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whilst all those questions may have merit Depth Charge, none are relevent to the question asked here which is whether a PPI claim is an asset in the IVA which it is.
Hi again
Given what you have put about my post I found your contribution to this thread interesting and see that too date there has been no reply.
http://forums.moneysavingexpert.com/showthread.php?t=3952107
Good post by you actually - in my opinion of course0 -
Foggy,
I can kind of see your point but PPI is an insurance policy not a debt. Even though it is linked to the debt it is not debt. It has only added, if mis sold of course, to your debt.
It is certainly not a case of having you cake and eating it at all, you agree with your creditors what you can afford to pay each month and that gets reviewed each year or whatever.
During the five years or sometimes longer are you not allowed to save and buy anything of any value?
It maybe slightly off topic but I obviously see things differently.0 -
Just a quick one thinking outside the box, would it be possible to claim against the creditors in some cases using the PPI policy if you are unable to make a payment?0
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Billy, as long as what you buy is paid for out of allowances (eben saved up allowances) then I would hope that it can't be touched (if you get a decent run of overtime, for instance, your "share" could amount to a fair sum.
I am afraid the creditors see PPI as part of the debt as in many cases the premium is paid in a lump sum, up front, and added to the loan.0 -
Depth_Charge wrote: »Hi again
Given what you have put about my post I found your contribution to this thread interesting and see that too date there has been no reply.
http://forums.moneysavingexpert.com/showthread.php?t=3952107
Good post by you actually - in my opinion of course
As i say, i dont disagree that there are problems with the way that some IVA's are administered or advertised, as you can see from thbe post you linked, also in that post you can see why the PPI reclaim is an asset in the IVAHi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.0 -
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It is to be remembered that there is no ideal debt solution, and whilst there are questions to be answered about any debt solution, at least you know when you sign up to an IVA that it is legally binding and that creditors cannot move the goal posts, which is a hell of a lot better recommendation than that which comes with DMP's. See http://forums.moneysavingexpert.com/showthread.php?t=4019065 as an example of what can go wrong if you don't have your deal set in stone.
Note that I am not claiming that DMP's are bad per se, merely giving you a counter balance to the view that IVA's are somehow bad.0 -
It is to be remembered that there is no ideal debt solution, and whilst there are questions to be answered about any debt solution, at least you know when you sign up to an IVA that it is legally binding and that creditors cannot move the goal posts, which is a hell of a lot better recommendation than that which comes with DMP's. See http://forums.moneysavingexpert.com/showthread.php?t=4019065 as an example of what can go wrong if you don't have your deal set in stone.
Note that I am not claiming that DMP's are bad per se, merely giving you a counter balance to the view that IVA's are somehow bad.
Hi
Nobody in their right mind would wish any debt remedy to fail.
IVAs can be the right and appropriate solution for people in debt and at the end of the day they have the choice and rightly so.
Just because an IVA is a legally binding agreement with creditors does not mean there will not be problems or queries over the period of the IVA (and indeed at times after conclusion)
I have made a few points and asked a number of questions in another post on this thread relating to the above.0 -
Ok.
"Hi Gimpsdad
Taking into account some of your recent comments
Write 70% or more off your debts by going down the IVA route, make 5 years payments and you will be debt free, thats what some of the adverts say dont they?
Adverts telling people that an IVA will get you free of your debts, which may be true in some cases....but
What happens to the tens of thousands of IVAs that fail, how much is claimed in fees by the IVA providers?, what happens to the people where an IVA fails? do the IVA companies help them or want to know when they cant make any more money out of people?
What happens to to the people in IVAs that fail when there is equity in their homes?
Who is appointed as the trustee in bankruptcy when an IVA fails, how much is paid in fees to the trustee when a assets such as a persons home is realised?
How much do some of the IVA companies take in commission out of PPI claims and why, its not their money is it?
How many IVA companies help people with bankruptcy or any other debt remedy when an IVA fails?
Its simple really, how can advice be independent and impartial if the bottom line is profit?
It makes me wonder, just who's side are some of the IVA companies on?"
In order.
I have seen IVA's write 99p in the £ off. On that basis, I can legitimately claim that IVA's can write off 99p in the £. Not sure of your point here.
Tens of thousands of IVA's fail? A one sided statistic if ever there was one. Perhaps you may want to point forum users to the number that succeed to give a balanced view. You may also want to state that all IVA fees are detailed at the outset, and are subject to approval by both debtor and creditors alike. Hardly a surprise therefore. However, in fairness, the deal, again which both debtor and creditors are made aware of, is that the majority of the fees are collected at the front end, so if it fails than the fees do seem disproportionate. Still worth noting that you know at the outset though. What is your alternative? Trust to luck on a DMP? Most reputable IP's will help as much as they can if it fails.
