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| The independent answer to your debt problems | login join |
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sanfran69
| 18-05-2007 01:41 PM |
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Joined: 18 May 2007 Posts: 4 | I've been searching the internet for some definitive site which will detail what is allowed and what is not allowed within a trust deed. I want to make sure that my IP is not conning making me sell my car for one. I spent a lot of money on it, it's my pride and joy, and i need it for my work, but my IP says that it counts as an asset and the equity in it must be realised. Can anyone point me in the right direction? |
| DW George | 18-05-2007 02:00 PM |
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Joined: 01 May 2007 Posts: 174 My Profile | Have a look at the AiB website for some useful information on trust deeds. Unfortunately, if after the three years of a trust deed there is substantial equity in your car you may well have to release this. Basically a trust deed can contain any terms which you think your creditor will accept, ie they'll not be happy with you owing them money and you driving about in a Bentley! Some of the terms will be fairly standard and your IP will advise you of what your creditors are likely to accept. For the trust deed to become protected you have to accept that all you own will be transferred into the estate, with the exception of household items. |
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sanfran69
| 18-05-2007 02:09 PM |
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Joined: 18 May 2007 Posts: 4 | Thanks for that. I'm not happy tho' losing my car but needs must, I did spend a lot of money and racked up a lot of debt. |
| James H | 27-05-2007 04:47 PM |
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Joined: 27 May 2007 Posts: 32 My Profile | In order to avoid confusion I must point out that, in a Trust Deed, the Trustee is obliged by law to secure a maximum dividend for creditors. The vehicle value must be established and any equity can be realised at any point during the term of the deed, not only at the end of three years. If you know a friend or relative with spare cash and a benevolent nature, they may contribute the equitable value of the vehicle into the deed, thus realistically releasing he grip that the IP has on the vehicle during the term of the deed. |
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sanfran69
| 01-06-2007 02:07 PM |
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Joined: 18 May 2007 Posts: 4 | Thanks for that info. My IP spoke about the car and said that they would value it at the end of the three period. If there's equity above £1500 he would insit on it being released. Is this right? |
| James H | 02-06-2007 12:52 PM |
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Joined: 27 May 2007 Posts: 32 My Profile | I would not argue the point with them, although the guidance states excess over £1000 rather than £1,500. Each IP will operate their own way however. See if they will confirm their statement in writing. |
