Welcome to the forum The wife .

The money paid into the trust deed would be taken into account.

However, the total amount payable may be significantly higher than the total debt at the start. There's the trust deeds fees obviously, and also if it becomes affordable the creditors may be able to expect some interest as well.

Best to run it all by the trustee so you have a sense about how they see it.

Thank you so much for that .

How definite would it be that the creditors would seek interest ? We have looked at the figures . Trust deed was 37,000, 1,700 of this was a joint account but I have been paying that debt back monthly to the bank as my Nane was on the account too.

We would have about 31,000 to offer to the creditors , that's his half of the profit after we pay back mortgage 1 and 2 . Would his trust deed be able to be stopped and ended if the creditors took this amount and walk away or would we move and end up with him still paying a huge whack every month for the next 21 months :/ .

Hi The wife.

For an exception to be made you'd need the support of your trustee and the consent of the creditors. As such I can't answer your question with any certainty and think you should ask the trustee how they see it.

There might be an opportunity for you to use a little of your share of the equity to bring the trust deed to an early end.

Hi Thewife

Can I ask why the trust deed was extended to 3.5 years when it appears that the contribution would amount to approximately £12k plus net equity of £25k which is greater than the debt figure.

Mark

Hi, the ip said the creditors would not be happy with a three year deed for the amount we would have paid in. So it had to be extended ??

I have a horrible feeling that we haven't been told everything regarding this trust deed. I was under the impression that at the end of 3.5 years that would be it ? Is it not.. Will our house be revalued and we will be forced to move anyway to release the equity ? It seems totally pointless to have entered a trust deed if we will be forced to move in 21 months #128563;

Hi The wife.

Wasn't a valuation done at the start?

Hi, yes it was valued at £160,000 but is now £230,000 #128563;

Hi The wife.

Do you genuinely think that your home has increased in value by nearly 50% in the past three years?

Did you think the £160k valuation was correct at the start?

So it sounds like the trustee may not be expecting any funds to be paid in in respect of equity in the property, given that the valuation they got said it was only worth 160k?
If that's the case, you might be significantly better off by waiting until the trust deed is completed before selling the property. Your husband's share would then be his to keep. Is this likely to be a viable option for you?

Hi, I think it was valued correctly but things in my area have drastically changed and house prices have gone crazy. Our next door neighbour got 240,000 got their house !

I think we are going to stay put for the time and wait to see what happens with the prices thank you for all your help x

I'm slightly confused by the figures. Was the Trust Deed set up with debts of £37,000, with contribution payments to be made totalling approximately £13k plus equity or is the equity only an issue following the house being revalued?

Mark

The equity is only an issue as our house has soared in value in 21 months . My husband phoned his I p today and aparently we have paid a property abandonment fee so it will not be an issue if we are staying put x

Hi The wife

That's good news. It may be best to double check the position should you sell before the discharge of the trust deed as logic says that the trustee should have no interest in any of the equity, but as we all know, logic rarely applies.

The other option as mentioned above would be to do nothing until discharge.

Mark