It just means that the funds that creditor would have received is submitted to the Accountant in Bankruptcy to be held until the creditor claims it (or if it remains unclaimed it goes to the Crown).

There is no practical impact on how it would effect you as the creditor will still not be able to pursue you if you have met all of your obligations and completed the TD successfully. I would probably keep an eye out for that creditor on your credit report in the future though, just to make sure they have updated everything correctly.

Thank you for the reply Voice of reason. Appreciate that. Take care.

Hi N79

Not heard of a dividend receipt being issues in such a long time.

The Accountant in bankruptcy guidance on this matter is very clear:
"there is no statutory requirement for the trustee to obtain a form of receipt prior to payment of a dividend. Funds should not be consigned for this reason."

Consigned funds is a mechanism in which the trustee can deal with funds that have not been cashed by the creditor in the form of dividend payments. It allows the trustee to close the trust deed off.

Thanks Sharon - sorry to continue, but what do you mean by closing the trust deed off? Thanks

Hi n79.

I think Sharon means that the trustee can discharge themselves from the case.