PPI claim after Protected Trust Deed

zippy1973 · 14 October 2018 at 4:29PM

Hi there.

Just looking for some advice.

I entered into a protected trust deed in 2001 and was discharged in 2005.

Everything been good since then, rebuilding etc and in a really good place now.

On another forum in a general thread someone posted about using an online only company to trace PPI (reclaimppi) and did well from it. Over the following months others on the forum did the same with great results so I thought I would give it a go.

I signed up yesterday but a while after thought about my trust deed so did some reading online (here and other places) and now I am thinking I have made a huge mistake and may open up a can of worms for myself.

Any advice? There seems to be conflicting stories, court cases etc. I really don't want any old wounds reopened and thinking of cancelling my sign up.

Thanks in advance for any comments

[Deleted User] · 14 October 2018 at 4:38PM

Any redress will go to the debts.

You'll need to pay the claims company from your own pocket if you go ahead. They may also have a cancellation fee, which again you will need to fund..

zippy1973 · 14 October 2018 at 4:47PM

Deleted_User wrote: »

Any redress will go to the debts.

You'll need to pay the claims company from your own pocket if you go ahead. They may also have a cancellation fee, which again you will need to fund..

Thanks

I had read varying things

People getting them re-opened. Others saying once your discharged that's it. Just doesn't seem to be anything definitive!

broaps · 14 October 2018 at 5:58PM

Hi Zippy

The following is from the debtcamel website which is run by an adviser from CAB.

When you go bankrupt, all your assets belong to the Official Receiver, except for things such as clothes, normal domestic items etc. The money you could get for PPI compensation is classified as an asset, even if you haven’t yet started a claim. As a result, if you do make a claim, all the money will go to the Official Receiver not to you.

This also applies after you are discharged and after any Income Payment Agreement is ended. It also applies if the debt was repaid before you went bankrupt so it wasn’t included in your bankruptcy. So if you have been bankrupt, don’t bother claiming for mis-sold PPI, ever.

It is really important that if you have been insolvent when you make a mis-selling claim, you do it yourself and don’t employ a claims firm to help. If the end result of your claim is that compensation is paid to the Official Receiver or to your IVA firm, or it is ‘set-off’ against an old account, you will not receive a cheque. But you will still owe the PPI claims company their percentage of the compensation as their fee – so your situation would be worse as you would then have a new debt!

Hope this helps.

luvchocolate · 14 October 2018 at 6:32PM

When you go B.R you loose the right to claim P.P.I this goes to your O.R and will have received paperwork at the time of your B.R explaining this.
B.R is like a line in the sand...anything before has gone.
As others have said you may be liable to pay any fees from the company you have used after the payment has gone to your O.R
The company you are using will tell you its your right to claim and the money will be yours...this is simply not true,

coolcait · 17 October 2018 at 11:48PM

Hi Zippy

Reclaiming PPI after a protected trust deed is different from reclaiming after bankruptcy, and it's a huge issue right now!

Basically, most of the trust-deed world is waiting to hear the outcome of a case which was heard by the Supreme Court in July (?) this year.

Very, very long story cut very, very short - and losing a lot of the finer detail - a PPI claims company challenged a former trustee who said the PPI should go into the (now closed) trust deed and the trust deed should be re-opened.

The Scottish Court of Session agreed with the PPI claims company. Last year, I think.

The trustee raised an appeal with the Supreme Court.

Round about the same time that the PPI claims company won their case at the Court of Session, there was another case being heard at the Scottish Sheriff Appeal Court.

That case was about a bank's right to set-off PPI refunds against debts which had been in protected trust deeds which are now closed.

The bank lost. But they're also waiting for the decision in the Supreme Court case, because it covers similar basic principles.

That's why, right now, no one can say exactly what should happen with PPI claims for closed trust deeds.

However, one thing which probably holds true whatever the outcome of the Supreme Court case is - don't use a claims company for PPI refunds.

Do it yourself. That way any winnings are yours alone - and you don't need to worry about paying fees to the claims company.

Good luck!

zippy1973 · 19 October 2018 at 6:17PM

coolcait wrote: »

Hi Zippy

Reclaiming PPI after a protected trust deed is different from reclaiming after bankruptcy, and it's a huge issue right now!

Basically, most of the trust-deed world is waiting to hear the outcome of a case which was heard by the Supreme Court in July (?) this year.

Very, very long story cut very, very short - and losing a lot of the finer detail - a PPI claims company challenged a former trustee who said the PPI should go into the (now closed) trust deed and the trust deed should be re-opened.

The Scottish Court of Session agreed with the PPI claims company. Last year, I think.

The trustee raised an appeal with the Supreme Court.

Round about the same time that the PPI claims company won their case at the Court of Session, there was another case being heard at the Scottish Sheriff Appeal Court.

That case was about a bank's right to set-off PPI refunds against debts which had been in protected trust deeds which are now closed.

The bank lost. But they're also waiting for the decision in the Supreme Court case, because it covers similar basic principles.

That's why, right now, no one can say exactly what should happen with PPI claims for closed trust deeds.

However, one thing which probably holds true whatever the outcome of the Supreme Court case is - don't use a claims company for PPI refunds.

Do it yourself. That way any winnings are yours alone - and you don't need to worry about paying fees to the claims company.

Good luck!

Thanks. I have communicated with my trustee from all these years ago and I am following their advice

zippy1973 · 10 March 2019 at 1:53PM

Just following on from my post in October, I believe that the Supreme court has now ruled. Am I correct in saying that the banks lost and once the trust deed has been closed and payments have been made to creditors then that is it?

PPI claim after Protected Trust Deed

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