PPI claim and close to finishing IVA with PayPlan

vickyppi

Hi
I have two months left to pay off of my IVA of which I have been paying for nearly 5 years.
I have been hounded by their agent for PPI claiming - Equity in Finance saying that I can claim on two of my previous debts. Obviously they are trying to get me to apply via them before I finish my IVA as I understand they get 40% and the rest goes to the IVA.
My question is - has anyone heard of PayPlan closing off an IVA upon making all payments required, and receiving the COMPLETION certificate to say you are officially complete on your IVA, knowing that I have two potential PPI claims?
These IVA companies like PayPlan see any kind of pay off like a PPI refund as a 'windfall', and evidently they would by terms of agreement have to be given that money to pay off IVA.
Will PayPlan grant me the IVA completiong certificate if I do not make the two PPI refund claims, or do I HAVE to make the claims. I was really hoping to get the certificate of completion gifrst then go ahead and make the claim at a personal level with no agency - is that possible? Has anyone done it? I'd be so very grateful for any advice or similar experiences.
Many thanks


Vicky

Nasqueron

There is a chance (not sure how big with an IVA but someone else should know) that any PPI claim will go on debts written off as part of your IVA - as such, even if you win, you may get nothing and then on top of that, have to pay 40% to the PPI company which will come out of your pocket.

If you have a legitimate complaint do it yourself

DANTUR77

Hi ya,

I am in a similar situation to Vickyppi; my IVA was with Payplan and was completed on the 23rd October 2013 after 5 years; however in the last month of my IVA i was sent the Equity In Finance PPI Claim paperwork to send off. I carried this out as I was under the impression that should I claim once I was no longer in the IVA by myself, that the Banks involved could hold back my PPI payment even though my IVA had finished, but I had at least some chance if EIF acted on my behalf.

Since October 2013, I have received many forms which I filled out and send back to EIF and all our claims were rejected by the Banks; that is accept for one Bank (Lloyds) whereby out of the 5 account I have/had PPI Claims; 4 of the accounts were accepted to being miss-sold and 1 denied.

The total PPI payment due is just short of £9,800; which I know EIF will have 40% as part of there agreement.

When I contacted EIF to say I had received a letter from Lloyds stating the amounts per account; they said there letter was yet to arrive and said that they would send me a letter in due course and also advised me to notify Payplan who were my IVA Supervisor, which I have now done by email - with no response to date.

Whilst in this call to EIF, I told them that Lloyds intended to pay the amount into my Lloyds basic account around the next 28days or so unless they were contacted by EIF; EIF would then take there 40% and send the remaining 60% to Payplan. I was then told by EIF that as per my agreement with Payplan I would only receive 8% of the interest on this payment per account, which I was not aware of and in my recent email to Payplan have asked them how much I would be receiving out of this total payment as my IVA has now been over for nearly 12 months.

Yesterday, I received a letter from EIF with a copy of the same documents/settlement i had from Lloyds and asking me to forward any cheque sent to me to there office in the pre-paid envelope provided.

The thing I am not sure of; is that I have paid back all my debt via the IVA and have a completion certificate to say I have no more debt and appreciate that EIF notified me of the 40% they would incur if a claim was successful. But can Payplan still only pay me an minimal amount back, especially that based on some of the 4 accounts I have been paid out on, were opened for loans/overdrafts years prior to me taking out my IVA??

Hope someone, somewhere can give me some information of where this may be going?

Cheers All

Dan

[Deleted User]

DANTUR77 wrote: »

I was then told by EIF that as per my agreement with Payplan I would only receive 8% of the interest on this payment per account, which I was not aware of and in my recent email to Payplan have asked them how

The thing I am not sure of; is that I have paid back all my debt via the IVA and have a completion certificate to say I have no more debt

IVAs involve monies (mainly interest) written off as part of the plan. It means you haven't paid back "all your debt" via the IVA at all. Once you understand and accept this, you'll realise why all "your" redress won't be coming direct to you.

An IVA is meant to draw a line under your former debt, but you can't have it both ways and also claim PPI redress on debt you never (fully) paid in the first place.

magpiecottage

If the firm running your IVA payment has recommended you use a claims management company to complain about PPI rather than doing it yourself, then they have caused you to incur unnecessary expense.

They know, or should know, that you could have made the complaint yourself free of charge, if necessary using the Financial Ombudsman Service.

If that has happened to you then you ought to complain to the IVA provider who has to follow exactly the same process as the PPI seller, including permitting you to go the the Financial Ombudsman Service.

Your complaint is that they referred you to a CMC rather than telling you that you could complain about the PPI yourself for nothing and that, if you had, FOS itself would have ensured exactly the same outcome without the CMC fee.

