Was it given a value at the start of the TD?

Paul

Hello buddyup.

Plasticdaft asks a useful question.

To better answer your point could you let us know about any initial discussions about your car and also your best guess of what it is worth?

Hi buddyup

It will very much depend on what was agreed at the start. At the time of signing it would have been excluded if the value was under £1000.

In all trust deeds I make a point of confirming the position re equity, cars, contribution and overtime/bonuses in writing before people sign anything. That way there are no unknowns or surprises at the end.

Best speak directly with your trustee and hopefully it will be ok.

Mark

Thanks for getting back. Valued on trust Deed at £2.500 book value at 17th Dec 2009. Note next to it says "set to realise £1 ? Spoke to friend who deals in cars he said as trade in £1000. but due to mileage private sale £750 to £900.

My car was valued at £500 at start of TD then revalued at the end as having a zero value(quite accurate as it had blown up partway through the TD and had been scrapped!!!).

Paul

Hi buddyup.

The threshold when you signed your trust deed was £1000 (it went up to £3000 in November 2010).

We therefore know that your car was an "asset" at the start, but at the point we're now at it isn't (because it is worth no more than the £1000 limit that applies to you).

The question is therefore whether your agreement is based upon the initial or the current value. You'll need to check that with your trustee.

My feeling is that you may well not be asked to pay anything in lieu of the equity that previously existed, but even if you were a sale isn't the only option. For example, paying a few extra monthly payments would normally be acceptable instead.

Thank you once again I will check with trustee as will def need to keep a car to get to and from work an extra few months paayments would prob be best option as I wont have any funding for another car.