There are no rules stopping you from getting credit when you're in a Trust Deed.

That's exactly the fear of god they gave me when commenced trust deed however seems to be at odds with what other people say... And I too am frightened to have a small amount of credit available in case it scuppers the trust deed and the company gets wind of it... However someone i know said how on earth would they know unless I
Told them???

I feel for you... July is not far away,

As upstream says, there is no restriction on applying for credit when in a Scottish Trust Deed. However, a Trustee is unlikely to allow payments towards freshly acquired debt as a legitimate expense when calculating what you can afford to pay to the Trust Deed, so it may cause problems of affordability if you are servicing a new debt too.

If only used occasionally, or for telephone transactions etc, and then cleared in full each month then I can't see the harm.

I think the bottom line is that there are no regulations of guidance to stop you obtaining credit. If the trustee carries out an income and expenditure review and agreed a contribution amount, then there can be no issues on how matters are dealt with if the agreed contribution is being met.

Mark

Just a thought to add on this subject.

I think it's highly dubious whether using a credit card prior to discharge would have any material benefit to being able to obtain mainstream credit in the future.

Just to say, when i signed my Trust Deed, it was stated in the form i signed that i wasn't allowed to apply or have credit by means of finance or credit cards of any kind.
Maybe worth looking into further to keep you right!!

Hi Rickie1.

That's interesting. This isn't a general rule in terms of trust deeds, but bans (or restrictions) on the use of most types of credit are associated with most types of personal insolvency in the UK.

Any restrictions will normally be contained witching the legislation. The credit restriction is in S.67 of the bankruptcy Scotland Act, however there's no such restriction within the Trust Deed regulation.

I think a number of firms will have some notice about future credit, however this would be more to keep the trust deed and payments on course, rather than it being any kind of offence.

Mark

I was told I could only have credit up to the value of 500 whilst in my trust deed and since paying my full and final settlement I've also taken out a vanquis and found it great in starting the rebuild of my credit file and has been great for emergencies but paid it off each month in full

Hi MichelleG

The £500 credit limit applies only to sequestration and not to Trsut Deeds as there are no credit restriction.

Mark

Well it seems my trustees seem to be getting slot of things wrong extremely unhappy at totally dissatisfied feeling it was probably a major misjudgement on my part to ever take out a trust deed at the minute would have been better just letting it all go statute barred rather than the mess I'm
In right now