Hi Steve.

I think it will just be a case of subtracting your expenditure from your income.

If bills have reduced there is a prospect that you might be asked to pay more.

Hi Steve

I think if there has been little change in your income/expenditure, then there should be no reason for an increase.

Mark

Yeah that's what I meant trust deed Assistant. If it's black and white income less expenditure then there is no point me cancelling sky, gym etc and shopping at aldi. I'd be as well keeping these things and keeping my monthly trust deed payment the same. By reducing my costs it allows me to save up for emergency etc but if by reducing my costs I then have an increased monthly trust deed payment this would be pointless. Do you see what I mean?

Hopefully you are right mark as I've got no extra income just shaved some expenditure agree at start of trust deed.

Hi Steve1984

I think it would have to be a substantial amount before they would increase your payments ?? After all the cost of living has gone up, so make sure you are factoring in if you're spending more on fuel & utility bills etc
boys1211

Hi Steve.

Some things are covered by allowances; for example food. If you underspend then I doubt there will be any issue.

Some other things "are what they are". So, if you had a specific allowance for Sky but you decided you didn't need it the trustee might want you to hand that cash over.

See: https://www.trust-deed.co.uk/trust-deed-expenditure-guidelines.html

The fact that your income hasn't increased should help you.

Boys1211 makes a good point that might also help.

Getting sooooo angry reading some of these posts for 3 years I was told, my outgoings were fixed and couldn't be negotiated, my salary increases ridiculously small though they were were taken into account and my payments increased.[:(!]

Hi WIKIKEE.

I don't blame you for being angry and frustrated if that's what you were told.

It's obvious that things will change over three years so there must be some flexibility. Trust deeds are meant to solve a problem rather than to replace an old problem with a new one.

It defeats the purpose of a review! I'm sure no one's petrol, food, gas, electricity is the same monthly cost now as it was in 2009.

I think flexibility within reason is always the key.

Mark

I'm with the dreaded KPMG and have just had my 2nd review. It was the exact same letter that came with the request for bank statement etc and stated that "the focus of this review is mainly on your income as your expenditure allowances were agreed at the start of the Trust Deed."

I too have made some sacrifices since the start of it all in order to save more for emergencies and, to be fair to KPMG, they so far haven't increased my payments.

Hi upstream

Is your trust deed over 36 months?

Mark

Thats good to know upstream thanks. It would seem pointless if any cutbacks that someone makes in order to save a wee bit each month were then penalised by additional monthly trust deed payment whereby people who spent the full shopping allowance in Marks and Spencers and had full sky package and gyms and so on were left as they were simply because they were able to send bank statements showing they spent more each month.

Since I started the td I have managed to change energy supplier, and broadband etc, reducing my costs on these, and also made a good deal of cutbacks on general things like food shopping at aldi etc. I hope to keep up this mindset even when finished the td, but I'm just hoping it doesnt turn out to have been the wrong idea if my monthly payments increase and my wee bit savings each month are gone as it is a good feeling knowing i am able to put a couple of hundred pound away for emergencies.

Anything is better than they way things were before I suppose so I can't complain either way.

Hi Mark

Unfortunately, I didn't discover this forum till after I signed up so my TD is over 42 months.

If you cut back on shopping, that, is to your credit. No one will ask for tesco receipts, so of you are cutting back, you should reap the benefits. It may be harder with the likes of sky, but then your travel et,c has probably increased. If your gymn was out of a contingency sum they allowed you, then you are free to spend/ save that on whatever you like.

I always go along with the fact that allowances that have been approved that you can make savings on should continue to be set at the previous levels. If creditors were happy with you spending £100 a week on groceries and you manage to get by on £75 then the other £25 should be yours to use as you like.(worst week in TD had us spend just £30 on groceries and we didnt starve!!!)(lots of tesco value beans on toast)(plenty wind in the plasticdaft household that week!!!)

Large pay rises would be a different kettle of fish however as throughout the trust deed payments are based on what is affordable.

As for any company who doesnt allow an increase in allowances they need to get the bad press associated with being so inflexible so people know who to avoid.

Paul