IVA Full and Final agreed and paid but now I have a PPI refund

Cash_Waster

or just dont do the PPI claim so quick. Wait for 12-15 months and then crack on with it and everything will be completed and nobody will ave a claim a it

Cole0909

So similar to you!
Four years ago I took out an IVA with Pay Plan. I completed payments of my IVA in April 2012. I have had a letter from Pay Plan confirming this but they have advised me I won't received the certificate until October 2012 due to VAT reasons but that the letter confirms I have completed it. I had no missed payments or any problems during the course of my IVA.

Since paying the IVA Pay Plan's partner Equity in Finance offered to help me claim back any PPI of which there was on 3 out of my 4 debts. I have received letters stating that in total the money offered on all the debts is the best part of £10,000. Equity in Finance and Pay Plan are not telling me that I will not see the money now as it will get redistributed between my debtors even though i have completed paying the IVA? surely this is unfair? I understand if I have a windfall during the IVA I must declare it but not after the debt is paid surely? To clarify the PPI claim is from the debtors who were part of the IVA not separate debts. I am really hoping you can help me as Equity in Finance want me to sign document saying all payment will be made payable to Pay Plan (who I am assuming will pay Equity their 40% for claiming the money).

Also, once of the debtors wrote to me stating I had not carried out PPI with them but I have proof of a credit card statement from them clearly showing a monthly £25 payment of card protection insurance, so looks like Equity are not doing their job properly either as they just accepted Tesco's response - ironic when Equity will get 40% of the share.

I would really appreciate feedback on this, anyone had a similar situation and what happened? THANKS IN ADVANCE!!:beer:

Cole0909

this says you don't owe them anything once the IVA is paid as the debt has been written off!!!

thoughts....?

Claiming for PPI after your IVA is completed
If your IVA has finished, this means that any outstanding debt you owed to the banks has been written off. However this does not change the fact that you may have originally been mis-sold PPI.
As such, even after your IVA has been completed, you can still make a PPI claim
In the same way as if you had paid off your debt in full and it no longer existed, the mis-selling of PPI is a separate issue to whether or not you have paid your debt back in full. Your claim must still be considered and compensation paid if appropriate.
Clearly the advantage to you personally of making your PPI claim after your IVA has finished is that any payouts which you receive are yours to keep.
You must just make sure that you have already received a certificate of completion from your IP confirming that your IVA has finished. It is not enough to have simply finished paying your monthly payments. If your IVA has not officially been completed and signed off by your IP, any windfalls received must still be paid in to it.
Can I delay my PPI claim until after my IVA?
Because you can keep any compensation money paid to you after your IVA has finished it would normally be sensible to delay any PPI claim until then.
Given the size and extent of the PPI scandal, it seems unlikely that there will be any time limit set within which claims must be presented to the banks. Or at least any such deadline is unlikely to be set for a good while to come. As such, there seems little risk that by waiting until after your IVA has finished you will miss the opportunity to make a PPI claim.
However you might be prevented from delaying your claim if your Insolvency Practitioner asks you make the claim before your IVA is completed. If this happens, then you cannot refuse the request of your IP.
You are obliged to cooperate with any reasonable requests your IP makes to ensure you maximise the payments you make to your creditors while your IVA is running. Any refusal to do this could ultimately result in the failure of your IVA.
It is important to be aware that more and more insolvency practitioners are asking people in IVAs to make PPI claims as this money can then be used to increase the return to all the creditors involved in the IVA.
However if this does not happen and you receive your certificate of completion from your IP then you can be confident that if you make a claim, any payment you receive will be yours.
Will my creditors refuse to pay me PPI compensation once IVA completed?
It is possible that if you have been in an Individual Voluntary Arrangement and then make a PPI claim, your creditors will try to argue that they should not have to pay you any compensation you are awarded.
Instead, they may try to say that the money should be used by them to off-set the outstanding debt that they are still owed.
If you were a discharged bankrupt, then the creditor’s argument would be correct as debts in bankruptcy are never actually written off.
However where an IVA is concerned, your creditors agree to write off any debt which is not paid through the arrangement. As such, after it is completed they cannot then hold back PPI claim money that they subsequently owe you as in reality there is no longer any debt to off-set against.
Claiming PPI after IVA completed likely to become less widespread.
The bottom line is that if you have already completed your IVA you are still allowed to claim for any PPI you have previously been mis-sold.
In reality the use of this option is likely to become less and less widespread as more and more IPs require a PPI claim to be made before the IVA finishes.
However if your IP does not insist that you make a claim, delaying until after your IVA has finished will almost certainly benefit you personally as any money paid you will be allowed to keep.

debtinfo

and what official government body does that quote come from?

kepar

you beat me to it.

JCS1

It appears to come from here:

http://www.beatmydebt.com/index.htm

Have had a quick glance at the BR section, which has quite a few errors for example "If your car is worth more than £1500, you may be able to keep it if a friend or family member can raise a sum similar to the difference between the value of the car and £1500. This can then be given to the court in lieu of the equity within the car."

Not the most reliable pr accurate of sources.

madmanc1973

Hi all we need your help,this morning my wife received a letter from Lloyds tsb with an offer of repayment on her PPI claim,as you can imagine we were overjoyed as we got married last week.However as we turned the page we read "Our records indicate your affairs are being managed by an insolvency practitioner,and we will liaise with them and apply the payment as directed by them"My wife was in an IVA some time ago with her ex-partner (joint claim) but this ended as they were no longer together,and we have the paperwork from the iva company states "A variation was approved to allow realisations as full and final settlement,therefore the debtors have fully complied with their obligation", so will lloyds send the cheque to my wife,or are we going to miss out?
Bear in mind my wife was in an IVA with her ex so can lloyds put this towards his old debts also?I spoke to the fos who seem to think the payment will be sent to my wife but Im not so sure,any advice would be so appreciated as we are totally lost as to what will happen,thanks guys.

tigerfeet2006

As far as I am aware it will go to Lloyds towards the debts.

Post over on the IVA&DRO board as they should be able to help you better
http://forums.moneysavingexpert.com/forumdisplay.php?f=159

madmanc1973

Hi Even though the debt wasnt with lloyds?the IVA started well after the loans that PPI has been claimed on finished,and were paid in full.

Sarah1359

I have paid off an iva in january (6 months ago) and I am having trouble getting my "certificate of completion" as they are still waiting to hear back from a PPI company that approached me near the end of my iva.
I think this is disgusting as I'm not going to see a penny of the PPI... It apparently all comes of the dividend which considering I made a final offer which was accepted and paid off... I'm confused...
I am chasing the PPI company twice a week and they are just waiting to hear back from one of my creditors.
My debt management company who the iva was with has said that even though my debt was paid off in January, the certificate will have the date on it of the day they send it out. I find this frustrating considering its been over 6 months now. I'm hoping to apply for a joint mortgage early next year and can't afford to wait another year from now just because of the PPI claim.