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Scottish Trust Deed Forum
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Topic starter
11/05/2023 8:02 pm
Hi,
The finance on my car runs out in Aug 23 and I don’t really want my car anymore. My trust deed doesn’t finish until May 24 so unsure if I need to wait until this date to part ways.
What usually happens at the end of the trust deed to cars that were included in the initial policy? Do they then get sold?
12/05/2023 7:39 am
Good morning@ictpaisley
Welcome to the Forum.
You will need to check your Trust Deed proposal to see what the Trustee has said regarding the vehicle. During the 4 year period that starts with you signing the Trust Deed you are obliged to pay over any assets/windfalls that you may receive. So if you sell the car within that period then your Trustee would expect to receive the money from the sale.
When your Trust Deed was set up the car would have been valued and the amount of finance outstanding taken into consideration. If there was any equity in the car then this would be proposed to be ingathered after your contributions had been paid unless a third party was willing to pay this sooner. I note that you say that the finance ends in August 2023 this would mean that the payment that is allocated to your monthly budget would be available and would possibly increase your Trust Deed contribution.
It is very important that you discuss the potential giving up/sale of the vehicle with your Trustee to gain clarification.
Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
