Hi mummymoo,

Welcome to the trust-deed.co.uk forum.

I'm really sorry to hear you are feeling stressed. Please be reassured that you are in the right place to get some straight answers.

One of the experts will be along soon to get you the specific answers you are looking for.

Hi
Thanks for the reply.I am looking forward to some answers where poss

quote:

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Originally posted by Trust-Deed Assistant

Hi mummymoo,

Welcome to the trust-deed.co.uk forum.

I'm really sorry to hear you are feeling stressed. Please be reassured that you are in the right place to get some straight answers.

One of the experts will be along soon to get you the specific answers you are looking for.

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Hello mummymooo,

No wonder you are stressed, with this hanging over you. I'll try and deal with each of your questions in turn:

1) It is true that any equity that exists in a property has to be realised in a trust deed. Having said that, it should certainly have been explained to you when you signed that this was the case, and normally the equity issue should be dealt with at the start of the trust deed. The insolvency practitioner involved has a duty of care to you and it may be possible to argue that they have failed in this duty - though I'm sure they would contend this.

2) I don't know why you would have had to sign another TD in Feb06 - did they give you any reason for doing so?

3) The individual named insolvency practitioner is responsible for your trust deed, not the company so this can happen.

4) Creditor claims do not necessarily have to be made at the start of the trust deed and the trustee will usually admit claims later in the process. The creditors must normally provide evidence to show that the amount of their claim is valid, so the trustee should be checking for this. The banks may have written debts off, but they are still entitled to make a claim for anything owed at the date the trust deed was signed.

If you are unable to prevent them pressing ahead with eviction, it may be worthwhile checking out whether you would be eligible for the Scottish Government's Mortgage to Rent scheme, which might mean that at least you could stay in your home, but as a tenant instead.

Hi Kevin

Stress is not the word. I have an 8 week old baby as well as and am not coping well with him putting the stress on too. I complained to ICAS about him as he never returned calls nor did he call me back for over a year hence why I lodged a complaint. Anyway by the by I have to make sure my girls do not get put in homless acomodation and have thier little life put into jumble...

I know trustdeeds are complicated and I have more questions everyday as to why he can have creditors on the list but they do not have a claim. The original debt was 47K and now it is 62K for some reason. Yes I have equity in the property but it is impossible to release this as no one will give me a mortgage nor can my family help me. It was never explained to me about the property or I would never have bought it in the 1st place. I only found out about this in the next years financial atatement. Then I started questioning it and hence I never got a call back nor a reply. I feel cheated and now he is pushing because I complained about him and I know I am not the only one. He has been in the papers recently regarding dealings....

One claim is for the council where I am paying these claims monthly but they have never informed the guy about this. Am angry, every little cash counts at the moment.

I offered the trustee that I will sell the house and get him his money but he will not accept this. He is not willing to do anything to help. I do not trust him either hence why I have gone to a solicitor.

I have tried the goverment scheme but he will not let me do that either. The only way is to give him the money he wants to get rid of him but low and behold got a letter where he has said there is now more equity in the property and he wants more.

I really dont know what to do. I want to start afresh but them eviction procedings will go ahead and the flat will be repossesed and it will go on my credit file and by that time \I will be too old for the worry of a mortage. What annoys me is that he should never have put me in a trustdeed to begin with as I did not have the money to pay it and then he roped me into buying my property where the mortgage payments were excessive and then I could not afford to pay him. He wanted to rope in my partner and I refused.

I can go on hu but need to know where I stand as I though he was meant to protect the property not his own pockets he is filling!

I am sorry I have so many questions and so many things to say but it seems to come out in a mess because I do not know where to start..

quote:

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Originally posted by Kevin Mapstone

Hello mummymooo,

No wonder you are stressed, with this hanging over you. I'll try and deal with each of your questions in turn:

1) It is true that any equity that exists in a property has to be realised in a trust deed. Having said that, it should certainly have been explained to you when you signed that this was the case, and normally the equity issue should be dealt with at the start of the trust deed. The insolvency practitioner involved has a duty of care to you and it may be possible to argue that they have failed in this duty - though I'm sure they would contend this.

2) I don't know why you would have had to sign another TD in Feb06 - did they give you any reason for doing so?

3) The individual named insolvency practitioner is responsible for your trust deed, not the company so this can happen.

4) Creditor claims do not necessarily have to be made at the start of the trust deed and the trustee will usually admit claims later in the process. The creditors must normally provide evidence to show that the amount of their claim is valid, so the trustee should be checking for this. The banks may have written debts off, but they are still entitled to make a claim for anything owed at the date the trust deed was signed.

If you are unable to prevent them pressing ahead with eviction, it may be worthwhile checking out whether you would be eligible for the Scottish Government's Mortgage to Rent scheme, which might mean that at least you could stay in your home, but as a tenant instead.

RE 2
He did this as he was waiting for the sale of the property to go through the council and that is why it took so long. I had S officers knocking at the door at least 4 times a week but never clicked to ask about the property. He should have told me his intentions but he knew he would pocket his 13K fees then with the equity. I wish I had been more awake at the time and looked into it a bit more. The worrying thing for me is I can not go on with this. I am depressed as it is and now this is just the icing on the cake.

