It is exactly as you describe, some of your contributions will have been allocated to the costs and outlays involved in administering the trust deed as it went along and whatever remains is shared out pro-rata between creditors.

A nil dividend should only happen if there was a change in circumstances during the trust deed which meant that less funds were gathered in than expected.

Hi tinsoldier.

At the start of the process your Trustee put forward your proposals to your creditors. This set out how much you were expected to pay into the trust deed, how much the Trustee fees and costs would be for the work they expected to do, and therefore what the creditors might expect to receive by way of a dividend. The creditors then decided to accept (or object to) the proposals on that expected basis.

Things can then often change. This could be due to your income increasing or decreasing, receiving a windfall, or your Trustee having to complete additional work that they hadn't originally budgetted for in connection to the trust deed.

The end result of these changes could be that the creditors receive more or less than they originally expected to under the proposal (they will have been aware at the time that these could change).

In your case it would seem that all of the contributions that you made to your trust deed have been taken up with the fees of your Trustee and the other costs involved. If that leaves no money in the "pot" then there is nothing left to be divided up between your creditors by way of a dividend at the end of your trust deed.

This makes no material difference to you though. You have met your obligations under the trust deed and therefore will be discharged without having any further liability for the debts that were in the trust deed.

Your creditors can have the fees/costs of your Trustee independently audited if they believe that they are excessive. That's a matter between them and your Trustee though; it makes no difference to your position.

Hi Kevin

That is what happened - i went to a 4 day week at work which meant a 20% cut in salary which coincided with rising bills. My TD contribution was altered to reflect this.

My trustee also referred to time spent chasing claims contributing to rising fees.

I'm just worried the nil dividend means i will still be chased for monies by creditors?

Hi tinsoldier.

If you have done as you were asked and have been discharged from the trust deed there really is no comeback against you.

Not at all, as trust deed assistant says, you are discharged from all of your obligations -- they cannot come after you.

I haven't been discharged yet - i received a letter this week saying that my trustee was seeking discharge and my creditors had 2 weeks to object

Hi tinsoldier.

I really don't think this is going to be an issue for you. Your Trustee seems happy that you've met the obligations that you committed to.

Thanks folks - i think i just need to see that letter of discharge!

Can anyone confirm what "chasing claims" refers too - surely a creditor wouldn't be slow in putting in a claim?!

Congratulations Tinsoldier on the completion of your TD, I'm sure you must be very excited / relieved that it is finally all over and you can get on with your life. You're a success story for the PTD!

This question is more for the TDA or Kevin. I didn't realise that the Trustee had to seek the creditors approval for the TD to be discharged, do they often object to the discharge of the PTD, and if so approx what percentage chance is there they will object?

Tinsoldier - was it difficult to have your contirbution altered? I had asked the Trustee about this (say 1 of us loses our job, or my wife becomes pregnant) and he was quite wishy washy. He said if it was outwith our control then it would be looked at, but i'm not sure if unplanned pregnancy would be deemed 'outwith our control'?

If anyone was any advice or experience of the above I would appreciate your input (and no, we are in no way planning to get pregnant just yet!)

Hi Poorboy

I telephoned the TD company and i just ad to fill in a review form (as per the 6 month review requested anyway) and enclose my new payslips which confirmed my 20% cut in salary.

I also enclosed proof of increase in living costs and they altered my contribution accordingly.

I would imagine a new arrival would increase you living costs considerably....

Creditor approval to discharge is basically a formality. As long as the trustee is happy that you have completed your obligations then you will be fine. If a creditor isn't happy with that they would have to go to court to challenge it - I have never seen this happen.

Tinsoldier and Kevin

Thanks for your comments, they have put my mind at ease.

PB