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Topic starter
13/02/2015 7:22 pm
There are a number of major and minor changes coming into effect from 1 April 2015 affecting both Sequestration and to a lesser extent Trust Deeds. I could sit till midnight and not cover them, however will post individual changes/comparisons. For some of the major points, I've undernoted a pre 1st April position and post 1st April position:
Pre 1 April 2015 Post 1 April 2015.
TO QUALIFY
PTD Minimum Debt £5,000 £5,000
SEQ £1,500 £3,000
DAS No Minimum No Minimum
6 WEEK MORATORIUM
PTD None at present YES
SEQ None at present YES
DAS None at present YES
CONTRIBUTION
PTD 4 Yrs via CFS 4 Yrs via CFS
SEQ 3 Years variable 4 Yrs via CFS
DAS Variable on CFS Variable on CFS
AQUIRENDA
PTD 4 Years fixed 4 Years fixed
SEQ 1 Year fixed 4 Years fixed**
DAS N/A N/A
DISCHARGE
PTD On Completion On Compliance
SEQ Automatic 1 year On Compliance**
DAS On Conclusion on Conclusion
The main thing is from the above is the removal of automatic discharge, the increase in aquirenda and the use of the same common financial statement (CFS) to assess surplus. This allows a more uniform approach to all 3 options
There's a new MAP process for sequestration where debts are not less than £1,500 and not more than £17,000. It's like the stage before LILA.
Sorry, a bit techie for a Friday evening, but I'll expand on the above and additional changes in the coming days.
I suspect all holiday leave pre April will be cancelled in the AIB's office.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
Topic starter
13/02/2015 7:24 pm
Sorry the spacing on the above post is rubbish. But if you persevere, you should get the gist.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
13/02/2015 10:57 pm
That's a lot of change! Makes my terramundi jealous [:D]
DAS does already have a six week moratorium (an intimation) - if people opt to go for it. And there's also a moratorium from the date of application.
Are they going to change the way that works too?
Topic starter
14/02/2015 1:26 pm
Hi candlewick
Unfortunately they didn't elaborate on the DAS position as it was 95% on the sequestration changes.
I've got about 300 pages of notes, so I'll check and see if there's any additional info.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
14/02/2015 7:42 pm
Thank you Mark - please don't go to the trouble of looking through 300 pages of notes! It was just idle curiosity on my part [:)]
Looks like 'interesting times' ahead. Not sure if that's good or bad!
Topic starter
14/02/2015 11:51 pm
Hi candlewick
Unfortunately I need to do it to update our own stuff. It'll be a learning curve all round I'm guessing!
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
15/02/2015 8:28 pm
First chance to look up "terramundi".
Even then I had to think it through for a minute!
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
15/02/2015 8:32 pm
I wonder if there will be a little surge of sequestrations over the next few weeks, a little like what happened shortly before protected trust deeds extended from a minimum of three years to four.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
15/02/2015 11:00 pm
Hi guys, hoping someone can clear something up for, had a read there at the new changes but I was wondering does that affect already active sequestrations, I was sequestrated at the start of December, will I still be automatically discharged this December or will I fall into the new rules? Thanks
15/02/2015 11:10 pm
Hi davy1601.
It will affect only new cases.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
16/02/2015 7:35 pm
Hello, didn't understand your post, are the changes to sequestration better or worse ? Currently in TD but due to change of circumstance, viability for sequestration being reviewed next week, so have 6 weeks before changes
Thanks
16/02/2015 7:42 pm
Hi HAPPYATSEA.
Probably the main relevant change is that payments, if deemed to be affordable, would run for four years rather than the current three.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
16/02/2015 11:15 pm
Hello TDA,
So if the sequestration is the option for me , better if done before changes I presume ?
17/02/2015 9:09 am
If you're sure it's the right option for you it might be best to act sooner rather than later.
If you're not deemed able to make a contribution however it might not make much difference at all.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
25/03/2015 11:25 am
As these changes are now just a week away, we've added and amended some content about sequestration on the site:
https://www.trust-deed.co.uk/bankruptcy-sequestration.html
This only affects sequestration applications that arrive with the AIB from April 1st 2015 onwards. Older cases remain subject to the old rules.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