What happens to people with equity in their home if an IVA fails? As an IVA protects your assets whereas with a BR you lose that control, and with a DMP you leave yourself open to charging orders, big thread on here about that, or even BR. Your argument seems to be don't even bother trying? Anyway, the equity of a home in a failed IVA is exactly the same as it was pre IVA. Creditors may go after it, they may not. Who knows? The point is that they can't in an IVA, which is a huge attraction.
Who is appointed as trustee in bankruptcy if an IVA fails? What makes you think that bankruptcy follows if an IVA fails? It is possible, but highly unlikely. For the answer as to who is appointed if it goes that far then you need to speak to the OR.
For the commission question, you need to ask each IP. Payplan appoint a firm that takes 40%. Payplan don't take that, but undoubtedly there will be some sort of arrangement. Other IP's will have other arrangements. CCCS don't seem too fussed whether you claim it or not, but that may be more down to their own unique arrangement with creditors rather than anything else, however as they arrange very few IVA's then I don't suppose it matters too much in the bigger picture.
You ask about impartiality. The ASA says that any organisation that has a financial interest in the outcome of a case cannot be described as impartial. Who, therefore, IS impartial? You can rest assured though that those who are appointed by debtors act in the interests of the debtors. Those that are encouraged by creditors must act similarly you would have thought.0 -
Ok.
"Hi Gimpsdad
Taking into account some of your recent comments
Write 70% or more off your debts by going down the IVA route, make 5 years payments and you will be debt free, thats what some of the adverts say dont they?
Adverts telling people that an IVA will get you free of your debts, which may be true in some cases....but
What happens to the tens of thousands of IVAs that fail, how much is claimed in fees by the IVA providers?, what happens to the people where an IVA fails? do the IVA companies help them or want to know when they cant make any more money out of people?
What happens to to the people in IVAs that fail when there is equity in their homes?
Who is appointed as the trustee in bankruptcy when an IVA fails, how much is paid in fees to the trustee when a assets such as a persons home is realised?
How much do some of the IVA companies take in commission out of PPI claims and why, its not their money is it?
How many IVA companies help people with bankruptcy or any other debt remedy when an IVA fails?
Its simple really, how can advice be independent and impartial if the bottom line is profit?
It makes me wonder, just who's side are some of the IVA companies on?"
In order.
I have seen IVA's write 99p in the £ off. On that basis, I can legitimately claim that IVA's can write off 99p in the £. Not sure of your point here.
Tens of thousands of IVA's fail? A one sided statistic if ever there was one. Perhaps you may want to point forum users to the number that succeed to give a balanced view. You may also want to state that all IVA fees are detailed at the outset, and are subject to approval by both debtor and creditors alike. Hardly a surprise therefore. However, in fairness, the deal, again which both debtor and creditors are made aware of, is that the majority of the fees are collected at the front end, so if it fails than the fees do seem disproportionate. Still worth noting that you know at the outset though. What is your alternative? Trust to luck on a DMP? Most reputable IP's will help as much as they can if it fails.
What happens to people with equity in their home if an IVA fails? As an IVA protects your assets whereas with a BR you lose that control, and with a DMP you leave yourself open to charging orders, big thread on here about that, or even BR. Your argument seems to be don't even bother trying? Anyway, the equity of a home in a failed IVA is exactly the same as it was pre IVA. Creditors may go after it, they may not. Who knows? The point is that they can't in an IVA, which is a huge attraction.
Who is appointed as trustee in bankruptcy if an IVA fails? What makes you think that bankruptcy follows if an IVA fails? It is possible, but highly unlikely. For the answer as to who is appointed if it goes that far then you need to speak to the OR.
For the commission question, you need to ask each IP. Payplan appoint a firm that takes 40%. Payplan don't take that, but undoubtedly there will be some sort of arrangement. Other IP's will have other arrangements. CCCS don't seem too fussed whether you claim it or not, but that may be more down to their own unique arrangement with creditors rather than anything else, however as they arrange very few IVA's then I don't suppose it matters too much in the bigger picture.
You ask about impartiality. The ASA says that any organisation that has a financial interest in the outcome of a case cannot be described as impartial. Who, therefore, IS impartial? You can rest assured though that those who are appointed by debtors act in the interests of the debtors. Those that are encouraged by creditors must act similarly you would have thought.
Hi
Thanks for the reply
Having a quick read through this, I cant see where you have clearly addressed or answered many of the questions and points raised rather you have tried to compare other solutions and for some reason quoted other agencies.
I am off to get down now and will come back to you later, a busy day ahead tomorrow for me to be honest with a great deal of my time going to be spent dealing with failed and failing IVAs again as seems to be the trend just lately.
Just out of interest and reading what you have put, are you familiar with the OFT guidelines and the IVA protocol?
Catch you later0
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