Iva finished PPI claim accepted now RBS won't pay in full !

dunstonh

From professional advice I have taken today there is a grey area what RBS are doing and not as straight forward as some on here are saying ! We are not being greedy either unlike the banks were miss selling the ppi ! I think some on here should not judge until they know why some people get it debt as it may of been out there hands not just spending stupidly !

it is a grey position and one that has been covered as such on this board a number of times. There are no rules to say either side is right. The Government cleared up bankruptcy cases (by saying it doesnt belong to the individual but goes to the creditors as an asset of the estate). It hasnt cleared up IVAs.

Lenders are allowed to set off the redress against debts in arrears, defaulted or where there has been a write off. However, only that debt the PPI is linked to. With an IVA, there is frequently a write off involved. So, the lender keeping the money is doing so in the belief that the existing rules allowed them to do that are correct. However, some will send the money to the administrator of the IVA to reduce the debt there. If out of IVA, some will pay out even if they still had a debt written off. Some lenders don't retain good enough records to know if the person has been in or out of an IVA or that a debt was written off and will pay out ignorant of the position.

So, if you came to us before you submitted your complaint saying what a lender would do, you would have been told most will keep the money if the debt you had with them was not repaid. However, some will pay out. In your case, we know that RBS are saying they want to offset it against the debt. As for being told different things, that is not a surprise. If you ask if are you liable for a debt after an IVA then the answer is no. However, if you are asking if a pre IVA asset belongs to you, the IVA or the lender that wrote off the debt then I suspect most bank staff wouldnt know. Nor would the temp agency workers dealing with the basic issues of a complaint. This is why you see most firms have two levels when it comes to complaint handling. One that reviews the complaint and decides uphold/reject and the other that checks to see the amount that should be paid out and how it should be paid out.

[Deleted User]

kernits wrote: »

you would think that the ppi was your money

Well, it clearly isn't ever going to be yours, I'm afraid.

As Dunston points out above, you are pinning your hopes on "confusion" between what you have been told in writing (that the money is to be offset) and what you have been told on the telephone "Wait 28 days and then make another complaint".

I know which testimony I'd be accepting.

This thread has rather run it's course now, no point debating the "rights" or "wrongs" of IVAS or of the people who have to take them out.

jamesd wrote: »

My guess is that RBS will work hard to keep what they can of the money, but maybe you'll be fortunate - at least they seem confused about it as well as confusing you about what they are doing, so there's hope.

No point guessing, (or giving false hope) they have categorically stated in writing that this is what they are doing and the cheque for the interest has already been issued!

kernits

Ty dunstonh very good info

rickyr29

If you have been misold ppi then the lenders should be made accountable for putting extra financial burdens on you, you might have been able to meet your payments if you were having to pay extra money for missold PPI

-taff

The amount of PPI paid for most debts isn't the straw that broke the camels back, it's a molecule on the straw.
And the amount of money you get back now with the 8% interest is much much more than you paid. Or didn't pay.

dunstonh

If you have been misold ppi then the lenders should be made accountable for putting extra financial burdens on you, you might have been able to meet your payments if you were having to pay extra money for missold PPI

The consequences have to be considered. However, it is extremely unlikely that a small monthly PPI premium would be the difference between you paying your debts and failing to pay them.

If they were to take one look at your spending in the previous three years would you be able to show you didnt have a mobile phone, no Paytv, no restaurants (fast food included), no luxuries of any type etc.

kernits

Just to close my thread on RBS only paying interest back on my ppi claim even though my Iva was finished , I asked for some advice on here some very helpful some just judging the fact I applied for ppi after being in a Iva was told im greedy ! Also told RBS will not pay out in full not sure where some people get there info when they give advice in forums ? There is a grey area with ppi and Iva but I spoke at length to RBS who sent me round the houses but spoke to some very helpful peope at RBS as I was sent from department to department I put my case and was told to wait 28 days for out come which I was doing and after reading advice on here I expected nothing but today a cheque arrived for full amount and saying as Iva completed i am entitled to full refund ! All I can say to people asking for advice don't beleive everything your told in forums and always go direct to which every bank you think owes you never be rude but make your point clear and robustly send all info they ask for and keep in contact with them don't get fobbed off ! Hope this helps someone in same boat as I was its a positive result so don't listen to the gloom and doom merchants .

-taff

You were very lucky

[Deleted User]

Your experience is the exception rather than the rule. None of the information posted in this thread prior to your seeming "success" was inaccurate.
Basically, you have had money you never paid refunded to you, a very "grey" area indeed.

kernits

Agreed very grey but i was honest with all information given and asked for from RBS when I enquired about being miss sold ppi and they have made there decision. I do feel some are very bitter towards my "success" and don't understand why ? The banks have made a tidy penny from ppi and bank charges to name but 2 so my little bit of "success" means nothing to them but a hell of a lot for my family. Every one has a right to an opinion on here and rightly so but I find its a fine line between opinion and judging which is a shame .