Insider101

vickyppi wrote: »

Hi
I have two months left to pay off of my IVA of which I have been paying for nearly 5 years.
I have been hounded by their agent for PPI claiming - Equity in Finance saying that I can claim on two of my previous debts. Obviously they are trying to get me to apply via them before I finish my IVA as I understand they get 40% and the rest goes to the IVA.
My question is - has anyone heard of PayPlan closing off an IVA upon making all payments required, and receiving the COMPLETION certificate to say you are officially complete on your IVA, knowing that I have two potential PPI claims?
These IVA companies like PayPlan see any kind of pay off like a PPI refund as a 'windfall', and evidently they would by terms of agreement have to be given that money to pay off IVA.
Will PayPlan grant me the IVA completiong certificate if I do not make the two PPI refund claims, or do I HAVE to make the claims. I was really hoping to get the certificate of completion gifrst then go ahead and make the claim at a personal level with no agency - is that possible? Has anyone done it? I'd be so very grateful for any advice or similar experiences.
Many thanks


Vicky

They should not be trying to bully you into doing anything.

They are not trying to make you "apply" for something or make a "refund claim". They are trying to force you into making a complaint against somebody, I.e accuse them of wrongdoing. Which is fine if something has actually been done wrong. But all they have found out so far is that you actually have PPI with a couple of companies. Which does not mean it was missold to you, but they will make it out that this somehow automatically entitles you to a refund.

If you were missold a product (which they should be asking you about to try to find out before forcing you to put in a complaint) then as Magpie Cottage has said, they should really be putting the complaint in for you themselves (as you are in an IVA, you don't have the legal capacity to do it, whereas they do have the right). As opposed to than paying a company like EIF (who are absolute cowboys).

Unfortunately, the only people who will lose out by this are your other creditors. The IP can and will keep your IVA open pending resolution of any PPI matters. Which means that whilst you are discharged from your payment obligations you will not get a completion certificate until any PPI complaint is resolved. Any redress will go to the IVA minus the CMC's cut. If the IVA is still live then most banks will apply the right of set off first with only the excess going to the IVA.

Regardless, you won't get anything I am afraid.

nancmat

My husband has just put in his ppi applications. He finished paying his IVA last July & got the completion certificate a month ago. There were no clauses in his IVA about claiming for PPI or windfalls once completed & the company he did it through never asked him to claim. So we've sent the forms in had one reply saying they are investigation & for the rest we will see.

DANTUR77

Insider101 wrote: »

They should not be trying to bully you into doing anything.

They are not trying to make you "apply" for something or make a "refund claim". They are trying to force you into making a complaint against somebody, I.e accuse them of wrongdoing. Which is fine if something has actually been done wrong. But all they have found out so far is that you actually have PPI with a couple of companies. Which does not mean it was missold to you, but they will make it out that this somehow automatically entitles you to a refund.

If you were missold a product (which they should be asking you about to try to find out before forcing you to put in a complaint) then as Magpie Cottage has said, they should really be putting the complaint in for you themselves (as you are in an IVA, you don't have the legal capacity to do it, whereas they do have the right). As opposed to than paying a company like EIF (who are absolute cowboys).

Unfortunately, the only people who will lose out by this are your other creditors. The IP can and will keep your IVA open pending resolution of any PPI matters. Which means that whilst you are discharged from your payment obligations you will not get a completion certificate until any PPI complaint is resolved. Any redress will go to the IVA minus the CMC's cut. If the IVA is still live then most banks will apply the right of set off first with only the excess going to the IVA.

Regardless, you won't get anything I am afraid.

I was in the same vote as VickyPPI; however I completed my 5years IVA payments and had my completion certificate on 23rd October 2013, but feel I was pushed by Payplan to use EIF to retrieve my PPI claims, even though some of the claims leading back years prior to my IVA starting. I received a statement from my old bank account today showing a nicely sum of just under £9,800 and another letter to go into my local bank to update my details to gain access to this money. Obviously I am to forward it on to EIF, then the rest minus 8% of the interest from the claim will go to Payplan. I am now at the opinion, that I started with nothing and if I get something out of this its a bonus, but still thinking of pursuing the matter of bullying the same a VickPPI has had through the FOS as I feel i was pushed into using EIF when, as Maggpie Cottage has said my have caused me unnecessary expense. I would potentially still carry this out, regardless if I were to monetarily gain or not - its the principle; payplan is potentially acting out in the exact same way the banks operated for year for us all to proceed with a PPI Claim if we felt we were mis-sold and now it a shame you can not trust your own/former IVA practitioner to give you all the options to you.

Well hope it works out better for others out there!

magpiecottage

I'll be interested to learn how anybody making such a complaint gets on.