Hi
We have been told that if we dont claim our PPI our IVA will have no closure, but we knew we didnt have to have PPI when we took loans and credit cards out as we had a family member in banking. So why are we expected to lie and claim we were mis-sold something we were not. We took the PPI willingly to protect ourselves because at the time my husband was the only earner when our children were small.
This whole thing still puzzles me when some companies can claim and close in a timely fashion and others take months upon months and some into the year bracket. Time will tell for me x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Hi, I am new on here and hope that someone can help.
I am having the same PPI investigation problem with my IVA, as others have, but I don't know what (if anything) I can do about it.
I was convinced to sign up for an IVA in 2007, having been told that without one I would be taken to court and subjected to CCJs and possibly further punishment. My last payment was at the beginning of July 2012. Two weeks before my final payment the IVA company who bought out my IVA (Cleardebt) decided that they had to investigate PPI. I made it clear to them that I did not wish to pursue a PPI claim as I just wanted my completion certificate. Despite me saying a very clear NO, I was hounded by calls about the PPI and was told by Cleardebt that I would not get my completion certificate until they had investigated the PPI. I was very unhappy about this, feeling that they were blackmailing me, but had to agree to it and sign the PPI investigation forms sent to me.
Nearly three months after my final IVA payment was made I have not received my completion certificate, which is seriously affecting my ability to find a job (I have just been made unemployed).
Breathlessuk, if you wish to e mail me directly off-line, my details are in the experts section, then I will be more than happy to assist in any way I can.
As a general point though, if authority has been received to investigate then the process should be concluded as swiftly as possible, whatever the result of the investigation.
Regards.
Last edited by size5 on Fri Sep 21, 2012 11:55 am, edited 1 time in total.
Cert DR
23+ years in debt advice
I do not post for anyone other than myself
There can be no credible excuse for waiting until the end of the IVA before they decide to investigate if PPI was miss-sold! This is no longer a “new thing” and as they are using a claims management company to do the “investigating” it should not take up too much of their resources.
An obvious question is; do you believe that you were miss-sold PPI? If you believe that this is the case then you should assist them with the claims.
If you are convinced that you were not miss-sold ppi then the claims should not go ahead. I know from experience that the latter is a difficult one as your IP will probably play hardball and threaten you with bankruptcy.
Unless you can somehow persuade them not to go down the PPI route then the following will give you some indication of how long this may take.
My experience has been that they send you the first letter asking to give authority to a claims management company (CMC) to “investigate” if you have been miss-sold any PPI.
Within a week or two you will be asked to sign a separate form for each account that you have ever held so that the (CMC) can write to each bank/lender on your behalf and tell them that you have been miss sold ppi for a number of reasons.
The banks after acknowledging receipt of the letter have 8 weeks to carry out their own investigation.
If they agree that PPI was miss-sold then they will offer compensation. If they reject the claim the (CMC) can write again to the banks and ask them to reconsider. Or they may show that PPI was never sold to you in the first place which would be the end of the matter.
If the banks still reject your claim then the claims company under direction from your IP may refer this to the Financial Ombudsman Service (FOS) to make a judgement on the claim. If they do refer it to the FOS then claims are currently taking 18 months to process.
So in short, if the banks agree straight away that you were miss-sold PPI or that PPI was never sold to you it could be wrapped up in about 3 months. If however PPI was sold but the banks state that it was not miss-sold then you could be looking at 21 months plus!
It is likely that they will keep your IVA open for as long as is possible while the claim is carried out. In my case they have used up the 6 months after final payment, extended it by a further 6 months and I believe they can extend it a further 3 months again.
7 years after starting an IVA I finally received a completion certificate from ClearDebt
I think the question here is, are IVA firms legally able to say that you have to submit a claim or they will not close your IVA despite paying in as agreed for the term! Somebody needs to challenge this with Cleardebt! Why are some firms saying it is up to you whether you claim or not and then closing the IVA if a claim not submitted! Somebody somewhere needs to make a ruling on this to stop all the harassment and inconsistencies!
The problem is that as it stands the rules are open to interpretation. Some of the larger firms such as Cleardebt have chosen to interpret this whole ppi sage so that they can keep an IVA open and maximise returns for the creditors and more importantly for themselves.
They do this whether the debtor believes they have been miss-sold PPI or not. The pretext is that because they are bound to ensure that all assets are realised and to maximise returns for the creditors, but also for their own commercial reasons to increase their profits.
It is difficult for us mere mortals to challenge them legally, by the nature of an IVA you are unlikely to have any savings or disposable income as this is already being paid into the Pot.
No win no fee solicitors are not an option as there is no money to be won.
This is not something covered by legal aid, and even if it was, your income before paying the IVA would most likely exclude you from qualifying.
It needs a test case where a ruling can be made either way and then everyone can follow that ruling. This will prevent any further ambiguity and prevent some of the less reputable IVA companies from interpreting matters to suit their own commercial drivers.
I would note that not all IVA companies are acting this way, but the ones that are, are in my opinion bringing the industry as a whole into disrepute!
7 years after starting an IVA I finally received a completion certificate from ClearDebt
In my opinion if an IVA is completed by the debtor on time and the IP is satisfied it should have a maximum time that it can leave the IVA open and this time should be governed not an open ended time. All too often we're seeing over a year before closure...not fair
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
