Hi dobw2401 and welcome.

I guess the problem is that if you cannot accept this condition they'll simply keep you in the trust deed until all of the PPI claims have been completed.

Either way it will be your creditors rather than you that benefits from any PPI claim payments, but by agreeing to this condition at least you'll get your discharge sooner.

The trustee has an obligation to ingather as much as possible to pay the highest dividend back to your creditors. Him remaining in office till any PPI issues would not affect your own discharge. The only alternative from your post would be that you seek an early discharge, as does your trustee and you claim any PPI which I don't see creditors accepting.

Mark

Hi dobw2401,

It's an ongoing issue for all Trustee's at the moment regarding reclaiming PPI.

Your Trust Deed proposal is put to the creditors at the outset and is based on a maximum return to them at that particular point in time and is based on your current financial situation and assets. If your circumstances change or you acquire any assets then your Trustee needs to take this into consideration to maximise the return for creditors.

Is it possible that any PPI compensation could be more than enough to clear all of your debts, plus statutory interest and other associated costs?

But from my perspective it appears the trustee can hold me in the deed indefinitely despite paying it off early against what was agreed. Its not so much my circumstances changing they haven't but might do in the future, its just the "well discharge you but still take a piece of anything we chose with no real termination point"

Hello dobw2401.

Your trustee has no option other than to investigate whether PPI claims could help repay more to your creditors. They're instructed to do so by their regulators. They became responsible for dealing with assets, potential assets and windfalls when you appointed them.

The point therefore is that assisting them with the PPI claims for the benefit of your creditors is a part of your obligations under your trust deed.

It's good that they're considering discharging you while they do this (some companies don't) but this will not mean that they're not entitled to remain in office while the PPI is dealt with.

I'm not sure about your "we'll discharge you but still take a piece of anything we choose..." point. This is just about PPI right?

but this could be open ended, I could have paid off the Trust deed and in a year I get a lottery win, they will be chapping at my door.

Its not really a 3 year deal its for life by the sounds of it?

But aren't they just remaining in office to deal with PPI?

If you're discharged and you subsequently win the lottery you keep the money.

It sounds like your Trustee is just making you aware that if compensation is paid out in respect of PPI that you understand that this must be paid into your Trust Deed.

It's common that when a PPI refund is paid out, it's paid direct to the client and not to the Trustee.

Once you receive your discharge (Form 5) you are free from the Trust Deed and can carry on with rebuilding your credit rating etc.

As TDA has said, if you acquire any assets or win the lottery after your discharge then this is yours to keep.

Ok guess im just wary of this stuff.

Thanks guys.

Your welcome dobw2401.

It's always good to be wary and ask questions if you are unsure about things.

The last thing you want to do is just go along with things if you don't understand fully which can lead to problems later on down the line.

Hi dobw2401

As David days, its always good to double check.

Generally the Trustee needs to balance the roghts of the individual with those of the creditors.

Mark