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Verderci
| 23-11-2007 07:39 PM |
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Joined: 23 Nov 2007 Posts: 1 | I wonder if somone can help me. 14 months ago we entered in to a trust deed, which is now protected. We paid our trustee £1000 for him not to have any interest in our home (there wasn't that much equity in it). Now 14 months later our house has gone up in value if we remortgaged we would have enough money to pay off our trustee and start rebuilding our lives. I would like to know if I can "buy" myself out, and where can I get some information and advice? Thanks |
| helpmenow | 23-11-2007 08:34 PM |
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Joined: 15 May 2007 Posts: 30 My Profile | Hi Verderci, welcome to the forum. I don't really know much about trust deeds other than they are similar to IVA's in England. But reading this website they last for 3 years. How much will you be paying into the trust deed over that time? How much equity do you have in the house? Someone will be along soon :) Good luck |
| paladin | 23-11-2007 09:00 PM |
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Joined: 06 Jun 2007 Posts: 55 My Profile | Hi Verderci This may seem to a good idea, but what you must remember is that your IP is acting on behalf of the creditors. Is the trust deed protected? So if we assume it is protected and over a three period you will be paying £1000 x 36 = £36,000 in your trust deed. At 14 months you'll have paid in £14k with £22k outstanding. You discover you have £18k of equity in your house. To release the equity will be difficult, although not impossible. You will not get good rates because of your trust deed and therefore the cost involved would be a lot. Say it costs you £270 over ten years your creditors would not just accept a lump sum payment as your disposable income would be £1000-£270 = £730 over the next 16 months. Remember under the conditions of a Trust Deed you cannot get any credit without the say so of the IP. Let me know if you need more help or have any more questions |
