IVA/PPI after completion

Mentalhealth#

I had a breakdown, which left me jobless and I contacted Payplan and they told me that I'd pay over the 6 years and the rest would be wiped off. I have to say I wasn't really sure of anything, but everytime we spoke Id end up crying. I received my completion certificate December 2016. I thought that was it. It was only when Harrington's agency who pestered me to let them find PPI. They too have hounded me. Barclaycard wrote to me and said that I was owed £698.00 I was happy because I can start saving again. Two days later Payplan told me that cheque was theirs! How can that be when I have completed? I thought that IVA's were to go for 6 years and then the rest cleared off? Part of my completion form it says that any creditors have been told that it has been completed and I should not speak to them. After that it says Payplan have the right to take any PPI due to the person (me) for the rest of the years. How the hell can that be? Nobody explained that to me. They told me once paid, that was it. I think it's unfair that they take more money now. I did read that the Manchester high courts have ruled in favour of a debtor. I'd like to argue with them but I can't cope. HELP? I don't think the money is going to the creditors but back into payplans.

greenbrucelee

I am with payplan. You should have received a letter from them after completing your IVA asking you to sign it stating that any PPI payments after completion go to your IVA and not you. At the moment there is a court case going on in which an IVA company kept a clients IVA after completion and he is fighting to get it back. All IVA companies now send you a letter as I stated above so it absolves them.

The money will go to creditors and obviously some to payplan for their fee.

greenbrucelee

ps yes you have made all your payments but your still bound by IVA terms and any money like that is counted as a windfall and therefore liable to go into your IVA.

StopIt

It's part of the IVA.


Remember an IVA means you only pay a percentage of what you owe. Any further windfalls from PPI claims can indeed be paid towards the debt. Payplan will see a percentage, but it will go to the creditors.


Conversely, it also provides protection against creditors, and if any action is taken by DCAs on IVA covered debts, PayPlan will sort this for you also.


Put it this way. If you hadn't taken the IVA, taken this PPI payment instead, would you have been better off? if no, then on balance the IVA has worked out, it just wiped out a PPI windfall that would have just been offset against your debt anyway.

Lincsdebt

Am I right in thinking that, if there is any interest as part of the payment, that will be sent to Mentalhealth? That's how it worked when I was in an IVA and got PPI repaid.

sourcrates

A case went to court about this, and the courts ruled in the clients favor, but was then overturned on appeal.

You need to check your IVA paperwork very carefully.

More information here :

https://debtcamel.co.uk/ppi-iva-green-wright/

Mentalhealth#

Trouble for me is I don't understand it all. My mental health is the reason why i'm like this. Thank you though.

sourcrates

Mentalhealth# wrote: »

Trouble for me is I don't understand it all. My mental health is the reason why i'm like this. Thank you though.

Then ring one of the free debt advice agencies, I have always found National Debtline (link below) to be the best at explaining things.

Run your concerns by them.

They will be able to break it down for you in plain English.

National_Debtline

Hi there


Do please get in touch as sourcrates suggests if you want things explained more plainly.


These PPI refunds won't normally be yours to keep I'm afraid. It's unfortunate that this seems not to have been made clearer to you by any of the organisations involved.


Dennis
@natdebtline