Notifications
Clear all
Scottish Trust Deed Forum
5
Posts
3
Users
0
Reactions
1,845
Views
Topic starter
17/12/2010 7:15 pm
Just received from my IP a copy of the correspondence that will be sent to my creditors informing them of my trust deed.
I know that I do not have any experience of trust deeds and perhaps someone can advise me. The issue that is worrying me is that my IP is proposing a payment to my creditors of 11 pence in the ?ú. This seems a very low amount in terms of the amount being paid to my creditors and I am worried that it may mean that a sufficient number of my creditors will object, meaning that the TD will not become protected. Can any of the experts advise me or any of the forum members who are already in a TD on the levels of payments that are made to creditors and how likely this is to be a factor in my creditors accepting or rejecting my trust deed proposal.
Thanks
17/12/2010 8:41 pm
Hi gresgow.
The guidance to trust deed companies is not to take on a case unless the creditors can expect to receive 10p in the pound.
Your creditors will be more interested in the fairness of your proposal than the exact amount that they will receive. So long as they perceive that you are paying what you can reasonably afford, and that the fees of your trust deed company are reasonable, I'm sure that everything will be ok.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
17/12/2010 8:52 pm
Thanks TDA for this info.
I am still a little confused. When you say 'the guidance to trust deed companies', who is this guidance from and if as you are saying that debtors are more interested in the fairness of my proposal I suppose this is where my IP's confidence is coming from regarding my TD becoming protected.
Please forgive my pessimism but I do not want to get too optimistic, only for proection not to be realised.
17/12/2010 9:02 pm
Hi Gresgow
Hopefully TDA will confirm this but I'm under the impression that your IP knows the amounts that each of your creditors will accept and will have based their proposal based on this knowledge and their past experience of dealing with them.
And although there are no guarantees, your IP will be confident that their proposal is likely to be accepted, otherwise they wouldn't have put it forward.
Cheers,
DebtFreeWannabee
18/12/2010 10:49 am
The trust deed companies that handle plenty of cases know what various major creditors will or will not accept. The criteria are well-known and clear.
The guidance I mentioned comes from the regulators of insolvency practitioners.
As DFW mentions there are no guarantees. However the fact that your Trustee seems confident is a very good sign.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
