Some of the unique features of Creditfix Trust Deed advice include the probability of exploring the best options to repay your debts according to the terms specified in the agreement. Before you enter into the agreement with your creditors, the insolvency practitioner (IP) whom you approach is your consultant. He will offer you all the possible help and advice about efficient debt management and clearance without any hassles. For this he might suggest other ways than the trust deed also. You need to consider them and weigh their benefits and limitations as compared to the trust deed. The option for trust deed is chosen only when all the other options are nonexistent or they are not feasible.
Consultations with Creditfix Trust Deed Advice
- The IP will make an impartial analysis of your income sources, expenses, debt condition and your existing financial position. Based on this analysis he will be able to offer the best Creditfix Trust Deed Advice for managing your debts without getting into the risk of insolvency.
- He will consult your creditors and persuade them to agree to the terms and conditions specified in the trust deed. If you have two creditors and one of them agrees to the terms, it could be converted into a protected deed. If there are more than two creditors at least 50% of them should agree for the terms and conditions in the deed. Then it could be converted into a protected deed. The trustee will submit a form in this regard to all the involved creditors. The need to sign the agreement. Once this is done the trustee will send a copy of the agreement to the Accountant in Bankruptcy (AIB). Then the trust deed gets sealed.
- The trustee will take all the measures under the Creditfix Trust Deed Advice to keep you updated about the latest changes in the rules governing bankruptcy. He will offer his valuable suggestions which you need to implement in practice. The advice may be regarding the way you manage your income and expenses, repayment of debts and asset management. Make sure that you have asked him about all possible options about streamlining the debt management without putting your assets into risk.
- One possible Creditfix Trust Deed Advice may include steps to avoid taking further credits, while you are bound by the deed. This is an important aspect since the new loans will not be covered by the existing trust deed.
- If your residential property is included in the trust deed, you might face the risk of having to mortgage /remortgage/ sell it for settling the outstanding debts. Remember that unless the deed is converted into protected mode, the creditors will have the right to claim the interest amount and additional overheads associated with your debt principal amount. If there is a possibility of creating equity on your residential property you need to explore that option before opting for mortgage /remortgage/ sales. For this you can feel free to take the Creditfix Trust Deed advice.
As a creditor you enjoy certain rights when it comes to IVA Debt repayment. They are ensured by the standard conditions in the protocol Annexure IV of the Insolvency act in effect since 2014 January. The same act makes it mandatory for you to conform to certain responsibilities towards your creditors. If you are able to balance them, your IVA Debt repayment can be managed without getting into any sort of legal and financial hassles. For this you will obviously require the help of your IVA Debt solicitor who acts as the legal negotiator between you and the creditors. You need to make sure that you submit all the required documents and details to him. You also need to avoid making any contacts or communications with your creditors directly without the prior knowledge of your solicitor.
Your Legal Rights as Creditor in IVA Debt
- You will be free from the obligations of paying interests and overheads for the outstanding debts from the date of agreement. The freezing of interests will benefit you in making a considerable saving. Once the agreement is in effect your creditors cannot stake claims under any circumstances.
- You have the option to decide on the minimum and maximum monthly installments you can afford, in consultations with your IVA Debt solicitor. But you must be careful to declare this as you may not be able to change this frequently.
- You have the right to claim write offs between 30% and 50% in your outstanding loan principal sum, depending on the terms negotiated between your creditors and IVA Debt solicitor. In some cases it might be possible to exceed this limit also, but it is not guaranteed.
- You have a right to secure your minimum life and family support funds. You will be able to meet any of the emergency medical and other unavoidable expenses. You can discuss with your IVA Debt solicitor and get funds allocated.
- You reserve the rights to continue with your job /trade. You also have the legal rights to expand the scope of your income without having to bother about having to pay more to your creditors. The only requirement is that you need to keep your IVA Debt solicitor informed about all sources of extra income on time. This will help him in finding the path for faster repayment of your agreed principal loan sum.
Your Legal Responsibilities as Creditor in IVA Debt
- You need to conform to the installments of repayment sum regardless of the situations you may face during the repayment period.
- You need your IVA Debt solicitor’s written consent before selling or disposing any of the assets that you have declared to him.
- You must not apply for any additional loans from banks or financial institutions until you have cleared the existing IVA Debt.
- If you are a salaried employee you must declare any bonus, increments or other financial benefits you get from your company when they exceed a particular value. You need to consult your IVA Debt solicitor to know about the exact percentage of this from your gross/net salary.