Would just like some advice from people that are going thru it.i haven’t told anyone so just looking for re-assurance

Hello Bains.

Thankfully it's not too often that we hear about a trust deed failing to become protected.

Trustees have a pretty good idea what most creditors will (and will not) accept and can provide warnings to their clients accordingly.

Did your trustee express any concerns to you about any of your creditors?

Hi Bains,

Everyone feels a little nervous at this stage of the process. A good experienced advisor should be able to reassure you about the likelihood of the Trust Deed proposal being accepted. The majority of Trust Deed proposals are accepted so I would try not to worry and over think things too much.

As advisors we work with the majority of the main lenders on a regular basis and they set out criteria that they will accept in a Trust Deed. As long as your proposal meets the criteria set out by the lenders then there shouldn’t be any problems.

Criteria that the lenders normally look for is an acceptable payment per month and a minimum return, that your income and expenditure isn’t excessive and that the fees and costs of the Trustee aren’t too high.

Some creditors such as Zopa, Hitachi and credit unions tend to have a more strict criteria and can sometimes be problematic for Trust Deed proposals.

Who are your main creditors?

Thank you for both you’re reply’s.main creditor is everyday loans who my advisor said can be tricky.

Hi Bains,

I agree in my experience dealing with Everyday Loans can be problematic and they do object to Trust Deed proposals.

Can you tell me how much your total debt is, how much you owe Everyday Loans and how much you are paying per month to the Trust Deed?

Also did your advisor tell you about the options should the Trust Deed proposal fail?

My total debt is 13k.i will be paying £165 p/m they said a das.everyday loans £4k

Hi Bains,

You may already be aware that if creditors representing one third (around 33%) or more of your total debt object then a trust deed will not become protected.

The numbers you've given (Everyday £4000 and total debt £13000) leaves Everyday a couple of per cent short of being able to prevent protection (unless another creditor joined them in objecting).

Do you have the precise numbers for the Everyday Loans debt and your total listed debt?

It does look quite marginal here as to whether they're in a position to prevent protection without the assistance of another creditor.

By the way... there's more information about high-cost loan firms like Everyday Loans at:

https://www.trust-deed.co.uk/expensive-unsecured-loans.html

£4100 so it is less than the 33% just!!

That sounds positive Bains.

Fingers crossed for you.

£4100 so it is less than the 33% just!!

Hi Bains, I am now coming up for my third year. It’s been hard...no getting away from that however the relief you feel when you can sleep at night outweighs it all. I truly felt suicidal and ashamed that I had got into this position. I haven’t told anyone either and that includes my other half as this would possibly cause us to split up.

You think 4 years seems a lifetime away but really I feel the last couple of years has gone by quickly and I’m so looking forward to being debt-free next year.

Just be upfront with your TD adviser always. Good luck.

Thanks for the advice feel a lot better just prey it gets protected

Hi Bains, Everyday Loans have 31.5% of the debt so less than the 33% required. If the debt balance is correct then I think you should be ok.

Easy for me to say but try not to worry too much.

Please let us know how you get on.

I will do thanks for all your help