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Trust Fees for settling loans

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    Trust Fees for settling loans

    If the trustee's are asking for thousands of pounds to settle/waive/close the loan, is there any recourse? What's to stop them charging tens of thousands?

    #2
    Do you mean legal recourse? I would doubt it.

    Though everything can be negotiated. The loans are unlikely to be enforceable, so the trustees will take what they can get.

    Comment


      #3
      We have seen hundreds of loan agreements. Some are better than others.

      We are not lawyers but some of the above we have shown to law firms and discussed the chance of the lender being able to collect on them.#

      Safe to say that the story here is as varied as the agreements. It would be reckless to say that none of them are good enough to collect money or that all of them are perfect.

      The question of whether enforcement can be made will come down to individual documents and the circumstances around the time the agreement was signed and any supporting evidence.

      If you want a view that carries more weight than a post here, take your loan agreement to a lawyer.
      Best Forum Adviser & Forum Personality of the Year 2018.

      (No, me neither).

      Comment


        #4
        Originally posted by webberg View Post
        We have seen hundreds of loan agreements. Some are better than others.

        We are not lawyers but some of the above we have shown to law firms and discussed the chance of the lender being able to collect on them.#

        Safe to say that the story here is as varied as the agreements. It would be reckless to say that none of them are good enough to collect money or that all of them are perfect.

        The question of whether enforcement can be made will come down to individual documents and the circumstances around the time the agreement was signed and any supporting evidence.

        If you want a view that carries more weight than a post here, take your loan agreement to a lawyer.
        My question was more around the trustees (who may or may not be related/in-league with those who administered the scheme) are milking the fact people want closure and their loans cancelled/written off. At least in my case, nowhere was it made clear the fee would be in the thousands to go down this route.

        But there seems to be a recurring theme here of anyone involved with these schemes (whether those running them or promoting them) trying to fleece as much money from us now as they can

        Comment


          #5
          We had interaction with a number of trustees in late 2016 and early 2017.

          For what we wanted, most trustees either did not charge or a modest fee. I think the maximum was around £200.

          Clearly the circumstances since then have changed but for a simple administrative process, I've never heard of a trustee charging thousands.

          If the fee is of that magnitude, chances are that there is a scheme being offered and you should be very careful.
          Best Forum Adviser & Forum Personality of the Year 2018.

          (No, me neither).

          Comment


            #6
            my loan agreement...please confirm if yours is kind of similar...

            Originally posted by webberg View Post
            We have seen hundreds of loan agreements. Some are better than others.

            We are not lawyers but some of the above we have shown to law firms and discussed the chance of the lender being able to collect on them.#

            Safe to say that the story here is as varied as the agreements. It would be reckless to say that none of them are good enough to collect money or that all of them are perfect.

            The question of whether enforcement can be made will come down to individual documents and the circumstances around the time the agreement was signed and any supporting evidence.

            If you want a view that carries more weight than a post here, take your loan agreement to a lawyer.

            Very important thread to get info on where we stand when it comes to loan agreements and enforcement by trustees/promoters as its one of my concerns we all have in back of our mind apart from settling with HMRC.

            Below are some of the main points from my loan agreement. Can I get some views from people who have signed similar loand agreements or webberg on what my are our option. I would be taking legal advice for sure at some point..



            - I signed the loan agreement through eSign.
            - As per agreement its 10 year loan with interest added to loan amount
            - To show the commercial nature of the agreement, they added few clauses which we normally find in typical loan agreements:
            • -After 10 years, the lender will charge 4% interest plus LIBOR
            • - Loan is Unsecured
            • - first repayment in ten years...
            • - borrower means their successor, assignee..etc


            Together with loan agreement, I was also asked to provide certified Passport ID and Address proof for compliance purpose.

            I would be taking some legal advice if necessary however it would be good to see what are the similarities in our agreements...

            Comment


              #7
              Originally posted by webberg View Post
              We have seen hundreds of loan agreements. Some are better than others.

              We are not lawyers but some of the above we have shown to law firms and discussed the chance of the lender being able to collect on them.#

              Safe to say that the story here is as varied as the agreements. It would be reckless to say that none of them are good enough to collect money or that all of them are perfect.

              The question of whether enforcement can be made will come down to individual documents and the circumstances around the time the agreement was signed and any supporting evidence.

              If you want a view that carries more weight than a post here, take your loan agreement to a lawyer.
              Any recommendation of good lawyers who are knowledgeable in advising specific to the trust loan agreements for Contractor loan schemes...??

              Would be quite useful to many of us.

              Comment


                #8
                I did some research on my trustee (yes, I had time to kill). I found something interesting. The trustee is listed twice on Companies House - same name, same DOB, same address. Yet there are 2 records. Why would this be?

                The trustee is now the Director of 2 trusts. One which is associated with my loan, and another setup more recently, with a very, very similar name, but clearly a different company.

                I'm probably clutching at straws, but I'd like to understand what might be going on here. And if this information can be used in any way to try to get the ridiculous fees they are asking for waived or reduced.

                Comment


                  #9
                  Originally posted by RickG View Post
                  I did some research on my trustee (yes, I had time to kill). I found something interesting. The trustee is listed twice on Companies House - same name, same DOB, same address. Yet there are 2 records. Why would this be?
                  It's most likely something simple like she has changed address when setting up a new company, then only updated the correspondence address for the old one at a later date.
                  …Maybe we ain’t that young anymore

                  Comment


                    #10
                    Originally posted by RickG View Post
                    If the trustee's are asking for thousands of pounds to settle/waive/close the loan, is there any recourse? What's to stop them charging tens of thousands?
                    Can I ask why you feel the need to settle/waive/close the loan ? It is not a requirement of HMRC that you have the loan settled, as others have said it is simply an attempt by the scheme arrangers to extract more money, if they really thought that the loan could be recalled, would they be settling for 5% of the loan value ? I would suggest better to keep your money and if they do ever try and recall the loan in he future use it for the lawyers fees.

                    Comment

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