Notifications
Clear all
Scottish Trust Deed Forum
6
Posts
3
Users
0
Reactions
3,812
Views
Topic starter
12/08/2014 1:34 pm
I've got a complicated question (sorry).
Nearly eight years ago my partner and I both entered into trust deeds. We remortgaged and that was our only contribution; at the time we couldn't afford to make monthly contributions. My trust deed became protected, but my partner had a major creditor who objected (a bank loan), so his trust deed never became protected. I received a letter confirming my discharge after three years; my partner did not. However, he didn't want to go though sequestration and his creditors just seemed to ignore him ÔÇô he's never had any further requests or demands for money from them, but since his trust deed didn't pay off the full amount, he must still owe them more than £5000.
My questions are:
1. Were his debts to his smaller creditors discharged, since they didn't object?
2. What could happen with the creditor who objected? I don't understand why they've ignored his debt. Could they come after him at any time? Are they likely to? He's never made payments in all this time (with the exception of the contribution from the remortgaging). Should he contact them and set up monthly payments?
We're thinking of moving house, which would involve applying for a new mortgage, and I'm trying to work out how this situation might affect us.
Thanks for any advice!
12/08/2014 3:27 pm
Welcome to the forum TessD.
Do you have a record of how much was paid to your partner's creditors by the trustee from his share of the increased mortgage which he paid over?
Have you taken a look at his credit report to see what's showing on there now?
Sorry to respond to your question with questions but it can be useful for providing you with helpful answers.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
12/08/2014 4:08 pm
Thanks for the reply!
I can't remember how much was repaid, but I'll have the paperwork somewhere - I'll look it out.
And I'll ask him to have a look at his credit record - that should provide some information.
Many thanks again!
12/08/2014 5:09 pm
Hi TessD
The debts due to the creditors who accepted should be discharged - they accepted the terms of the Trust Deed and as long as it was fulfilled as promised then they would get their share of the proceeds and should write off the remainder.
Any creditors who objected would not have to write the debt off at the end (though that doesn't mean that they didn't and in fact they may well have by the sounds of it!).
I would tread carefully regarding these debts as they may have "prescribed" by now, ie the creditors could be time-barred from pursuing your partner if it is 5 years or more since he last acknowledged the debts/paid anything towards them. However, if he contacts the creditors about making payments then that could reset this time period.
A credit check is a good idea I think.
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
Topic starter
12/08/2014 9:34 pm
Many thanks, Kevin; that's really helpful. My husband has done a credit check, and sure enough: the old debts aren't on the report. What a relief!
Thanks again.
13/08/2014 10:11 am
Hi TessD.
Regarding Kevin's comments on "prescribed" debts, you may wish to learn a little more about "prescription". There's a little information on this thread from Mark that might be relevant:
https://www.trust-deed.co.uk/forum/topic.asp?TOPIC_ID=953
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
