Hi Johnny C and welcome.

If you receive windfalls during your trust deed they'll be used to help repay your creditors. This would include PPI claims. If you're allowed to keep a small amount I'd imagine it might be to cover your tax liability on any interest element of the claim paid to you.

Your trustee is likely to investigate whether PPI claims can be used during your trust deed to help repay creditors. That would include any potential claims, not just those related to the creditors in your trust deed.

Therefore I'm afraid that it's unlikely that you'll stand to benefit from this personally, but the creditors that supported your trust deed (and which did not mis-sell PPI) are likely to receive back more than originally expected.

Thanks for you help.

who told you about the 90% into the trust deed? Was it a reclaim firm?

Paul

I am in a trust deed this has caused a few marital problems as im sure most people would relate to. My wife has put in a claim for PPI on a loan we had paid off several years ago. If we get a refund i have told my wife i must inform my trust deed company. She says that is fine i can have 50% of any refund we get. I want to be honest and upfront but i am now worried that they will want more than 50% and my wife will not be happy with this. I already said at my initial meeting that if the company claimed the PPI that i was due from my creditors this would be a significant amount of money. This was disregarded at the time. can anyone shed any light ?

Hi jesssh and welcome.

Hopefully your trustee will agree a 50:50 split is fair in the circumstances. I can see an argument for 100% to the trust deed but that would seem a bit one-sided.

The 10% thing is certainly odd. The Trustee is legally entitled to all of the funds, however I would hope that there was some room for negotiations.

Mark

Thank you for that, i do hope 50% applies as i feel its unfair on my wife. I will let you know if we get a refund and how it goes with my IP.[:)]

Hey guys just to let you know the result of my PPI. My IP agreed that my wife should have 50% of the refund . I have given them the other 50 %. It was only fair really [:)]
I do feel annoyed that i would not be in this Trust Deed if i had been able to claim back PPI before hand I did mention this at my initial meeting with them as i had PPI on all my creditors too [V] Hey ho onwards and upwards

I'm glad to hear that jesssh.

Sounds like everyone involved has been reasonable about this which is good to hear.

I agree, just after taken out our trust deed we were told about all the ppi that we could claim back. If we were told about this at the time of discusing our debt we would not have had to take out the trust deed in the first place as the payments from these policys would have put us in a position where we could have paid of a few credit cards and bank overdraft and put us in a position where we could coup again and we wouldn't be in the position that we find ourselve in now. Realy think this should be look into first before going ahead with trust deed. Really think trust deed companies are just out to make money from you and arn't really interested in your situation.

Given that until recently the ppi thing wasnt claimed for in trust deeds its a bit harsh to slag all trust deed companies for no caring about your situation.

At no point in my Td did I feel that RSM Tenon couldnt care less about me. Maybe not all the companies are the same!!

Paul

Let's be honest about this, protected trust deeds are provided by companies that have a profit motive. There's nothing unusual about that, we all deal with many different companies for many different things that we want or need.

I'm sure we have all had good and bad experiences with companies that we use for various goods and services. The level of service offered by different companies offering similar products can vary a lot (and make a big difference to the purchaser).

Most of us shop around carefully before making major financial decisions, but there is some evidence that this happens less when it comes to resolving debt problems.

As many members wrote about in a recent thread, there is a tendency not to deal with "debt problems" for a long time until something serious or worrying happens at which point there may be a very real feeling of urgency about getting advice and getting a solution in place. For totally understandable reasons in these circumstances, some people don't treat this situation with the same level of selective care and thought that they would apply to other big financial decisions.

Knowing this of course places a greater responsibility on debt solution providers (such as trust deed firms). I think most handle that responsibility with due care but, like any other industry, there seem to be some firms that put a quick profit before providing a sustained high level of service.

I can only encourage anyone that is thinking about starting a trust deed or any other debt solution to be selective about who they use, compare advice, and hold back from siging anything until they understand everything. This might seem difficult when under pressure but all of the evidence from this forum suggests that this would be a wise course of action (as I've written many times before... the right decision is much more important than a quick decision).

There are plenty of really good firms that structure their businesses around meeting the needs of their clients. Like with all other industries, there are some that with hindsight people wish that they had avoided.

An excellent analysis, if I may say so trust deed assistant. Contender for "post of the day" and it is only just 10am.

There isn't much competition at 10am Kevin!

Thank you though.