What does it mean when a Trust Deed is "Protected"?

"Protected" means that no further action can be taken against you by your creditors to recover the money that you owe them. Your Trust Deed will be "protected" if 66% of your creditors by value, agree to the proposals put forward by the Insolvency Practitioner who is acting as your Trustee.

Then, all the interest and changes on your debts are frozen and at the end of the three year period, all creditors have to accept the balance of your Trust Fund account as full and final settlement.

 

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