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Scottish Trust Deed Forum
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Topic starter
10/06/2015 2:52 pm
hi i contacted my trustee that i have heard that a trust deed can be finished once you have reached the middle if u pay the creditors remaining installment in full.like for example my dad wants to help me only if the trust deed can be finished early and i can get rid of it,he can give me the remaining money to pay the creditors in full the remaining installments.but my trustee said that creditors wont do it and wont agree unless there is some solid reason for it and would require evidence.is that true?
10/06/2015 3:37 pm
Hi ibmstyle,
There is no rule to say that after a particular period of time the Trust Deed can be finished early. A decision to end a Trust Deed early with the balance of payments being paid in a lump sum by a 3rd party is really up to each individual Trustee. Some will agree to this and some wont. It's also based on an individual case basis..
If a Trustee for example was to agree to release you earlier than your agreed period and the week late you inherited £50,000 the Trustee could be criticised for this as the creditors could have received all of the debts back.
Under the current legislation that came into force in November 2013 the only way a Trust Deed can be brought to a close early is for the full debt, plus interest and costs to be paid.
David is not currently posting in the Trust-Deed.co.uk forum
10/06/2015 3:56 pm
Hi ibmstyle.
You may have worked it out already, but the new rules David has mentioned apply only to trust deeds signed from this point onwards.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
10/06/2015 4:14 pm
But i had started it before new rules
10/06/2015 5:41 pm
In that case it is technically possible, but only if your trustee agrees I'm afraid.
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