hi again its been a wee while but my wife has just got some good news that she might be gettig some back pay.we think in the region of 5000k.do we need to let the trustee know and would they take it all.wee have about 4500k to pay to the agreed some at the outset of the trust deed and 18 months left to pay of which 12 months is the agreed equity on house at start of trustdeed in dec10.any feedback would be appriecated thanks.
Hello weebill.
I'm afraid that it's very likely that the trustee will require all of this extra money to be paid over. You should let them know about it.
I very much doubt that it will be applied against the remaining payments or the sum due for equity.
I think it's quite likely that the money will eventually result in the creditors receiving more from the trust deed than was originally envisaged.
thanks for your advice amy.but can i ask you how would they know if we said nothing.
Lots of ways that they could find out weebill. For starters, payslips, P60's, or bank statements.
There are also some potentially serious consequences for your wife if they did.
A final thought is that it would also be totally unfair on the creditors that allowed your wife to have a protected trust deed in the first instance. They will have agreed to this on the basis that if your wife's circumstances were to take a turn for the better that they would benefit from that.
amy what sort of consequences .thanks
Bankruptcy might be a possibility. Payments would start again for three years after that. There might be consequences for assets.
The trustee could try to recover the money from anyone that it had been given to.
The trustee might also extend the trust deed so that the amount due could be recovered. That could be a long extension.
thanks amy i will take your advice onboard for sure.
Is the trust deed in your wifes name , your name or do u both have a Td?
L Campbell
yes both have a td