Hi imcville.

I think there will be a huge range.

There will be rare cases where someone came into money (perhaps an inheritance) during a trust deed and ended up repaying more than their original debt total (to cover trust deed fees and interest on the debts, as well as the debts themselves).

I guess there will be other cases where much less than 54% of the original debt was repaid, especially where the original debt total was comparatively high.

It will be interesting to see if Shona, Kevin or Mark have a feel for any kind of average figure in this respect.

Thanks TDA. I guess what I'm really interested in are cases similar to my own, which has been quite straightforward, all things considered.

I'm not a homeowner so I've not had to worry about realising property equity, and I've not come into any money during my Trust Deed. I also don't have any other "assets", aside from my 9 year old car, which is a current point of contention!

Basically, I've paid the 36 monthly contributions as agreed, and I've surrendered a proportion of my annual bonus when requested. The only reason I ask is that 54% strikes me as being on the high side, based on conversations I've had with other people who have been through Trust Deeds.

Hi imcville.

I suspect Mark, Kevin and Shona may be "out and about" (as they often are) at the moment.

Hopefully they'll share some feedback on this soon.

Thanks TDA.

The average that the powers that be are willing to accept (according to the consultation paper)is 17%,

Thank you Peter 🙂

It is important to note that the amount paid back in a Trust deed can vary greatly depending on the circumstances. Creditors can agree a minimum of x% but the amount eventually paid can be higher after taking into account bonuses and overtime etc.

You need to bear in mind that out of the 54% you have worked out, imcville, a portion of this will be covering the costs and outlays associated with the trust deed and the creditors will be getting a lower percentage.
As for whether there is an average ratio of realisations to total debt, if there is I'm afraid I don't know it. It will vary a lot depending on the size of debt - the lower the debt the higher the percentage normally.

Absolutely Kevin - it would be great if my creditors were going to get 54p in the pound, but obviously I realise that's not going to happen!

I would like to think however, that after fees, outlay costs etc they will still be getting a fair bit more than 17p in the pound, as mentioned by Peter.

According to the AiB website trustees take an average of 43% of the total contributions made in a trust deed for their fees etc.

As Del boy said in only fools and horses "lubbly jubbly"

Hi peter.

Let's not forget that a trust deed only becomes protected if enough of the creditors believe the fee levels to be reasonable. They're effectively in charge of that side of things.

If 43% is indeed the average that gets taken as fees etc, then based on what I've just worked out, my creditors should receive 30p in the pound.

Not too bad I suppose!

Its not ideal but just knowing that your debt is sorted out for you by proffesionals is a great piece of mind..no letters..phone calls at inconvienant times and knowing you are facing up to your situation ..then i suppose it is worth it

Hi imcville
sorry to be so late in on this conversation, but I have been out and about as suggested earlier.
As stated already, the amount varies drastically as there are so many variables to be taken into account; contribution, size of debt, fees, change of circumastances, to name but a few. In my own experience, the majority of cases I have do not pay 54% into their Trust Deed, but maybe I am just unlucky - or lucky depending on which side of the fence you are on!

No problem Shona - thanks for your response.

I had the feeling that a ratio upwards of 50% would tend to be in the minority, so what you've mentioned above seems consistent with that.

Thanks again.