Protected trust deeds: improving the process consultation

6. Acceptance of Trust Deed Protection Requests

6.1 Creditors will continue to comply with the regulatory standards and codes of practice to which they are subject in all dealings with the debtor who has requested protection of a trust deed under this Guidance. Furthermore, creditors will co-operate with the trustee in relation to the efficient operation of this Guidance.

6.2 Creditors must take reasonable measures including searching the Register of Insolvencies to avoid offering further credit to debtors known to have a PTD in place, unless this is in justifiable circumstances ( e.g. for re-mortgage purposes).

6.3 Where a creditor, or their agent on their behalf, votes against the protection of a trust deed their reason for doing so must be disclosed to the trustee at the earliest possible opportunity. Where the trustee requires more detailed information regarding the decision of the creditor, or their agent, to vote against the protection of a trust deed the creditor will comply with this request.

6.4 By voting in favour of the protection of a trust deed, creditors accept that the trustee has discretion as referred to in section 10 (below) and must not challenge the use of that discretion.