IVAs - Precedent set at the High Court in Manchester

fermi

http://www.stephensons.co.uk/site/news_and_events/uptodatenews/voluntary_arrangements_precedent_set_at_high_court

Seen posted by debtcamel on twitter.

sourcrates

That's interesting for me, as there is, apparently, an outstanding PPI claim on a debt from my IVA, even though it's ended.
I was anticipating any payout going to my creditors, seems that may not now happen !!!!!

DorisTrousers

I think a "watch this space" approach may be wisest, I have it on very good authority that the decision will be appealed.

If not, then completion certificates may not be forthcoming as readily in the future. That's my own opinion anyway.

DorisTrousers

Just an update to say that this will now be going to appeal, and my own personal opinion is that the appeal has a strong chance of success.

Superwoman03

Can anyone give me the legal stance on PPI and IVA or where to look for the information?
In March 2012 my IVA was completed but the completion certificate did not arrive until mid 2014. I have constantly spoken to the IVA company and they claim they could not complete my IVA until I signed a new agreement allowing them to pursue my mis-sold PPI. They offered a carrot allowing me to keep the statutory interest on such claims minus their 25% fee and the rest would be kept in trust? From their paperwork I understand that if the IVA had been completed on time then I may have been entitled to the whole amount minus their 25%. Totally confused, are IVA companies aloud to hold onto your completion certificate for their own ends? Are there any laws governing their behaviour? All help would be appreciated.

DorisTrousers

In bankruptcy, PPI is a pre existing asset which would always belong to the OR and never be yours. The general viewpoint is that it is the same in an IVA. As the judgement has been appealed then you can assume that unless the appeal fails you are unlikely to benefit from it.

You can't blame IP's for this, they have a legal duty to uphold.

fermi

BBC R4 MoneyBox today at 12 midday

http://www.bbc.co.uk/programmes/b05pbwjt

And if you receive PPI compensation after you have extinguished your debts through an individual voluntary arrangement, can the new money be taken off you? It is a matter currently being decided in the courts.