Thanks for the reply - seems ironic that if he had been able to continue making payments to his credit cards the insurance on them would have covered the debt! Still we will have to deal with the problem when it arises. Thanks again for the advice.

My brother in law signed a trust deed in April 2010. He has just been diagnosed with terminal cancer (unknown at the time) and the prognosis is not good. He is retired (only57yrs old) and his only asset is his occ pension (he lives with us). Does anyone know what will happen to his debts if he dies during the trust deed term? Will his pension death benefits be seized?