Hi I am on my fifth year si I have got just over one year left on my trust deed the question is can I take a high interest loan since my credit scoring is still poor to pay off the remaining balance of 3k so I could get discharged than move the loan to a better rate once my credit score improve or is that going to get me into trouble with my trustee thanks for any help.
Mery
Hi Youjoe. I don't see any reason why you couldn't do this if you want to - though I would recommend you only consider it if the loan is definitely affordable for you.
The regulations say a trust deed must run for a minimum of 4 years and there isn't anything that says you are not allowed to take new credit while in a Trust Deed. I would still recommend you run your plan past your trustee first though, just to be on the safe side.
Thanks Kevin much appreciated
Mery
Hi Kevin any hidden costs I should be aware of or just the remaining balance thanks
Mery