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A good starting point for any questions you have about solving personal debt problems in Scotland
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By Hayden
Hello again mmurph15

Glad to hear that things are going well.

The first thing to say is that if your Mum were to marry, her new husband could not in any way be held responsible for paying her debts. However if as a result of their marrage she moved into his home, then this would constitute a change in her financial circumstances. If this meant that she had less bills to pay and more disposable income, I would have thought that her Trustee could ask her to start making payment contributions on top of the equity they received from the house until the end of her Trust Deed.... If he moves in and start contributing towards the rent, again the same would apply. Her expenses have reduced thus possibly freeing up her income to allow payments to be made into her Trust Deed.

By the way, did you ever hear anything back from HMRC regarding your Mum's zero tax code?
By mmurph15
nothing as yet! We have had correspondance from them in relation to tax credits etc but never anything in relation to the NT Tax Code. The money is still in safe keeping although admittedly burning a hole in my mums pocket!

Thanks again for the advice, i thought as much. Nothing like a good old debt worry to dampen any romance! Better to be safe than sorry,

M Murph
Hayden is quite right M Murph

Your Mum's nuew husband will not become liable for your Mum's debt. However if the change means that more of her income is freed up then she may have to start making monthly payments until her Trust Deed is completed. How you get some guidance in the tax before long. Perhaps it is worth poking HMRC again....
Hello mmurph15.

I'm a little confused.

Presumably your mother was not in a position to make a monthly contribution to her trust deed or she would have been asked to from the start.

If that's the case the trust deed would normally be brought to closure after the equity has been paid over. If there's no expectation of a change of circumstances it doesn't seem to be in anyones interests for it to remain in place.

As the trust deed hasn't ended, if a change of circumstances results in sufficient improvement of your mothers circumstances it's perfectly possible that the Trustee would seek a contribution from her. This might happen, for example, where bills she previously paid herself become split (or should be fairly split) between two people.

Her partner/husband will want to take care to keep his assets in his name until confirmation of the discharge from the trust deed has been received.
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By Hayden
Hi M Murph

The point that Amy made is a good one. If your Mum's Trust Deed was originally based on a lump sum payment alone and no monthly payments, why was it not finalised at the point when the lump sum money was paid? Did the Trustee feel that there might be changes in her income which would lead to her being able to start making payments?