Hi homp,

It's probably best to say that none of us are credit rating specialists. However "credit events" stay on a credit file for six years and then are no longer visible.

It may well be that the Council can persue you for the overpayment; I'm interested to hear whether the experts think that it is likely that they will do so...

Hi homp

Looking at the council debt, I suspect that they can continue to pursue you for an overpayment, but whether they will or not is difficult to say.

Mark

Hi

I agree with Mark, there is a good chance that they will continue to pursue you for the overpayment, though perhaps not. They may have gone quiet as you are still in a protected trust deed but could resurrect this once you are discharged.

Hello,

I have discovered that the council debt HAS been included in the Trust deed and they submitted a claim to my trustee.

1) Are they able to persue me after the trust deed for the remainder?

2) Also, is it likely that my trustee will extend the trust deed period to beyond 36 months?

Thanks
H.

Hi homp

Legally they can pursue you, but in my experience this is very unlikely and will be written off at the end.

I see no reason why the Trust Deed would be extended. As long as the 36 payments are made, then this should allow matters to come to a close.

Hope this helps

Mark

Hi,

I have now completed all 36 payments to my trust deed.

I must confess I am still worried on the council debt (was over 2k) as I dont imagine they will get much from the trust deed. If they do pursue this? Will they give me a chance to pay off instead of issuing another summary warrant/decree??

Finally, how long should I wait before chasing my trustee for my discharge letter??

Many thanks for your help.

I am not sure- I am sure somoene who has better knowlege will correct me but there is 2 points

If the council debt was in the trust deed then once the trust deed is finished that should be that

If the council tax is NOT in the trust deed then it won't be long until it is statute barred (5 Years of non payment / acknowlegement)

Make sure you don't acknowlege the debt if it is not in the trust deed

I would let your IP deal with it- that's what they get their fees for.

Hi homp,

Benefit overpayments are not automatically discharged by a bankruptcy/protected trust deed - I believe there was a legal ruling on this down south which Scottish courts would presumably uphold. So if they wanted to pursue you I think they could.

Having said this, if they have put in a claim then maybe this signifies that they are happy to accept a share of the trust deed and just write off the remainder. No way of knowing really - though I guess you could ask them.

The issue of being statute barred is a red herring I'm afraid. If a decree has been awarded then this does not expire for 20 years.

Thanks for your speedy replies guys.

The overpaid housing benefit relates to 2004/2005 period so fingers crossed it will be written off (well, the remainder anyway)

I have a letter from my trustee (june 10) confirming that it IS included in my trust deed and that the council had submitted claim.

Fingers crossed. I will let you know (for the benefit of other members)

Thanks again.

Hi guys,

Just an update -

I received my letter of discharge yesterday - exciting times! 🙂

It said it may take a "matter of months" to finally close due recent to legislative changes but they would en devour to do as as soon as possible (yes, i forgot to add that I was with the infamous 4 letter company mentioned on this forum before)

Do i receive a final letter confirming how my trust deed was divided to my creditors? And, as it was protected, my creditors must accept final settlement?

Await your reply.

Thanks
H.

Hi homp

That's great news that your Trust Deed is nearly at an end.

I'm not entirely sure however what 'recent legislation' would delay bringing your case to a close by a matter of months. I would contact your Trustee on a regular basis until it is closed.

You should, in due course, receive a copy of the paperwork that was sent to your creditors confirming how your estate wass distributed.

Julie

Your creditors are legally bound to write off the remaining debt after your trustee has paid their final dividend. The only way they can avoid this would be by petitioning the court and arguing that they shouldn't have to do this. I am not aware of this EVER having happened in practice. I guess this would only be likely if they felt the trustee had acted improperly in some way.

Hello again,

Can anyone tell me when i will be removed/updated on the register of insolvencies?

Trust deed signed - April 2005 with it becoming protected in June 2005.

I received my discharge letter on February 15th and nothing more to date.

Await your response.

Thanks

Hi homp.

I believe this might be a permanent record I'm afraid. One of our trust deed experts will correct me if I'm wrong.