PPI offer after IVA

ciderwithrosie_2

We successfully concluded our IVA in July 2013 and received our completion certificate and report soon after. Not once during the IVA was reclaiming PPI mentioned to us and we did not think we would be eligible anyway hence why we had not looked further into claiming before, during or since.


However, a few months ago we had a letter from our bank with some forms asking us if we wanted to make a claim. They even listed the loans and dates it could apply to, so I filled it in and sent it back, more out of interest than anything and it was freepost so not costing me anything to do. We haven't had a bank account with them since 2007.


Anyway, they have now concluded their investigation and offered us a substantial amount (well to us it is and would make a world of difference to our family) with the codicil that if we are or have been in an IVA then the amount will be offset.


Now, I know how some people feel on here about claiming PPI after an IVA because we didn't pay back the full amount of the loan and expect to be lambasted ...but in the final report it states that as we fulfilled all the terms of IVA the creditors are reminded not to pursue us for further money and to write off any remaining debt. We were with a private firm who were absolutely brilliant.


Given this wording, the length of time that has elapsed and that they contacted us unbidden - could anyone comment on what they think our chances of a good outcome might be? Should I send a copy of the report and certificate with a covering letter?

longtermplanner

could anyone comment on what they think our chances of a good outcome might be?

Not good. Setting off a PPI refund is not the same as pursuing you for a debt.

DorisTrousers

Speak to your I.P, I have seen cases where I.P's haven't been that interested in PPI refund and have allowed it to be kept. This may be a little more likely with a smaller I.P. firm. Others allow for a "goodwill payment" as reward for co-operation with the process, although creditors as a rule do not like this as it reduces any money due back to them. What is the worst that can happen?

ciderwithrosie_2

Thank you for the replies, any information is much appreciated.
I have contacted my IP but have not had any reply as yet. Would it make a difference if the debt had been sold on before we even entered the IVA? It was sold to a firm called Unidebt in 2007 as I was managing my own DMP for a year before going into the IVA

UpToMyNeckInIt

It is my understanding that you can apply for and keep any ppi once you have your cert of completion. One of many articles I've come across is here:

http://beatmydebt.com/news-articles/can-i-claim-for-ppi-mis-selling-after-my-iva-has-finished

...if your previous iva firm are rolling straight dice, they should tell you the same.

Once your iva is complete it is finished, and you cannot be held liable for paying over subsequent windfalls. (Unless you have been issued completion, but with ppi investigation pending).

Had you not had your completion cert, then sure, you are still obliged to disclose any unrealised assets or windfalls, including 'old' PPI pre-dating your iva.

DorisTrousers

It really does depend on the I.P. in question, I wouldn't rely on that article personally. It is 2 years old, a lifetime in the ongoing saga of PPI and IVA's, and seems, to me anyway, little more than an invitation to engage that particular firms services. For a fee, natch.

At least two I.P's I know would give serious thought to bankrupting an individual in these circumstances and seeking the appointment as Trustee, which they would almost certainly get.

There is no doubt that the asset existed at the time of the IVA, given what the OP has said, so clarification from the I.P. involved is a must. If he or she is happy for the OP to keep it, happy days. If not, then my own opinion is that it is captured. Lottery wins, inheritances etc, after completion are NOT captured, as they didn't exist at the time of closure, so keep those by all means, but this is slightly different.

[Deleted User]

DorisTrousers wrote: »

little more than an invitation to engage that particular firms services. For a fee, natch.

I agree it's simply an attempt to drum up custom for a claim management company.

ciderwithrosie_2

Thanks for further thoughts. Nothing new to report as still waiting for my IP to respond, have sent a similar email today to the firm's 'advice@..' address as they may not even work there anymore (as we've had no need to keep in touch until now). If no response by the end of the week I will have to ring them.

ciderwithrosie_2

Had an email back from our IP - basically they said that as it's causing a lot of enquiries of late, they have received guidance from their regulators on what to advise clients i.e. yes they can off set it but not any more than the amount they wrote off (OH and I are of the opinion that what's been offered is 'conveniently' a similar sum!


The IP said that if the debt had been sold on as I thought, then there would be no case to answer and the full amount would be due. However, when I looked into this further I found that the scare tactic of the big banks at the time was to send you letters from a debt collection agency and/or solicitors but linked to them, so it just looked like they'd sold it on to some firm less reasonable than them in the hope that you'd pay up. Whilst not strictly illegal, there was heavy criticism for bad practice and they've all ceased doing it now.


Our IP is keen to act fairly so would probably be looking to distribute the funds between all our creditors and has asked that I keep him informed of future correspondence with RBS.


It's a shame that we won't see any of it as it would have made life a little easier but hey, not as bad as actually having the money there in a cheque already and not being able to cash it!