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Topic starter
28/07/2011 12:02 pm
Another few weeks, more recorded delivery letters and another post.
How can you get your IP to submit an offer to your creditors ?
Could I contact the creditors direct, although most have been sold on now ?
A fair and just offer has been made to complete the trust deed but the IP is still focused on the (re-maining) equity on the house, although (I feel) the offer represents a good portion of the equity.
The continued threat of the IP applying for my sequestration is also still being mentioned in correspondence, although the final payment was made 2 years past and I have complied with the TD at every stage. Having taken legal advice - "Insolvencey Law, well you see insolvencey law is very complex....."
A divison of sale - with the associated cost - would yield a far smaller return than the offer I have made. A fact that we both have aknowledged in writing.
To date I have tried the following :-
AIB - too old a trust deed
Fiancial Ombudsman - not a regulated product
The Insolvencey Service - only lmited powers in Scotland
ACCA - Cant comment on induvidual cases but within his remit to maximise return by release of equity. (I dont have an issue with the last point - see other posts re 1st Trustee )
IPA - Cant comment any further, also with the orginal trustee no longer a member and no longer in practice, nothing we can do.
What am I missing ?
I read about regulators but they appear to be the ones listed above. In my case it would appear that the IP has the full backing of the law. The IP can continue to administer the trust deed as he sees fit for how ever long he feels is an adequate amount of time to recover the debt. If I had been mis-sold a pension, PPI,etc I would have parts of the law on my side but in this case it appears I have no protection and no re-course other than expensive legal action.
Legal advice mentions a QC and Court of Session in Edinburgh (perhaps not relevant for the Sherriff Court I'm told). Not a real option if I have to sell the house to pay the legal fee's to get a decision on how how much I have to pay to keep the house.
As each month goes past and another mortgage payment is made the outstanding mortgage debt reduces and the equity increases. Given enough time the IP will eventually own outright "my half" of the house therefore giving more reason to force the sale.
Credit record shows I have no de-faults due to the time I have been in the trust deed but still unable to raise a new mortgage due to not being discharged.
If any of the above is not the case I would appreciate any help in understanding the true picture.
28/07/2011 12:52 pm
Hi jp73.
I'm afraid that I don't have much extra to offer you in respect of these very difficult, unusual and complex circumstances.
If regulators cannot or will not help you there is only access to the law which I recognise is likely to be prohibitively expensive.
With that in mind I think you just need to continue to push a "commercial" argument forward to your Trustee. If your offer truly represents the best outcome for your creditors I think it's likely to be successful eventually.
I'm sure if any of the other experts have additional thoughts they'll share them with you.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
31/07/2011 11:04 pm
I think trust deed assistant has it right. I'm afraid you may just have to hope the trustee comes round to your viewpoint.
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
01/08/2011 2:13 pm
Hi jp73
Yes I am afraid I have to agree with Kevin and TDA, you need to keep highlighting the advantage this offer has to the creditors, ie they will get the money now, rather than later & the cost of a forced sale of your house. Out of interest, did you not get something in writing before entering your Trust Deed, that told how much the Trustee wanted to realise of your equity?
Shona is not currently posting in the Trust-Deed.co.uk forum.
Topic starter
05/08/2011 1:55 pm
Thanks for the replys.
We had a valuation carried out before the trust deed was signed which showed a + £780. Our orginal plans were to go bankrupt but were persuaded a protected trust deed would be a better option. We had agreement that the £780 could be paid off by extending the trust deed at the end of the 5 years. What was of greater importance was the ability to pay off the trust deed before the 5 years were up which the Trustee when the time came failed to action. But clearly written in the orginal paperwork is a statement that the house would be revalued at the end of the trust deed - which at the time was not a concern because the trust deed would already have been paid in full.
Just as a further point it appears that my wife has a stronger legal case - whatever that may entail - than I have, due to the actions or in this instance in-actions of the first Trustee. Although trust deeds in the eyes of the Financial Ombudsman are not regulated products the statements "treated unfairly and lost out finacially" apply to her because of the time taken to complete the trust deed she has had to continue to pay more of her share than would have been resonably expected. ie £600 per month for the last 42 months and counting.
My wife is not part of my trust deed and has continued to pay her fair share of bills,mortgage,etc all the way through the tust deed as shown on my 6 monthly finacial statement.
Yes, I think the best I can hope for at the moment is that the current IP will finally agree to accept the offer we have made and drop his threat of legal actions. Although some of the actions he is claiming he can do may not be strictly correct if I have understood some of the other threads on this forum.
The various laws and the different angels they are viewed from make each day a little different dont you think ? 🙂
Oh for the days when you knew what to expect when the phone rang and some new collection agency were trying to get money from you.....
06/08/2011 9:40 am
Hi jp73.
I wish that there was more we could add to assist you, but please keep pushing forward your "commercial case" to the Trustee concerned.
While not in any way "personal" for your Trustee (as it is for you), this isn't an easy situation for them either. Hopefully you can give them a way out as well if they come around to your suggestion about what the best outcome for your creditors will be.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
