Hi diane0808 and welcome to the trust deed forum.

It's very difficult to answer that question without knowing more about the circumstances that have led you to consider signing a trust deed.

Could you tell us about your debts, how much you think you can afford to pay towards them each month and what assets you have?

i have about 20,000 debits c cards and loans catalouges etc.... and i have a morgage wich is £1000 in arrears which i have an arrangement on... i am running abour 2 months behind most things and am struggling to keep up payments infact at this rate it will tske me years!!! my husband and i are in full time employment..but with rising living cost and 2 teenagers...there just isnt enough to go round because of all the repayments.. so i have spoken to an adiveser and am just about to sign which is around 400 a month which is what we can afford comfortabley... it is just that final straw before we sign on the dotted line!!! that i am worried about!! it asks about our car? we owe no money on it so why should that come in to it...at the moment we cant get credit so ia a td the right way to go? have had a year of sleepless nights fone calls and just havent been myself please tell me it will be worth it?

Hi diane0808.

Depending upon your circumstances a trust deed may involve your assets as well as your surplus income (the £400 you mention).

So we can look at that side of things (which is really really important):

How much do you owe on your mortgage?
How much do you think the house is worth?
Is the house jointly owned?

How much do you think that your car is worth?

Is it just you looking to sign the trust deed or your husband as well?

we owe 97.000...
it is worth 100.000
it would be joint
The £ 400 is what we have agreed to pay...i was just lookin for sum reasurance
the car is worth about 2000? why would my car be relavant that is what worries me?
or do we not sign... and just carryon as normal struggling? i am worried now about the td?

I'm not trying to worry you diane0808 and I'm sorry if I have.

If the car is worth less than £3000 it should be fine. If it was worth more it would be an "asset" in the trust deed and you'd need to find an extra payment to cover it.

The equity in your house is the same. If the trust deed valuation finds equity (which from your figures it may well not) that will also have to be paid over before the trust deed ends.

The same would be true of any investments like an endowment policy for example if you had one.

I'd advise you not to proceed until the trust deed company explains to you in writing exactly how your assets (especially your house) will be dealt with and you're certain you fully understand it and are prepared to go that way. This isn't meant to worry you either, it's just a process that minimises the chances of miscommunication or misunderstandings coming to light further down the line. If you read around the forum you'll see that when this happens it can be quite destructive.

Thank you for all this advice....
i am at the end of my tether with it all..
i think that it is the only way to go and have been advised on a 4 year plan...to do with equity on our home...
it is just so final and i feel as if i have no control at the moment!!
is my home protected with a trust deed?

Hi Diane

TDA is correct. My advice is to do nothing until you have a face to face meeting and ALL matters have been confirmed in writing, especially when there is property involved.

I am travelling to Aberdeen from Glasgow tomorrow for a meeting and while this kills most of the day, at least it is done properly and that way there are no surprises. If you have not met with anyone personally, I would advise that you avoid this company. I assume you have went via a middleman company who will look on this as a 'sale' and will be unconcerned how matters develop later.

There are plenty of decent companies who will follow the correct procedure and leave you with a clear and precise way forward.

Mark

i went threw trust deed scotland... and was passed to rsm tenan... i live i a remote area...so i think that is why i didnt have a face to face meeting...am i doing to right thing?

We just cannot answer that question ("am i doing the right thing") for you diane0808; only you can make that decision though you're doing the right thing asking about it to get some more information.

We think RSM Tenon are a good company... so that's a good start.

I'd still suggest that you ask for full written clarification (and verbal explanation) from that company so that you understand exactly what is happening in terms of your home before you sign. This company will be happy to provide that to you.

If you still don't fully understand everything, and feel reassured that you know where you stand, then I wouldn't go ahead without a face-to-face meeting first.

It's not that we necessarily think that anything is wrong; it's just that you are uncertain and that's not a secure place from which to enter into a formal and serious procedure like a trust deed.

Kevin, one of the experts on this forum is from RSM tenon. I was also put in contact with them through trust deed Scotland and I haven't had any problems. Just ask to get everything in writing first. If your still not sure about what is happening due to the legal bumf used in their letters, just send them an email and ask them to confirm if what you think is correct. This way you will get an email response in plain English and also in writing.

Hi Diane

Same rules apply I'm afraid. I would do nothing until the position with the house, car, contribution etc is absolutely clear.

Where do you stay, got me curious!

Mark

Hi Diane0808,

It is normal to be nervous about the prospect of entering into a trust deed, and a degree of scepticism is a healthy thing I reckon. You can never be too careful about important matters such as this.

As skintally said, I work with RSM Tenon, though from the information above I'm pretty sure it is not me personally that you have been dealing with. We are of course more than happy to provide confirmation as to our agreement with you in writing and always do so as a matter of course. It is quite unusual for there not to be a face-to-face meeting too, and even if you do stay in a remote location this should usually be possible if you would much prefer it.

Feel free to contact me through the button below, or speak to your contact at RSM Tenon, and I'm sure we will be able to answer any queries you have and make whatever arrangements might be necessary to put you at ease.

thankyou... am only worry because my husband is working alot at the mo and is earning good money but is not forever it is just the nature of the job he does...the information i gave the td adviser was based on what he normally earns? and before signing i would like to no that his wages wont be affect other that what we have beeen advised we would be paying a month? because the paper work in which i have recieved has asked for the last 3 payslips to be sent... which we have but have at least 20hrs over time on them? thanks

Hi Diane0808

You sound exactly the same as I felt last June 2010, if anything I was even more anxious than you sound !!!
We had huge unsecured debts between us, and I researched every article known to man about Trust Deeds, and like you wanted someone - anyone - to reassure me and tell me I was doing the right thing with a guarantee that everything would work out just fine. However, as TDA says there is no-one who can give that 100% assurance, but as an avid lurker of this site I would say listen to the advice.
Go with a reputable company, make sure you get all your questions answered, get it in writing and make the decision...is this right for us....????
As for us.....we are now 14 months in and can honestly say it's the best thing we have ever done, in some ways it seems to good to be true. Yeah our credit rating is shot to bits, but hey it was already. In 22 months, we will be £900 better off a month and can start again, with major lessons learned !!!
I really hope things work out for you (sure they will), wishing you the best of luck. Let us know how you get on.