Insurance payout in IVA

Hi all,
Im in the 2nd year of a IVA and Ive just recived a insurance payout that Ive been paying into for years. Will my IVA find out if I dont declare it?:think: I know its not the right thing to do.
Also Ive just recived a cheque from firstplus for my 5 year PPI a nice amount will they know about that?
And im in the process of complaing for miss sold PPI for the lenth of payments as they said it would go down after 5 years and I would have to find my own, anyone else had any joy winning it.
Any help would be great thanks:beer:


  • kns_2
    kns_2 Posts: 115 Forumite
    If it's paid into your normal account then yes they will find out.
    If you have a seperate bank account they don't know about then no they wont find out.

    If you chose not to tell them be prepared for the s*** hitting the fan as you have entered a legally binding contract and could get done for Fraud.

    At the end of the day it's up to you but I would tell them.

    Maybe you could come up with a reason to make a full and final offer.
  • daznlaine
    Thanks for the advice.
    Still not sure what to do.
  • fcwalker
    fcwalker Posts: 21 Forumite
    Is the PPI for a loan or card which is included in the IVA? If so they will find out. That happened to me
  • daznlaine
    The PPI is for firstplus which is in the info for the IVA but not encluded as its a secured loan
  • daznlaine
    Did you have to give it all to them? And how long was it till they found out?
  • fcwalker
    fcwalker Posts: 21 Forumite
    I wouldnt chance it then. KPMG knew about all my PPI refunds and managed to get copies of letters from companies and are chasing me for payout from 2 of them.
  • panicking
    yeah, when we completed our ppi the money didn't even come directly to us, except one, and they had written to us within 2 weeks asking for the money. As for the insurance money, i don't know.
  • CMcW
    CMcW Posts: 29 Forumite
    Do you really want to take the risk of them finding out?

    During my bankruptcy, I was advised in the strongest possible terms by everyone involved to declare absolutely everything, and I'm glad I did. It may seem harsh and it is awful to think about giving up that cash when you're really strapped - but the penalties for not doing it and being caught out are far worse.

    This is a really difficult time but if you want to make it as painless as possible, just bite the bullet and declare the lot. Then you know they won't come chasing you later for the full amount plus penalties.
  • daznlaine
    Well good news we won the miss-sell for the ppi and have had my loan alted so my payments have gone down. Still not been contacted about the PPI from firstplus its still sat in my bank been nearly 2 months now.
  • MrsGregs
    Hi there,

    Its a difficult decision to make. I'm in a similar situation as I'm losing my job soon and will receive a settlement payout from them. I have decided not to tell my IVA. Part of my reason is the fact that I'm pregnant and my baby is due in January (I'll receive the money in December) so I need to pay for all my baby stuff then, plus have something to live on whilst I'm unable to work because of the baby. Another reason is that my IVA company have never requested bank statements from me, only an income and expenditure once per year with a P60 (which will not include my settlement figure) so I'm willing to risk it in this instance.

    I do have a PPI claim in, and recently received a letter from my IVA company saying they've been advised by one of my creditors that I should make a claim. If I receive a payout I will declare this, and try to negotiate a settlement of the IVA as I've nearly completed 5 years, and only have an additional year to pay because I reduced my payments.

    In short, if you feel there's a likilhood they will find out about the money then declare it. If not, then its up to you whether to take the risk, but I hope that my situation has helped you to gain some perspective.

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