Notifications
Clear all
Topic starter
17/12/2013 5:50 pm
Hi there. I have 12 months of my trust deed left. My debts at the start of the trust deed were £21,500. I have claimed PPI which has been paid to my TD during this time and i have maintained myonthly payments of £220 per month.
My employer has announced possible redundancy packages as of June 2014. If I take redundancy I will receive roughly £41,000. I am at a loss as to how this will affect my trust deed. Will I lose the balance between the initial debt of £21k and that which has been repaid or will I lose more. I know the statutory amount is protected but this is only £8k. i need to know how my finances would be affected before I accept any severance package. Otherwise I could end up in a position whereby I have no job or money and a mortgage and outgoings to meet.
Any advice or thoughts much appreciated.
Nuttabean
17/12/2013 5:59 pm
Welcome to the forum Nuttabean.
The most that you'll have to pay in total (including your contributions to date and PPI claim proceeds) is the sum of:
1 - The amount that you owed at the start.
2 - Interest (often at 8%) on the debts.
3 - The fees and costs associated with your trust deed.
This could add up to quite a bit more than £21,500.
You could ask your trustee to provide a rough estimate of the total amount that might be due (if it were affordable) next summer to help you make an assessment.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
17/12/2013 7:36 pm
Thank you for the response. It's seems a no brainer of a decision then. Think I'll be staying put and pay my trust deed for the last 6 months (£1320) rather than take redundancy 6 months in advance of the end of my TD and repay what could be over 25k.
Thanks again!
Nuttabean
