Notifications
Clear all
Scottish Trust Deed Forum
5
Posts
3
Users
0
Reactions
1,251
Views
Topic starter
21/02/2012 7:49 pm
hi new to forum and could use some advice
i started my td aug 09. term 3 yrs.£350 per month
my ex husband became unemployed last year and stopped paying maintenance.
i couldn't keep paying full amount and contacted my TD administraor.
They reviewed my income /expenditure and decreased my payments to £150/pm. i have never missed any payments.
i contacted them december re ex now in employment but my maintenance payments are £200 less than originally due to his decreased income.
they have given me anew monthly amount to pay but have told me that the length of time of my trust deed has increased to 5 yrs to take into account arrears.
i am gobsmacked at this. i was never informed of this and stupidly presumed they had reassessed amount i could afford and adjusted deed.
is there anything i can do??
thanks
ps i see mention of ppi on previous post. is this the payment protection claims that are going on? how does this work if you have a TD? I haven't applied but thought I'd ask
apologies for all question..... just stressed and worried!
21/02/2012 8:01 pm
Hi missmoneyworries
The key element to a trust deed is the proposal laid out at the start. You agree to provide a specific sum and creditors agree to write off a certain percentage. That really is the heart of the deal.
If there is a change in circumstances, the normal process is to adjust the timescale to meet the proposal agreed at the start.
Any ppi claim would belong to the trustee as a 'new' asset and could not be used in reduction of contribution.
Hope this helps.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
21/02/2012 8:03 pm
Welcome to the trust deed forum missmoneyworries.
Many trust deed firms will not extend a trust deed if your contributions have to reduce for reasons that are out of your control. I think we can safely say this in your case the loss of maintenance was out of your control.
Other firms take the view that the amount promised to creditors at the start of the trust deed (£12600 in your case. 36 x £350) needs to be paid over prior to discharge from the trust deed. If a payment reduction occurs the trust deed may be extended in duration so that the full amount can be paid over as the creditors originally agreed to.
I'm afraid it seems your Trustee shares the first possible view out of these two possibilities.
Payment protection insurance claims will not help you during a trust deed. If you were to get a payout it would go to your creditors normally on top of the monthly contributions.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
21/02/2012 8:28 pm
many thanks to both of you for your speedy reply.
to clarify the original some agreed at the start of the TD must be paid off no matter any change in circumstances? how long can they extend this for? and what happens if my circumstances change again?
it is such a relief to have someone who can answer these questions!
thank you
21/02/2012 9:02 pm
Hi missmoneyworries
My guess is your trustee will extend until it is all paid.
Only your trustee can confirm this though. It may be wise to ask the question, but I think unfortunately I can guess the answer.
Please keep us posted.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
