IVA submitting claim?

welshgasman

Hi,

Would anyone know if an IVA practitioner is allowed to make a claim for PPI refund without the signature of the person in the IVA.?

What is the position if the person wants the PPI as it is suitable for them, or just does not want to claim.?

Is it even legal without a signature?, especially as that document being signed is phrased as if the person in the IVA is making the claim.?

[Deleted User]

What you describe is fraudulent.

welshgasman

Thank you for the reply.

I was thinking that way, but was not sure if when you sign an IVA that you give them permission to apply without any more contact with yourself.

Even so I would expect the document to say 'I an the IVA practitioner of Mr Fred Bloggs and am authorised to submit a claim'....that sort of thing, not, 'I am in an IVA' and then have it signed by the IVA practitioner. The name of the signature is his, so it is not as if he is trying to pass himself off as the person in the IVA, but still.:(

Insider101

The situation is as follows:

When a person goes into an IVA, their financial rights pass to the insolvency practitioner. This includes the right to make a complaint regarding any perceived wrongdoing against the customer which incurs financial loss and which occurred prior to their IVA. So in theory, yes the IP can make a complaint without the customer's permission and there is nothing the customer can do about it.

Of course in practice, it should not be that simple. If you are complaining about being missold a product, the complaint basically relates to the information/advice given to the customer at the time of taking out the product. Evidently, the IP was not there, so you can justifiably ask how they are in any position to comment.

The problem is that nowadays many IPs make it a condition of the IVA that they are permitted to deal with any PPI matters and the customer must cooperate. This means answering their questions to try and find some grounds for complaint, however spurious. And if they can't find any they will just send in a standard letter mentioning missale and asking the bank to review the case. Thanks to the FCA and their infinite wisdom, the ban have to review the matter anyway even if the IP has no idea what they are complaining about. Or some will just make it up.

Some of them also try to stop customers answering any question the bank may ask them by telling them that this may constitute sabotaging the claim which would be a breach of their IVA agreement.

Basically, another example of how well meaning legislation designed to protect the customer is being abused!!!

welshgasman

Thanks for the reply as well.

Using a solicitor to send in the letter must put a dent in whatever income they hope to obtain, even if the solicitor is located just around the corner from the IVA. :-)

Insider101

welshgasman wrote: »

Well using a solicitor to send in the letter must put a dent in whatever income they hope to obtain. :-)

Most of them use CMCs who they are in bed with (sometimes part of the same group of companies). This is a very spurious practice as it amounts to them and their mates siphoning off money that could go to the other creditors to reduce the debt. The correct thing to do would be to put the complaint in themselves, as Magpie Cottage has said previously. But that's a whole new can of worms...

welshgasman

Yes, I've just dug a little deeper and found they are part of the same company.

One Advice
Harrington Brooks
Castle Keep Law

http://www.harringtonbrooks.co.uk/legal-helpline

Insider101

welshgasman wrote: »

Thank you for the reply.

I was thinking that way, but was not sure if when you sign an IVA that you give them permission to apply without any more contact with yourself.

Even so I would expect the document to say 'I an the IVA practitioner of Mr Fred Bloggs and am authorised to submit a claim'....that sort of thing, not, 'I am in an IVA' and then have it signed by the IVA practitioner. The name of the signature is his, so it is not as if he is trying to pass himself off as the person in the IVA, but still.:(

I've just read this fully. It obviously isn't ideal, but I think it owe more to incompetent admin staff who can't adapt standard letters very well than deliberate fraud. With banks investigation processes nowadays it will soon come to light that the complainant isn't actually the customer