Will Other People Know I'm Using A Trust Deed?
Updated: 21st September 2016
Many people are concerned to keep the details of their financial problems private. Our own debt advisers are often advised by enquirers that they would prefer their spouse, family, friends or employer remain unaware of any debt solution they might enter.
We’re generally able to reassure people that it’s pretty unlikely that such details will become apparent to others. However, it is important to understand that public records are kept about formal debt solutions, so the information is available to anyone that consciously went looking for it.
Whether anyone actually would have a reason to go looking for this information is a different question. In this article we cover some of the common questions that arise in connection to this subject.
Will your trust deed or bankruptcy be advertised in the newspapers?
Trust deeds are not recorded in newspapers. A public register is maintained by the Accountant in Bankruptcy. This information is available online, but to discover it someone would need to know about the register and choose to go searching within it.
Bankruptcy is not generally “advertised” in the newspapers or otherwise. Each year a small minority of people that become bankrupt are subject to censure regarding dishonest or reckless behaviour prior to their bankruptcy. The AIB may seek to publicise the names of people that this applies to, but for the vast majority of people that are becoming bankrupt this is not an issue to worry about. Details about bankruptcies are also kept on the AIB’s online register.
Will your employer find out?
There is generally no reason at all to tell an employer about a bankruptcy, trust deed, or debt arrangement scheme. In rare and exceptional cases of non-compliance with the terms of a debt arrangement, an employer might be approached for payroll deductions of due contributions. For almost everyone that works within the rules, there is nothing at all to worry about.
You may however find that you have a contractual or regulatory responsibility to notify your employer if you plan to go ahead with one of these debt solutions. For most people no such requirement exists, but those that work in the professions, or in financial services, should be especially careful to confirm their responsibilities in these respects. The same applies for some disciplined professions, like prison officers, police officers, or members of the armed forces for example.
Employees who are subject to certain types of vetting might find that their employer becomes aware of a debt solution. This information is accessible in your credit report if your employer has the right to access it.
Will your husband, wife, partner, or your family find out?
We always advise people to be open and honest with their spouse or partner and their other family members. Being in debt can be really tough; the more support that you have around you the better. Ultimately, who you tell is a matter that only you can decide.
There is an exception. In terms of a protected trust deed or bankruptcy for homeowners, your spouse (or any other joint owner) may have to be informed about the arrangement. This is because your assets may need to be taken into account. This can sometimes have implications for the joint owner if there is equity in the property.
Do you have any further questions?
You may wish to visit our trust deed forum. The shared experiences of members, and the collective knowledge of our website’s expert panel, should mean that you can obtain the information and advice that you need.
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