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13/03/2011 4:34 pm
Do you have to be in arrears with any or all of your creditors before a Trust Deed will become protected?
I have aorund ?ú23,000 debt (?ú20,000 to RBS),have a few late payments on credit cards but no correspondance from debt collection agencies so far. I have been using credit to pay debts and now, have more going out each month than I have coming in.
I have sought advice about a trust deed and was wondering is it likely that it will become protected? I believe in my situation RBS are the only ones who have to accept for it to become protected. Is it likely that they will accept?
Thanks, any replies are appreciated.
13/03/2011 6:13 pm
Hey,
I had never missed a payment on any of my accounts before I entered into a Trust Deed. With me, I was taking money from one account and using it to pay another... Exactly what you are doing now.
With regards to RBS being the largest creditor by far, if they say no it will not be protected. They would be likely to accept if the only other option for you would be bankruptcy because they recoup more through a Trust Deed.
13/03/2011 6:30 pm
Welcome to the trust deed forum Lola143.
As Scotslad says, you do not need to be behind on payments for a trust deed to be signed or for it to become protected.
You will need support from RBS, but assuming you're paying what you can reasonably afford and the fees of your trust deed company are reasonable there is no reason why this support will not be forthcoming.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
13/03/2011 7:33 pm
Lola,
Like Scotslad I was not behind with any of my payments to my creditors... But I was weeks away from being in a position where I would be unable to met my commitments so I was proactive and went to Citizens Advice who pointed me in the direction of a Trust Deed.....
Topic starter
13/03/2011 10:37 pm
Thanks for the replies. Answers were useful and very appreciated!
