Hello laguna_1,

I'm sorry to hear that you have some health concerns at the moment.

?ú120 per month is pretty low in terms of a payment to fund a Trust Deed but at the same time sounds as though it might be a bit of a stretch for you?

With that in mind I wonder if you have also considered Low Income Low Asset sequestration?

Hi Laguna1
IÔÇÖm sorry to hear that you have been signed off your work.
I note that in previous posts you have indicated that you have debts totalling ?ú37,000. Unfortunately if you were only able to afford a contribution of ?ú120 a month, it is unlikely that a Trust Deed would be suitable for you.
I also note that you had stated that bankruptcy may affect your job as you are currently studying for your ACCA exams. Would this still be the case if you were working part time? Would you be staying with the same employers and still sitting your exams?
If this isnÔÇÖt an issue and your income, at present, is no higher than the national minimum wage, you may qualify for a LILA sequestration.
Julie

Thanks for your advice so far.

I had a feeling that 120 would be too low. Basically my current role is full time however the job is very stressful.

i have been offered another job which is in customer service in a call centre. the wage actually migt be a bit more than i thought as there may be some commission in it as well.

I think LILA wouldnt be for me as i would like the option to return to acca in the future. Just need to get my head sorted and all this family stuff out the way and maybe in few years come back to sitting exams.

On top of this my parents are willing to help out a little, in terms of payments. Your right 120 is just affordble right now however with the commission and some added help from parents if i cud push thisto 180 would this help. Im sort of getting figures out the air right now but rough figure to work too would be good.

Ive heard a figure of 10 pence in the ?ú after the trustees fees. Reall really i want to do a trust deed. All the chasing from the creditors has definitely added to my depression/stress. On top of the whole family stuff, getting quite hard for me mentally these days. I just feel a trust deed is something i want to sign as soon as and also coming up with figure that is likely to allow protection then id be happy.

Yea the debts are ?ú37000, currently just started paying ?ú1 a token payments after 5-6 months of non payments.

In my scenario, LILA would probbly be ideal, but in a trust deed what type of figure would we need to look at to allow this to be an option.

Hi laguna_1,

Based upon the figures you are suggesting a Trust Deed might be viable. As you say Trust Deed companies have guidance that they should expect to produce a 10% dividend after they have collected their fees from the contributions.

As such choosing a firm with reasonable fees will also be important.

I'm guessing that commission is not guaranteed in your position? If so would your family support the full difference if required?

Yea the commision isn't guaranteed you are right.

i have spoken with the parents and they are happy to cover the full difference depending on how much it is. They are saying they would really need to a rough figure before they would be happy helping me.

Not too sure what to say, what would you say

Really appreciate the forums help on this.

In terms of a trust deed, you may be looking at slightly more than ?ú180 pm, but not a huge - and a trust deed could be proposed over a slightly longer period if necessary in order to reduce the monthly cost, say 42 or 48 months.

Your other options are either to opt for sequestration as suggested previously (quicker and cheaper probablyly, but potentially more of an effect on your credit rating/future employability) or get onto some kind of temporary debt management plan (DMP). The latter option would have to be on a temporary basis as it would take a very long time to repay the debts at a rate that you can currently afford, however if you thought that your circumstances might improve before too long then this would be a way of keeping creditors happy until a more permanent solution is possible (eg trust deed, or dmp at higher rate).