eight thousand pounds. Will this have any effect at all on my dealings with them the fact that such a sum has gone to clear off some of my debt, or even my credit rating or am I just clutching at straws !

Hi A.D.

I doubt that the extra sum will influence your credit rating I'm afraid.

I am however really pleased to hear that everything has gone so smoothly for you, and that the advice that you've read has assisted you.

Nice to hear from you again A.D.

Sounds like things are working out as well as could be expected for you. How's the new tenancy working out?