Hi Kirky242 and welcome to the trust deed forum.

The situation you describe makes no sense. Have you asked the company concerned to clarify how they have come up with their figures?

Is it possible there's been a clerical error and they have the figures back to front? If there's £11500 of negative equity (Valued @ 20K, mortgage 31.5K), you can't surely be expected to pay what isn't there.

Call who-ever at Invocas is dealing with your case and clarify what they want.

Thanks for advice, its nonsense! I am off work on Wed this week so I will phone them as I cant do it in work,am in an open plan office.

Sorry...that last reply there reads like the advice you guys are giving in nonsense!!! I mean the whole situation, just to clarify tht before I offend anyone..oops!

Please let us know what you hear Kirky242.

Like gillian I'm wondering if there is a simple and easily-corrected error behind this.

No worries, I'm used to being told I talk nonsense. Ask anyone who spends any time with me and they'll agree[:D].

Do you have an email address for anyone at Invocas? At least that way, you could put your mind at rest. I know the feeling of needing to make that phonecall but not wanting anyone to hear. It wouldn't be the first time I hid in the toilets with my mobile talking quietly so no-one heard. Hopefully they give you a simple solution to this.

A friend of mine has a sister who works in this field and he has fed this back to me (will copy and paste) after speaking to her but I still dont get it!

"At the start of your trust dead your house was valued and it had equity in it. Invocas will have that valuation and it will show that there was equity in the house at the start of the Trust Dead.

The dead is now completed and they are looking to finalize everything. They have had a drive by valuation by a surveyor and come up with the £20,000 which is £11,500 short of the mortgage size.

You have over paid by £3000 which brings that down to £8500 in negative equity. This is still owed to the trust dead people who have duty to supply money to your creditors.

A calculation done by my daughter shows that you could get away with an offer of £2500 to close the debt down.

This, on paper, would have to come from a third party who was helping you out and not you raising a loan in your name.

I have a dictated letter that I will type up that you would send to Invocas with a Full and Final settlement on the £2500 offer.

The money has to be a lump sum or they may carryon taking payments from you till the full outstanding £8500 has been paid. It is not in their interest to force a sale of the house and the Insolvency Practitioners body would take a dim view of forcing you out of your home.

The way could be to have your mother or someone in your family loan you the money or they take out a wee loan and you pay the offered £2500 to them as you are not paying your Trust Dead anymore.

Does this make sense?

Hi Kirky242.

In all honesty... no.

Do you remember a valuation taking place at the start of the trust deed?
Were you provided with a figure for the equity at that point in time?

It was valued at the start, and it was valued at way more than the £20,000 it is now (cant remember how much) and I put the flat on the market (offers around £45,000 i think) but after months it didnt sell and I took it back off and opted to deal with the flat/equity at the end instead.

I think you need to make a call to Invocas to get to the bottom of this Kirky242.

Either they're using the most recent valuation, in which case there is no asset and nothing to pay.

Alternatively they fixed an equity value at the start of the trust deed, in which case it's hard to understand why they asked for another valuation to happen.

Please let us know what you hear.

Here is the first few lines from the letter they sent

I write to advise that I have received a valuation report from E Surv chartered surveyors showing the value on your property is currently valued at £20,000. In addition, Halifax have confirmed that the current outstanding mortgage balance on your mortgage account is £31,286.95. Therefore the realisable equity in the property is currently £11,286.95. I note that you have paid £2,080 towards the equity in your property (due to us taking payments from you when they should have already stopped), therefore the outstanding equity still to be paid is £9,206.95.

Hi Kirky242

Incredible. I never cease to be surprised.

My response would be a letter advising that the property, as confirmed by their letter has negative equity and is therefore not an assets and you will be making no payments. Further to this, please ask them to repay the £2080 overpayment to you immediately.

Mark

I will be making that phone call today to them so fingers crossed I get this sorted out. Doing my head in and causing stress and worry!

OMG guys....wot a result! I phoned to query their figures/zero equity etc and they have admitted it was their error and that I dont owe them anything at all and will be refunded the overpayment too. Such a relief to me and just shows you tht you can never be too careful and its worth checking things out you are not sure about/dont seem right. thank goodness for this forum without the valuable advice I would have been lost...thank you guys for all of your advice...my disclosure process will now be underway. good luck to all of you in the same boat as me with trust deeds...Thanks again everyone xx