Hi saabrina.

Congratulations on finding the new job.

I think you'll need to go through the numbers with your contact once they're back after the holidays.

It sounds like making any payment to your trust deed might be tough based upon these figures?

Thanks for replying TDA and for the congratulations.

The difference is £441/month,which is twice the TD payment, hence my worry about that and obviously household bills. I'll try calling them again on the 3rd.

Hi saabrina

It would seem there are 2 options, possibly a reduced payment with an extended period or if there is no surplus, then the trustee may look at sequestration as an option.

Do you own your home or have any other assets as it may well be that sequestration is the better option.

Mark

Hi Mark,
No, I don't own my home. I have a car which was stated there was no interest in as it has a value of less than £3000, no other assets.

The 2 options I was told of before were 1 - that I would be handed all my debts back (this is what scares me)or 2 - that I would be discharged due to unforeseen change of circumstances beyond my control. At the time when I lost my job as it was a hypothetical question, I was only given a hypothetical answer. Sequestration wasn't mentioned. What would that involve? Is that the same as bankruptcy?

Hi saabrina

The trustee can discharge himself and this would allow you to petition for sequestration ( bankruptcy) or your trustee could do it. There is no court involvement at all and it operates like a trust deed. The main difference is that if you have no surplus, then there would be no contribution. In your own circumstances, this would seem to be the logical solution.

Honestly, the worst thing about sequestration is perception. People have a strange idea about it, when in fact it almost mirrors the trust deed process. At least in sequestration there is no requirement to get creditors agreement and you don't need to achieve a certain dividend.

Relax and enjoy the new employment. It will be fine.

Mark

Thank you Mark.
I'll call RSM when they reopen, but thanks for putting my mind at rest in the meantime.
Happy New Year when it comes

My contact is not back from holiday until next Tuesday, now getting really worried about this.

Am I right in thinking I would then be back to the start of a 3 year process if I went down the sequestration road? If as you say the TD mirrors the process and there would be no contribution due to income, why would I have to do this? There is a £200 fee for doing this I believe, having been unemployed since last summer, there is absolutely no way I can come up with that.

Hi saabrina.

You'd be discharged from sequestration after a year.

Payments are only made if you can afford to make them. Where this is affordable the period would be three years.

How long did you make the agreed payments into your trust deed for before you lost your job?

Thanks TDA, I was paying for a year, payments should have started earlier by there were issues with RSM in setting up payments, first payment was August 2011, I made 11 in total, missed one last March (with their agreement) as my daughter was getting married

Hi saabrina.

I know this all must be a big worry for you at the moment, but it might be best to try to set it aside for a few more days until you can speak with your contact.

If they conclude that this was a change that was outside of your control the outcome could potentially be quite favourable for you.

If you want to contact me I'd be happy to discuss your situation with you, saabrina - if it helps put your mind at rest over the weekend. However I am not familiar with your case and whoever your case manager is will obviously know all of your details already so it probably makes more sense to wait until then. As you said, a few days isn't going to make any difference.

Thank you both for your comments, I'll just have to be patient and hope that when my contact comes back on Tuesday they will be free to talk this over with me

I managed to speak to my account manager today and explained the circumstances to her, the following was suggested -

1 - The Trustee discharges himself and I get all the debts back and could then apply for sequestration, though the trustee would be unable to help with this, as was previously suggested
2 - The Trustee discharges himself and I get all the debts back and deal with the situation myself, although I have no idea how I could
3 - The Trustee discharges me due to a big change in circumstances beyond my control, remains in office until things like PPI claims are investigated

As soon as I get my formal job offer through the post I'll send it on to my account manager who will in turn speak to the Trustee and see what he decides. I would hope for the third suggestion. My benefits will end at the end of next week, then I'll have to wait until the end of February for my pay and I have no idea how I'd come up with £200 for the AIB fee.

My account manager was understanding, reassuring and helpful. As is always said on here, open and honest communication is the key to keeping things running smoothly.

If you are going to go to the AIB go for option one or two. If you know for certain thats what your doing get a couple of pay days behind you and then apply, late payments for your debt wont matter at the end of the day.

I dont see the point in option three your new trustee will deal with that through the sequestration.

All you have to do is be a little thick skinned, ignor the letters and the phone in till you get your certificate, your dealing with it anyway.

Good luck with the new job!