****avoidable if a reduction is deemed needed by my company.

Penny

Potentially a trust deed was not the best option for you when you received advice. The main problem with a trust deed is that creditors are asked to accept your proposal based on a particular set of circumstances. In calculating your income, we are required to work out an average income based over a 3 month period. Certainly if income fluctuates each month then it is advised to average out income over a much longer period which in theory, should help cushion income shocks.

The trustee has to strike a fair balance with you and your creditors.
If the level of contribution is materialistically lower then the trustee can either apply for an extension of payments or resign from office.

I would speak to your trustee to work out possible solutions and see what their thoughts are.

When I signed up for it it sounded perfect, unfortunately our daughter has disabilities and had she been able to be at nursery we would have had help with some fees and I would have been able to keep working full time. I have paid 23 months so far and have 37 to go and would love to ideally just pay the same amount for a straight forward life but I was under the impression that since this was outwith my control and I’m probably only going to need a slight reduction that there was a margin of decrease that is acceptable.

Hi Penny1286.

It's really difficult for us to answer questions like this because it's a scenario where your trustee has to "take a view" rather than there being a black and white correct answer.

The fact that this change in circumstances relates to your daughter's care needs is of course relevant. Your trustee will want to treat you fairly in the circumstances.

At the same time your creditors agreed to the trust deed based upon the offer that you originally made to them. If the monthly amount you can pay reduces, your trustee must think of the interests of your creditors also.

An extension is one option that might both protect the interests of your creditors and enable you to complete your trust deed (and therefore benefit from your remaining debt being written-off).

I think it is worth querying your trustee's stance, Penny1286. Whilst they do have to act in the best interests of your creditors, the Accountant in Bankruptcy's guidance does state that a change in circumstances beyond someone's control should not be sufficient reason to deny someone's discharge.

I would argue that this is effectively what your trustee is doing, as by extending your contributions they are refusing to discharge you at the end of the original term. Worth a try pointing this out to your trustee I would say.

Certainly we very commonly agree to a reduction in contributions without requiring an extension. Whilst we must advise creditors of the reduction to their projected return, they invariably accept this if there is a good reason.

Thank you. Unfortunately I’m not going to be able to post my companies reply publicly

Why not penny1286? Have they asked you specifically not to share their response publicly?

Strange. Can you give us the gist?