Hi Robbo77 and welcome.

Your trustee may or may not be willing to facilitate this kind of early settlement.

However, if they think it's in the best interests of your creditors they're likely to want to help.

I think you need to speak with them and explain:

1 - A third party is prepared to pay over a sum equivalent to your remaining payments due under the trust deed.

2 - Your trust deed may currently be under some threat as your wages may be reduced or you may face redundancy.

Hi there thanks for the reply, I'm hoping its quite near the figure I'm a due of my 27 payments that are left, I am also thinking of moving to oz when my TD is finished I hope it won't affect my app

Hi Robbo77.

I know nothing about Australian immigration rules I'm afraid. Immigration processes can sometimes include tests about your capacity to support yourself financially. You may therefore wish to contact the appropriate authorities to find out more about this.

One possible issue is that your creditors will lose the opportunity to benefit from any windfalls you might receive in the next couple of years if your trust deed is settled early. Having said that, they may benefit if they receive their dividend from your trust deed sooner than expected.

There are arguments on both sides, but I hope that you get the answer that you'd like to hear.

Hi Robbo77,

I would agree with what TDA has advised in relation to early settlement.

We have a number of clients who have re-located to Australia to work and are on Trust Deeds. Positions opened up within the organisations they worked for and they decided to move.

As TDA said though, best to check with the appropriate authorities.

Hi
What if my trust deed is settled early? I was told that shouldn't affect my application

Hi Robbo77,

It's not my area of expertise therefore I'm unable to advise you on what would and wouldn't affect your application.

Do you know what kind of terms you would get if you were made redundant, Robbo77? Would it be more than just the statutory amount?

No Kevin it would probably be less than I'm due in total

Sorry, I wasn't very clear. I don't mean in relation to your debt, I mean do you know if your contract entitles you to a higher redundancy payout then that stipulated by law.

Slightly. We get just above gov minimum

I suppose this may be an issue Robbo77.

You'd usually need to pay into your trust deed any amount paid for redundancy in excess of the minimum that the law requires.

If you mention this possibility to your trustee they may feel that they should hold on in order that your creditors can benefit from it. Equally, they may feel that the uncertainty about your income after redundancy might mean that early settlement would be a good prospect for your creditors.

Yeah maybe I'm just being paranoid about redundancies as we always seem to have them at Xmas time. But I doth ink a wage reduction is on the cards so hopefully they will want my payment in full of the £7500 approx now rather than my payments going down as I can't afford them

Let us know how you get on Robbo77.

Good luck.