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Scottish Trust Deed Forum
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Topic starter
25/07/2009 3:37 pm
I am considering whether to agree to a TD proposal in the next week. My concern is what happens if after the 5 week waiting period the TD is not successful (it is not approved if a few creditors do not agree?) Will I be able to resubmit a higher monthly payment/contribution for the TD to be approved? (more dividend on the pound for creditors?) I read that someone else posted that her creditors did not accept the TD then she had to file bankrupcy? Can a creditor go straight to the courts to file a bankruptcy order? I have always had a good payment record with all my creditors but after the TD proposal is started would my creditors be able to take me to court/force bankrupcty without any prior payment problems from myself? Would all credit contracts listed on my TD proposal be defaulted even if the TD order may not be successful, even though I am still maintaining successful payments to all the companies?
25/07/2009 4:56 pm
Hi Sara
Any decent company would not propose an TD unless there was an extremely good chance of it being accepted. In the very very few cases where it fails, the bankruptcy would be instigated by the Trustee, not the creditors and it does not go to the court.
I don't think previous payment record has a great deal to do with acceptance or rejection.
If you give Kevin or I a list of creditors and amounts due and proposed contribution (outwith the forum if you like) I'm sure we could guide you on the chances of success.
Mark
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
25/07/2009 5:50 pm
Do you have to go bankrupt if the Trust Deed fails or can you object to this, as we went back in to a dmp and the trustee was fine with this, sorry but im so confused.
Thank you
Topic starter
25/07/2009 10:43 pm
Mark, thank you for replying so quickly.
I have sent you an email with a list of my debts and proposed contribution.
Another question- when you say the trustee instigates the bankruptcy process if a TD is not successful, is this only in agreeement with the client or can the trustee instigate the process by his own accord?
On average how many TD proposals are successful?
Thank you so much for your help.
26/07/2009 3:39 pm
Hi Sara
I'll pick up the e mail tomorrow morning and let you know my thoughts.
The vast majority go through with no problem. Certainly in the high 90% My own firm is probably about 98/99%. There is usually a rogue creditor which may be a problem and you usually have an idea before signing if this will/may be a problem.
The Trustee would normally forward a Sequestration petition to you and proceed when you have signed this. As mentioned there is no court involvement.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
