PPI reclaim

3431Anna

My partner has had a letter saying that his claim for mis sold ppi has been upheld and because he has an iva the refund will all be sent to his iva can anyone say if this is correct, i wondered because i understand that if he earns any extra at work only 50% goes to iva and he can keep 50% many thanks for any help

FiatFan_2

This is correct. Any amounts realised through ppi will be directed straight to the IP for distribution to your creditors. Dependant on your IP's opinion, you may see the 8% statutory interest back, but I believe this is few and far between. As the statutory interest is regarded as income, income tax must be paid to HMRC on this amount, either personally or via the IP.

Best having a word with your IP to see which way they swing.