hi tinsoldier

my house is valued at £160,000.00!the girl on the phone told me today that if i dont pay the £46000 they will take my house.

yes the house was worth £115,000.00 when they took the first valuation an the equity was £4000 then 11months later they valued it again and said its now worth £160,000.00 so the equity is now £46000.

What do you believe the property to be worth morgan01?

Are you saying that you disagree with the second valuation?

a think the property now is probably worth £160000.

yes i disagree with the second value

So the trust deed company have valued the property at £160000.

You agree that this is the current value of the property.

You're going to need to refer to the terms of the trust deed that you signed morgan01.

A fixed sum may have been agreed at the start of the trust deed (the £4000) and you may have been given confirmation of this. If you can demonstrate that this is the case you may have a good argument that only £4000 is due.

Otherwise, the trust deed terms may have included provision for the property to be revalued with any increase in the value to be paid in for the benefit of your creditors. In that case the trust deed provider are almost certainly entitled to request that the full equity is paid over. Not only are they entitled to do so, they are probably obligated to do so by their regulators and the law.

I'm sorry that you find yourself in this difficult position. If you believe that you were told that £4000 was all that you had to pay (and especially if you can provide evidence of this) I'd suggest that you get some legal representation as soon as possible to fight your corner.

It was common a few years ago that properties were revalued towards the end of a trust deed. Nowadays many companies will fix a value on the property at the start of the trust deed whereby the individual is responsible for paying over a fixed sum that represents the equity (whether the property goes up or down in value later). That means that the client, the Trustee and the creditors all know where they stand which seems to be a much better way to operate.

As TDA has said they have the full backing of the law but you can ask if they will accept a figure lower than the full valuation if you were able to raise that from elsewhere. Keep communication going with them even if it's the same type of letter you keep getting back, a solution may appear when you least expect.

This is only my interpretation but your IP would have to apply for your sequestration and state the reason's, non-compliance,etc before they can force the sale of your home. A Sherriff would have to decide if it's in the best interest's of all parties involved to force you out and accept a lower than market value less cost's. Best option would be to seek Legal advice on the orginal document that you signed.

Hi all

The Trustee does not need to apply for sequestration to obtain the rights to sell a property, he would however have to raise a court action. If the property is jointly owned, he will need to look at an Action of Division and Sale. The sale is not discretionary with the Sheriff as the Trustee stands in your shoes re the property.

Mark

Sorry to butt in, but how much debt were you in? You have paid the full 3 years Trust Deed and now they want a further £46,000. This is so unfair, were you not discharged and why has it took them a further 3 years to persue it?

Sam.

Thanks for clearing that up Mark, can be a little confusing at times.

Hi jp73.

Don't worry about Mark needing to clear that aspect up (he does that to me sometimes as well!). It's much appreciated that you have taken the time to try and help and support another visitor to the site.

Hi also sam21.

I think we need to be a little careful in terms of judging the fairness or otherwise of the situation based on the information provided at this stage. Hopefully morgan01 will be able to share some more information that casts further light on the wider circumstances which I don't yet feel totally clear about. The Trustee concerned will be legally obligated to ensure that the terms of the trust deed that was agreed by morgan01 and his/her creditors are applied. We do of course see threads here where similar scenarios cause terrible concern for the individual concerned and I'm not trying to downplay that. Hopefully the advice provided here to homeowners considering a protected trust deed will stop some of these issues happening again in the future.

the trust deed company is going to phone me back on wed!does anybody know a good lawyer on trust deeds?as everybody keeps saying we should seek advice!

There isn't one specifically that I'd recommend but when you look for one make sure they have experience in the area of insolvency.

The trust deed firm clearly believe that your agreement means that the full value of the equity should be paid over. A lawyer who is experienced in this area will be able to confirm whether this is (or isn't) indeed the case.

Worthwhile if you dispute the situation, especially considering the sum involved.

we are disputing the fact that we signed the trust deed our house was worth £115000 with the equity being £4000.so why then 11months into TD did they want to do another survey on my house?which was then worth £160000 and the equity being £46000 now.we have now offered the TD £10000 and are waiting on a reply to see if they agree to this or they want more money.if they want more money we are going to seek legal advise.what do you think?

hi sam we were in about £60000 of debt.it has taken another 3 years because our TD was being taken to court and told us not to pay anything until the court case was over..