Hi trustdeed1.

I guess from the perspective of both creditors and the trustee the equity in the vehicle is equally important as the monthly contributions, though I appreciate that you might view it differently.

Obviously your husband's trust deed isn't going to fail because he chooses to attend college rather than work full-time. That's a choice for him to make.

The trustee might have to consider their options however if a conscious choice that your husband makes renders it impossible for him to complete his obligations to the trust deed. This consideration would be from the perspective of what might be best for your husband's creditors.

We'd just be guessing what the trustee will decide to do. Different insolvency practitioners might see it in different ways.

To help make an informed decision, maybe your husband should simply ask his trustee what the consequences of making this decision are likely to be?

Unfortunately this is something only the Trustee can deal with.

I would guess that due to the change from full time employment to college being voluntary, then the Trustee is less likely to look sympathetically on this and as you mention, may look to fail the trust deed as this did not complete. The other option is that he reports matters to creditors and allows for an early closure, although unfortunately I would not hold a great deal of hope for this.

Mark

Hi trustdeed1,

Unfortunately the Trustee needs to try and stick to the proposal which was made to creditors at the outset of the Trust Deed.

If your Husband remained in full time employment how long would it take to clear the balance of £1,674?

I realise that the college course is for something which he has always wanted to do but could he not delay this for 6 months or even 1 year to successfully complete the Trust Deed and put it behind him? That way there would be no concerns about coming this far in the Trust Deed process and then having it fail because he could not complete the terms.

As TDA has advised your Husband should check with his own Trustee about how things will work in this situation.

Let us know how things go with the Trustee.

Thanks very much for the advice. Given this advice he has decided to turn down his offer of placement, luckily he hadn't handed in his notice yet so he will continue to work and get it paid off and hopefully will get a place in August if not a year form now. Thanks again.

Hi trustdeed1,

Did your Husband speak with his Trustee about it? They could take a different view on from what we have suggested could happen.

I know it's not ideal but successfully completing the Trust Deed and applying again in August I think could be the best decision. Debt free and moving forward with a new career path.