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Scottish Trust Deed Forum
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Topic starter
02/01/2021 10:26 am
Hi everyone, I have had a look through the forum and struggling to find and answer/advice to my current situation....
My Partner entered in to a Scottish Trust Deed two years ago. We are not married but have a joint Mortgage for our home. My partner took the extended period of the additional 12 months so that the home could not be considered.
Unfortunately, our relationship appears to be coming to an unexpected end. Our house value is approx £85k-£90k. We have around £45k left to pay and my partners debts were under £30k.
My query is:- Am i correct in understanding that if we pursued a house sale (contacting the trustee obviously) then exactly 50% of the sale proceeds would be paid directly to the trustee to the value of remaining debt or would the full sum of sale proceeds be taken despite no agreement or joint debt from myself?
Apologies if this seems either too vague or otherwise. This is all new to me and quite an uncertain period in my life.
Thanks in advance for any advice or assistance.
02/01/2021 2:26 pm
Welcome to the trust deed forum ChrisM.
I'm sorry to hear that your relationship appears to be ending.
The additional payment for equity (12 months in this case) only applies if the home isn't sold. If it does get sold that becomes irrelevant because funds will need to be paid into the trust deed.
The good news is that this only applies to your partner's share of the equity. You'll receive your share of the equity and can use it as you please.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
02/01/2021 2:38 pm
Hi there,
Thank you for the very prompt response. Much appreciated.
04/01/2021 2:53 pm
That's a pleasure ChrisM.
This should all work out in a way that doesn't disadvantage you financially following of a sale of your property.
You may want to get in touch with your partner's trustee to discuss all of this if/when a sale becomes a firm plan.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
05/01/2021 11:43 am
Hi ChrisM,
Sorry to hear about the unexpected breakdown in your relationship.
You will receive your 50% of the net free proceeds following a sale. The Trustee will receive your partners 50% and this will be put towards the debts.
When it comes to a Trust Deed a person can pay back their total debts, plus interest and then any fees and costs in relation to the administration of the Trust Deed. It could be the case that the majority of your partners equity is swallowed up by the Trust Deed.
As TDA has suggested it might be a good idea to speak with your partners Trustee about things.
David is not currently posting in the Trust-Deed.co.uk forum
