Hi EFING.

I'm sorry to say that it is right.

Those lump sums have to be paid over in addition to any equity liability. The key date is your discharge, not three years.

As you remain in the trust deed your trustee can ask you for income and expenditure details. This is because they'll want to collect the equity money for creditors as quickly as you can reasonably pay it.

Sorry it's not better news.

Thanks TDA. I am totally goosed then!!

I just can't wait to be out of this vicious Trust Deed circle. Based on my own experience and volume of messages posted on this site there seems to be a huge amount of "mis-selling" of Trust Deeds, companies giving out different versions/rules about what is or is not acceptable...Should this type of debt management (for want of a better word)not come with a simplified governance system, allowing people to fully understand all implications prior to signing??? Who manages/regulates Trust Deed Companies?

Hi EFING.

We think people should know as much as possible about trust deeds before they sign. Hopefully this site plays some small part in helping this to happen. More importantly trustees need to make sure people are told what they need to know, and anyone thinking about signing a trust deed needs to take time out to make sure they understand what they are entering.

I don't think there is wholesale mid-selling going on, though clearly it does sometimes happen.

Trustees are supervised by their professional bodies and the AIB when they handle protected trust deeds.

Hi EFING,

We did a Freedom of Information Request recently based on the number of Protected Trust Deeds in 2012 and the number was over 8,000. Often people tend to post negative feedback about a Trust Deed and don't come looking for advice if their Trust Deed is running the way it was agreed. The vast majority of Trust Deeds do run smoothly and without any problems but I also note from the forum that there are cases that don't.

I do understand your current situation and the change in the financial market from the time you entered into your Trust Deed till now. This has caused problems for people who have equity in their property and are unable to re-mortgage as they once were.

The more you can pay in each month then the more you will reduce the equity amount that you have to pay. That coupled with any PPI refund could mean that at the end of your term, your Trustee could close you Trust Deed if the balance remaining is minimal.

Best to speak with your Trustee to see what scenarios there are available instead of leaving it till your approaching the end of the 5 years.

Thanks for your response Chris. I have just rec'd confirmation that the ppi will be repaid directly into trustee's bank account 🙁

When I get to the end of my extension period, IF there is a balance still owing - how likely is it that the 'extra funds' the trustee has recouped via my ppi claims will be taken into condsideration in order to reach agreement to close the balance off?

A certain iva firm down south is sourcing secured loans for clients so equity can be released. Pity the apr is 18.9%!!

Paul

It may only help, Efing. I guess it probably depends how far short you are and what your creditors think.

Thanks for your responses...

Paul,
can you give me more details of the company? Does this mean I could borrow the full amount so I could then complete the TD? Do you know of anyone who has successfully done it this way??

Hi EFING.

Do you really want to borrow on a secured basis at 18.9%.

Much more expensive for you in the long-run and your home will be at risk if you get into payment difficulty.

I dont think the secured loan thing is a good thing and was just pointing out that some people in ivas are being pushed into taking a 7 year secured loan after a 6 year ica.

That cant be good.

Paul