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I am always reluctant to state that an insolvency practitioner has acted inappropriately when I have heard only one side of the story, but there are a few aspects to your situation which would suggest that you have received very poor treatment. Certainly, the insolvency practitioner I work for would never push someone to buy their council tenancy in order that it could be sold further down the line. If a person wanted to enter into a trust deed based on this kind of arrangement then it would only ever be done at their own instigation and after full discussion so that the person knows all of the implications.

How to sort this out? Well the advice we can offer on this kind of forum is limited and you really need someone who is able to delve into the detail, take this on and fight your corner.
I think you a right to seek professional help, mummymooo, and I hope your solicitor can help you, though this is quite a specialised area. Alternatively, it may be a good idea to get some help from your local authority's trading standards department as they will normally have money advice specialists who could make representations on your behalf for free. Maybe they would be able to get further with your trustee or with ICAS than you have. At the end of the day, what have you got to lose if your trustee is refusing to make any concessions anyway?

Is there still a clawback payable to the council if you sold the property? I wonder if the reason he is not sanctioning a sale, or a mortgage to rent application, is because he would prefer to wait until this is no longer an issue, after which time he may be more willing to go along with this?

Hi Kevin

The clawback period regarding the council discount is just passed and this is why he is going for the throat in my eyes. I have looked through all the paperwork again and I can find nothing apart from letters regarding the flat nothing serious on paper that he has explained what will happen and I agree to this. I would never have agreed to this at the begining like I say I am making our family homeless and that is unbelievable. I am really worried.
Can he go back on his word if he said he wants 15K can he up the sum at any time because of the equity? He has written to my creditors to let them know he is asking me to sell the property in the next month. I really have to stay strong and fight this to the bitter end.
Sorry I did not get back to you sooner had a couple of really down days.

quote:

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Originally posted by Kevin Mapstone

I am always reluctant to state that an insolvency practitioner has acted inappropriately when I have heard only one side of the story, but there are a few aspects to your situation which would suggest that you have received very poor treatment. Certainly, the insolvency practitioner I work for would never push someone to buy their council tenancy in order that it could be sold further down the line. If a person wanted to enter into a trust deed based on this kind of arrangement then it would only ever be done at their own instigation and after full discussion so that the person knows all of the implications.

How to sort this out? Well the advice we can offer on this kind of forum is limited and you really need someone who is able to delve into the detail, take this on and fight your corner.
I think you a right to seek professional help, mummymooo, and I hope your solicitor can help you, though this is quite a specialised area. Alternatively, it may be a good idea to get some help from your local authority's trading standards department as they will normally have money advice specialists who could make representations on your behalf for free. Maybe they would be able to get further with your trustee or with ICAS than you have. At the end of the day, what have you got to lose if your trustee is refusing to make any concessions anyway?

Is there still a clawback payable to the council if you sold the property? I wonder if the reason he is not sanctioning a sale, or a mortgage to rent application, is because he would prefer to wait until this is no longer an issue, after which time he may be more willing to go along with this?

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Your trustee could potentially do that, if your property has risen in value since the original estimate. That is why I always much prefer to sort out any equity issue at the start of a trust deed and avoid any potential problems like that.
I don't understand why the trustee is not agreeable to you going through the mortgage to rent scheme, which would basically return you to your starting position as a tenant, but would release all of the equity to be paid to your creditors. Seems the ideal solution to me. Did he give you any reason for saying no to this?

Hi Kevin

I was not given any reasons for the way he is acting at the moment.
I am really mad to think I have been struggling to pay the mortgage where this would not have been the case if I was advised correctly.

He has under estimated the value in the property by around ?ú30K. I have recieved information from my creditors where they have not made a claim but this information is on the statements and included in the TD. I feel this is a whole bucket of lies, fraud and flase information. As you can guess I am angry as I have been put in a corner and there is no way out for me and my future is doomed if he evicts me as there will be a repossesion order put in my credit file and I will never get a mortgage again.

I have a family and he has left me in a dire situation and does not have a nerve in his body. I know he acts on behalf of the creditors but surley he has an obligation to inform me of the action he intends taking and whre this will leave me.

Ok am really angry ay the moment and holding out with this but it is like having to sign again everyday and it makes me ill. I thought that most of the debts are written off after the 3 years but this is then not the case if he wants all the equity from the property

You are a star helping me and am so glad I found this site.

quote:

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Originally posted by Kevin Mapstone

Your trustee could potentially do that, if your property has risen in value since the original estimate. That is why I always much prefer to sort out any equity issue at the start of a trust deed and avoid any potential problems like that.
I don't understand why the trustee is not agreeable to you going through the mortgage to rent scheme, which would basically return you to your starting position as a tenant, but would release all of the equity to be paid to your creditors. Seems the ideal solution to me. Did he give you any reason for saying no to this?

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Hi Kevin
Well quite alot has been happening with my chaos over the past few months. The guy has been fined for proffesional misconduct and I am with a solicitor who is fab. He has recognosed many civil and criminal failures in the TD and we are taking more action including with ICAS as they said they found nothing wrong where they never even noyiced I had 2 trustdeeds not just 1 so I will let you know how things go but am not going to stop and am now studying law to find out more about these kind of crooks. His fees are around 10k now so that is something else to be gob smacked at. Anyway it is late and I better go I will keep you posted with all.

Hi mummymooo,

It's good to hear you are making progress. I think this does go to show that where Trustees fall below the accepted standards there are consequences for them.

Wow mummymoo, looks like they messed with the wrong person this time. Good for you.