Welcome to the trust deed forum lionheart45.

How much do you expect to generate as a surplus from the sale of your home?

Thank you and Hi,
There is a joint secured loan ,so after thats paid ,and monies split,I should get about 10k

A trust deed might well be viable in those circumstances lionheart45.

As you've been in a debt management plan for a while you might want to try something else first.

If you call each of your creditors you may well find that some or all of them will accept a reduced sum in full and final settlement of your debts.

If you can clear the full debts using the lump sum you'll have, and avoid an insolvency like a trust deed at the same time, it will be good news for you and your creditors.

hi
will they wait until the house has been sold......its been on the market for a few months ,and no interest yet?
thanks

You can ask them lionheart45.

Are you confident of raising the £10000 you mention given that it looks like your home might not sell too easily?

Not entirely....when I spoke to the financial consultant he said that 7,500 is the amount I would definitely need

I'm not sure that's necessarily true lionheart45. A lot will come down to the fees of any trust deed firm you choose and the attitude of your particular creditors if you proceed.

This isn't necessarily a problem though, even if the amount of equity you can generate is lower than £7500. Bankruptcy is also available to you and it sounds as though there would be no monthly payments as you are living on benefits. Often the risk of losing a home is what stops people from becoming bankrupt, but this doesn't apply if you're already prepared to leave the home I suppose.

Is there a particular reason that your favour a protected trust deed?

It was explained to be the best way out of my current situation...I am going for a meeting with the Trustee on Monday morning and I will make sure I ask these questions.....I was fearful of bankruptcy because I was under the impression they would go ahead and sell my house for a reduced price ,just to get it sold...

Hi lionheart45.

The property might not achieve a great price if sold by in bankruptcy, which would perhaps matter little to you but have more consequences for the other owner.

Not selling the property yourself might however give you more control over the timescale of how everything proceeds from here rather than waiting for a "market-value" sale at some point in the future.

Not a clear cut situation it would seem, and there are some issues for you to think about and weigh up.

Please let us know how everything goes.

Hi lionheart45

if your house is being sold, a Trustee will sell it for the best possible price, whether in a Trust Deed or Bankruptcy. If it is not selling easily, the Trustee will reduce the price to get a sale, but your ex-partner will have some say in this. If your sole income is benefit, you may be better in bankruptcy as you will automatically be discharged after one year. If you are in a Trust Deed, you will not be discharged until the house is sold....and that can take while in the current climate. Whatever you do, get things in writing before you sign anything.

thank you for all your help and advice,I will let you know on Monday how it goes

I have entered into a TD,and now awaiting on it becoming protected...I was reassured and everything explained fully to me.
The equity that I would be recieving on the sale of the house is now going to my TD. My Trustee was very approachable and I feel a weight lifted off my shoulders,just hoping it gets protected without any hitches. I can plan my monthly limited finances without worrying about creditors etc. This is a great forum and I pop on occasionally to find out about different circumstances.
I have been reading about the Bank Account problems...Im with RBS ,they are not one of my creditors,but can they close my current account when they realise Im in a TD ?

Hi lionheart45.

Thanks for letting us know. I do hope that protection of your trust deed follows as expected soon.

The thing to check with your RBS account is that it is the basic account which you hold. This account is by far the least likely to be affected by a trust deed if RBS find out about it. If you have credit or cheque faciliities with your account it may be more exposed.

Thanks again for your reply.