Bankruptcy and PPI reclaim

iteI believe some people are being mis-guided on this forum as to if a discharged bankrupt person can reclaim PPI and that no one has actually checked this theory out. Why? I spoke with me OR who told me he does not believe there to be any issue with me reclaiming PPI now that I am discharged and I should consult a solicitor and also the UK bankruptcy centre is claiming you can claim PPI back if you are discharged. So tell me, why are people making false statements on this forum when they have no idea or are talking in theory without it actually being tested?

bankruptcy.org.uk/archives/item/6708-can-i-keep-ppi-money-claimed-back-whilst-in-bankruptcy

I am a discharged bankrupt and I deserve my PPI back because they would not let me claim and charged me PPI when I never even had a job and it forced me into being bankrupt in the first place. Now that I am discharged I owe them nothing, and I want me PPI back. I am first sending letters and then court action or might see if a no win no fee agency will take my case as a friend told me they have taken his and he has a discharged DRO.

Do not post in here trying to flame me when unless you can prove to me with case that my claim will fail.

Comments

  • magpiecottage
    magpiecottage Posts: 9,241 Forumite
    Combo Breaker First Post
    In theory, you could make a complaint. You may or may not "deserve" your premium back.

    However, your creditors also deserve to have the money you agreed to pay them before your bankruptcy and if the complaint is against the lender and they did not get all their money back, then all you would have done is to demonstrate there was a debt they owed to you which could be set off against the debt you owed them. You will get back the difference if the redress exceeds the debt to them but otherwise will receive nothing.
  • dunstonh
    dunstonh Posts: 116,334 Forumite
    Name Dropper First Anniversary First Post Combo Breaker
    I am a discharged bankrupt and I deserve my PPI back

    The creditors are more deserving than you. You have a clean slate. They are stuck with the loss you gave them.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • amersall
    amersall Posts: 17,005 Forumite
    First Post Combo Breaker First Anniversary
    Nice way of having your cake and eating it.
  • marshallka
    marshallka Posts: 14,585 Forumite
    Are you saying that having PPI thrust upon you actually added to your debts and then you got out of control with them? If this is the case I would make the complaint if they were missold and be prepared that they "may" take the money against your creditors? I have no idea how this would work TBH but regardless of the bankruptcy if you missold PPI you do have a right to complain. Its a little debatable who then has the right to the money if you do win the complaint but if you were not working at the time then it should be easily upheld as this was of no use to you!
  • Mrsunseeker
    Mrsunseeker Posts: 142 Forumite
    First Anniversary Combo Breaker
    Some of the comments on these boards must be from the greedy bankers who have caused this mess in the first place.
    When you took out a loan they made you have ppi. When you needed to claim on this ppi you could not but had rightly assumed you would be able to. Has the ppi is not paying out you are having to pay out money which you did not expect to and therefore your outgoings was more then your incommings and had to go bankrupt.
    So therefore the banks did cause it in some cases.
  • as it states by martin Anyone who's been mis-sold can claim but if you owe the provider money, either now or from a debt in the past, it may choose to use the money to pay off your debt. This includes if you have been discharged from bankruptcy, as the mis-selling took place beforehand so your accounts are still managed by the official receiver.

    so you can claim back the money but it may choose to ofset it against your debt
    LBM apr 2008,£94,761 :eek: Mad Ebay challenge #71 £2000/£106.62
    DFD [STRIKE]DECEMBER 2024[/STRIKE] OCTOBER 2013
  • Not even having considered making a ppi reclaim, even though I had been discharged from bankruptcy a few years back and having been told by at least two cold calling ppi reclaim companies I couldn’t, I was surprised by one who said I could.  On their advice I signed and returned the forms they sent not expecting anything to come from it,  Well it has.... Any PPI refund I was entitled to has been offset against the arrears when account was closed.   In short I now have a threatening, heavy handed ppi reclaim company demanding I pay then their commission on the ppi refund that I did not get.  They say I have benefited from it in that my arrears were paid off and my credit rating will have improved because of it.  Utter rubbish, I’m currently on UC (jobseekers) and my credit rating certainly has NOT improved one iota because of this.  Also, the only way I can see me having to pay off arrears in a closed (dismissed bankrupt) account is from this ppi reclaim company trying to get money out of it.    I didn’t see how they could make a claim in the first place.   They are demanding almost £2,000 for making the claim on an amount of which I was paid nothing.   If they were asking for administration fees I might understand but this is madness.  Help please ! 
  • You may be able to resolve this (PPI experts will no doubt comment in due course) but why do you think you shouldn't pay?

    Did you sign an agreement where you agreed to pay x% of any redress?
  • brettcta
    brettcta Posts: 4,693 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    What do you mean by ‘dismissed bankrupt’? Do you mean the account was written off or your bankruptcy was withdrawn?
    helpful tips
    it's spelt d-e-f-i-n-i-t-e-l-y
    there - 'in or at that place'
    their - 'owned by them'
    they're - 'they are'
    it's bought not brought (i just bought my chicken a suit from that new shop for £6.34)
  • dunstonh
    dunstonh Posts: 116,334 Forumite
    Name Dropper First Anniversary First Post Combo Breaker
    Not even having considered making a ppi reclaim, even though I had been discharged from bankruptcy a few years back and having been told by at least two cold calling ppi reclaim companies I couldn’t,
    They were correct.   As you have no entitlement to the money, you would not see the cash "in your hands".  However, the CMC would still be able to bill you against the redress payment that would have gone to the OR.  So, no point doing it whatsoever.

    I was surprised by one who said I could.
    CMCs dont have the best reputation.   Many employed students and bored housewives and set them targets to get people to sign up. Some would use aggressive targetting.
    In short I now have a threatening, heavy handed ppi reclaim company demanding I pay then their commission on the ppi refund that I did not get.  
    And you need to write back ASAP making a formal complaint about being missold their reclaiming service.

    And in future, stop being so naive when it comes to these things.   Missold PPI. Now missold reclaiming PPI.   You seem a soft touch and you need to be more careful.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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