Notifications
Clear all
Scottish Trust Deed Forum
4
Posts
4
Users
0
Reactions
1,561
Views
Topic starter
16/02/2012 11:53 am
Greetings Forum,
I am new to this and just trying to find my way through all the potential processes of dealing with my debts. Advice is sought:-
I have not been earning as I was two years ago in my previous career (if at all) and have considerable unsecured debts amounting to £42000. These debts were mainly raised through attempting to support myself and my children as well as setting up a new business after my previous employment. My only income now is child tax credits, working tax credits and child benefit. What income I do get from my business is extremely meagre and is kept solely to allow for business expense.
I have recently been offered the chance of a potential job back in my previous career on a 'contractor' basis. I would hope to take up this opportunity by becoming an 'employee' of my own company and hiring my services out as such. I would be in a position to set my own income level. I should add; my new business has not taken off as planned and has traded at a loss for the past two years, owing in the region of £33000 in 'Directors Loan' (ie absolutely no additional third party creditors). This 'directors loan' is made up of the credit cards as previously mentioned, plus additional sums that family have put into the business.
My question; can I qualify for a trust deed if I am fortunate enough to get the contractor position, while in the position of being an employee of my own company and setting my own income?
I have sought help from CAB to keep my creditors temporarily pacified, but this has not stopped them selling my debts / adding charges / keeping the interest adding on and on and on...
I am a single parent in quite dire financial difficulties, ie having some heat in the house would be great.
Any advice would be gratefully appreciated.
16/02/2012 12:02 pm
Hi Grizzlepuss and welcome to the trust deed forum.
Contractors can and do use Scottish trust deeds and other debt solutions.
If you were working with a firm on this I think they'd expect some transparency and fairness in connection to your business structure and arrangements. I'm sure you'd feel the same.
The key point though is that there certainly doesn't appear to be anything here that couldn't be dealt with in a way that's fair to all the involved parties.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
16/02/2012 9:24 pm
Hi & welcome
Being self-employed would not prevent you from entering into a Trust Deed. If you you manage to get work, you should sit down with someone and go over all options. The Trustee would have to be sure your income is sustainable.
Shona is not currently posting in the Trust-Deed.co.uk forum.
17/02/2012 11:40 am
I can't see any problems in setting up a trust deed under the arrangements you describe, Grizzlepuss.
I take it the company you are running does not have any assets? Would it be likely to be making a profit once you have paid yourself a salary?
The reason I ask is that the company owes you a significant amount, so your trustee would have an obligation to seek repayment of this from the company if it was holding assets/making profit on top of what you are paying yourself as a salary.
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
