Hi jules490

I'm disappointed that Chase Saunders ran the DMP for a year and then suggested a Trust Deed. Was there any change in circumstances to justify the alternative?

There should be no set up fees involved whatsoever. I suspect Chase Saunders have had their fee over the last 12 months.

Mark

Hi Mark

They asked me to re-evaluate my expenditure, which in a year my circumstances have not really changed, so they recommended the TD as my current DMP was going to take around 8 years to pay off my debt!!

I will wait and speak to the IP they have passed me on to and see what he says. From what i understand, any money i pay should then be going straight to the creditors ( i keep getting all the terminology muddled up) I will post tomoro once ive spoken to the IP as i want to make sure i am going about this in the correct manner, and do not wish to be paying anymore fees when my money can be going straight towards the debts themselves.

Is it possible to get messed about with a TD?

Thanks

Hi Jules

problems usually arise when dealing with the middle men who the pass the info to an Insolvency Practitioner or who are part of the Insolvency Practitioner's firm.

You shouldn't have any issues with an independent firm.

Mark

Hi Jules
I was also on a DMP for 6 months last year and felt that it was going to take forever to be debt free. So I decided to go for a TD. I would suggest you use one of the experts from this site like i did. I used Mark from this site,he had it all up and running before i knew it.There is no up front fees, he will also visit you with no commitment to go through the procedure. He will also tell you your best options ie TD or continue a DMP.If the Td is the best option you will be asked to prove outgoings/income and details of all debtors, any surplus (what you can afford after food,fuel and all utility bills even any hp on a car)is paid directly to you TD per month. This is passed onto your creditors after 36months minus TD fees which you dont worry about as this is included in your monthly payment.After signing you wait 5 weeks for creditors to accept,most TD go onto be approved. To contact Mark you can click on his profile at the side of the page.
Best of luck Jules iam sure everything will work out for you.

Hi Mazda5

I should hire you as my PR man!

Always glad to help.

Mark

Hello Jules490,

Just to be absolutely clear on your original question any Trustee that you select will be charging fees for setting up and managing your Trust Deed.

These fees are deducted from your contributions before the remainder of the money is distributed to creditors.

Please ensure that you are very comfortable with whichever Trust Deed company you choose to help you. Three years is a long time and the nature of your relationship with a Trustee is both more serious and more significant than the relationship with a debt management company.

Hi Jules490,

To be fair to Chase Saunders, from the figures you mention it sounds as though a DMP or a trust deed may both be viable routes for you - though both options should have been explained to you from the start so that you could choose between them. Did you express your willingness to pay as much as possible towards your debts when you first spoke to them? If so, that might be why they set up the dmp.

To clarify the situation regarding fees. There should never be a need to pay a fee to set up a trust deed. However, all of the money you pay into the trust deed does not go towards your creditors. There are various outlays that insolvency practitioners have to pay, and of course their costs have to be met too, which do add up over the course of a trust deed.
The important thing to remember is that your obligation is to pay only what you can reasonably afford each month, no more no less. The IP proposes to your creditors at the start how much of the funds you are paying are likely to be required for the cost of administering the trust deed and how much is likely to remain to share amongst the creditors. The creditors then either accept or reject these proposals.

If you are keen to pay as much as possible towards your debts then a trust deed may not be your preferred option - a debt payment plan would mean that you repay your debts in full, though over a significantly longer period.