Hi Mark,

As I understand it checks would be made of the insolvency registers as well as a credit file typically.

Hi TDA

Would the position change if the individual was discharged, but the trustee remained in office?

Mark

I think a recent discharge would still put a lot of lenders off Mark, and especially so at high loan to values.

The insolvency register entry remains until a year after the trustee's discharge I think? Would an inhibition also remain in place?

Hi TDA

Yes the inhibition would be in place, although only if this was renewed by the trustee! However this should not show in a banks credit check etc.

Mark

Would anyone go for a trust deed that was going to take 6 years then leave you with no equity and an expensive sub prime remortgage as well? Would banks not ask what the money was for?

Paul

Hi plasticdaft.

It doesn't seem like an outcome that anyone would choose as anything other than a last resort. I think some banks would certainly take an interest in the purpose of increasing the borrowings.

I assume for a lender even if a credit rating is clear after the 6 years it would look like the person doesn't have any ÔÇ£credit historyÔÇØ and therefore that could be another reason for a lender not to lend. Mr partner at one point in her mid 20s didn't have any credit history and this resulted in her having a poor credit rating. I suppose there are a number of factors involved in it.

I met with a financial advisor recently and he told me that if someone comes out of their DAS then 2 years following his a new ÔÇ£sub primeÔÇØ lender will consider a mortgage application from the client with a 10% deposit. He said that Trust Deeds still have a big impact on this however.

Hi.

My trust deed started on 21 August 2009.
Discharged on 21 August 2013.
Trustee discharged on 11 July 2014.
Can you tell me when it will disappear from the ROI/AIB website?

I read what you have written here about fresh record. My logic was to build up a credit rating on two cards over the last year of the six year period, so that when the Trust Deed drops off my record, the two cards will show a clean record for at least a year. That is my logic anyway.

I am just wondering when the Trust Deed will be removed from the ROI/AIB - I thought it would have been a year after I was discharged rather than a year after the Trustee discharge.

Thanks.

Hi Firewalker.

I believes your entry on the Register of Insolvencies drops off one year after your trustee was discharged.

Not ideal, but it does look like the timing will pretty closely match up with your trust deed no longer appearing on your credit record.

One lender that I know of has their lending policy available online. Fairly sure they shouldn't.

They pertinent section is...

"Not being subject to an Individual Voluntary Arrangement (IVA) unless
discharged over six years ago."

As they are an English company, I guess they wouldn't know what a Scottish Trust Deed was, but I reckon the same rule applies.

In the case Mark describes, this company wouldn't touch you for 12 years then.

I'm guessing their application asks the question - have you been subject to... ?

Most of us here, would be looking at 9 to 10 years.

We'd probably not be looking at this lender

Hi Bert Rudge.

Often mortgage lenders, especially those in the sub-prime sector, have separate websites for the use of mortgage intermediaries (brokers). These often explicitly lay out acceptance criteria regarding matters like default notices or personal insolvency.

If you know where to look they're pretty easy to find.

Of course they're not intended for the public, tend to state specifically that they're not intended for the public, and often might be hard to find because you may not have heard of the lender in the first place.

All of which takes us back to mortgage brokers in this scenario. As well as knowing which lenders are "in" this market, they also have access to systems that can scan the current acceptance criteria of a wide range of mortgage lenders.

quote:

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Originally posted by Trust Deed Assistant
[br]Hi Firewalker.

I believes your entry on the Register of Insolvencies drops off one year after your trustee was discharged.

Not ideal, but it does look like the timing will pretty closely match up with your trust deed no longer appearing on your credit record.

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Thanks for answer TDA. At least it wont be after the six year point :-).

Cheers, TDA. Always wondered about that. Thought it might have been harder to find, but I am quite good at finding stuff 🙂

Going back to the original question here. Surely the inhibition would have to be lifted prior to the individual's discharge? As long as the trust deed has dropped off the Register of Insolvencies (ie 1 year after discharge) then I think there must be a reasonable chance of someone finding a remortgage in these circumstances.