PPI Claims after bankruptcy

Rich822

i have had two cheques now for 2000 and 1500 and have cashed them in if i have spent it can they claim assets off me or order money to come out my wages till i pay it back still got 9 more to come and a morgage one thanks

debt_doctor

Rich822 wrote: »

i have had two cheques now for 2000 and 1500 and have cashed them in if i have spent it can they claim assets off me or order money to come out my wages till i pay it back still got 9 more to come and a morgage one thanks

The OR could / would first ask you to pay it back, if you didnt pay it back then they would consider action through the courts dependent upon the potential gain ( ie; do you have income and / or assets)
As for claiming any more PPI then I would strongly suggest NOT - and if you claimed after gaining knowledge / being instructed not to claim by the OR then you face the possibility of criminal prosecution.

DD

debtinfo

Technically you have already committed an offence which could be prosecuted but they probably wouldnt for the amounts gained so far, if you continue to claim them though and the OR found out it would very much put you in the prosecution range.

capeverde

All of the money doesnt necessarily go to the OR. In the case where the PPI claim is against a debt that was part of the bankruptcy (for example if you owed 5k on a credit card and the PPI claim against that card was under 5K) the card company is allowed to set that money off against the debt in its entirety. Only money over the 5k in this example would then go to the OR. This is always the case and time doesnt come into it. For example even if you are discharged and your credit file shows the debt as 'settled' the company can still use the money against the debt. I have just been through this myself and this information has just come back from the ombudsmen after a long talk with the OR office and the bank.

debtinfo

yes that is true

marcd1980

hi does anybody know if you make a ppi claim post bankruptcy and the bank offsets it against monies owed to themselves clears the debt with them and the or, could you then affectively reverse the bankruptcy as no monies are outstanding?

debtinfo

in theory yes, would be very unusual for a PPI relclaimto be enough to cover all your debts and costs of the bankruptcy though

marcd1980

Thanks for the reply. Do you know what the OR costs would be in a typical BR? Isnt this covered in the fee they charge initially around £500.

debtinfo

no that is just the deposit towards the fees which are a min of £1715 (could be more now) but could be more depending on the woek that has been done on a case, there is also a contribution towards the secretary of state, which basically goes to finance all the cases that done earn enough to finance themselves.

Also if you have read the first post you will understand that you dont actually have the right to claim the PPI refund, the trustee of the case does.

What are your total debts and how much PPI do you think could be claimed back by the bankruptcy trustee

alastairq

Hi...the costs incurred in a typical personal insolvency can amount to several thousands of pounds.

Bear in mind, that a personal insolvency where there are no assets, no surplus income, and maybe no returns from HMRC {NT]....will yield very little towards the actual costs of administering that Insolvency.

Therefore the IS has to offset these costs against other insolvencies where returns are greater.

There have been threads on here regarding the IS balance sheet....especially in relation to the tightening of rules regarding IPA's, etc.


darn it, DI beat me to it again!¬