Can I keep small PPI payment ?

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Ruby.l

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Post by Ruby.l » Fri Apr 04, 2014 2:29 pm
Hi, I'm 3 years into my IVA with Payplan. I sent a speculative PPI claim to MBNA and today a cheque has turned up for £381! MBNA sold my debt on very early into my IVA. Does anyone know if I'm allowed to keep this payment as it's under £500, I haven't told my IP about the claim yet as I wasn't really expecting to receive a cheque, I thought MBNA would just keep the money! Thanks for any help.
 
 

Foggy

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Post by Foggy » Fri Apr 04, 2014 2:36 pm
They might allow you to keep it (but I wouldn't count on it) -- but you do have to tell them about it.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
 
 

MelanieGiles

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Post by MelanieGiles » Mon Apr 07, 2014 1:18 am
You should not be allowed to retain this money, as the PPI compensation is an asset realisation and not a windfall. Only windfalls are covered by the £500 benchmark.
Regards, Melanie Giles, Insolvency Practitioner
 
 

kazzafunk

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Post by kazzafunk » Mon Apr 07, 2014 9:27 pm
I would contact your IP and ask for advice, you may have to bank it and then transfer money to them when the cheque has cleared.

Disappointing but it will increase the money in the IVA pot.
Kazza

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IVA completed 21/03/2012
 
 

Radish

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Post by Radish » Wed Apr 09, 2014 1:20 pm
I got nearly 6.000 in PPI that I had to hand over, I asked if I could retain £60 for some much needed dental treatment..Was told "no" basically. Worth a try :-) My IVA was only 4 payments left so just hung in till it was over.
IVA complete March 2014 after 6 years.
 
 

Michael Peoples

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Post by Michael Peoples » Wed Apr 09, 2014 2:19 pm
That seems a bit rough Radish and I am sure creditors would have sanctioned this if asked. We often call variations allowing our clients to retain some funds for various reasons and creditors are usually sympathetic.
Michael Peoples | McCambridge Duffy Insolvency Practitioners
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If you would like to talk to me about proposing an IVA or have any questions at all please visit www.mccambridgeduffy.com
 
 

Radish

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Post by Radish » Wed Apr 09, 2014 8:07 pm
I thought so too, I maybe went through the channels wrong or spoke to the wrong person. My IP declined me, I am sure the creditors may have been ok about if I could have asked them.They offered to let me take if off my next payment and cap it on the end..Which I declined. Should have looked after my teeth better when I was younger I suppose lol.
IVA complete March 2014 after 6 years.
 
 

MelanieGiles

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Post by MelanieGiles » Wed Apr 09, 2014 11:36 pm
I wouldn't have bothered even contemplating calling a meeting for £60! I would have sanctioned that retention of funds without hesitation.

Which IP firm are you with Radish? And I wonder how they reconcile this view with "Treating the Customer Fairly"?
Regards, Melanie Giles, Insolvency Practitioner
 
 

Radish

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Post by Radish » Fri Apr 11, 2014 8:18 am
I am with DFD. I spoke to someone in the call centre, I should have perhaps gone through to a higher section? maybe? I never pushed it at the time.
IVA complete March 2014 after 6 years.
 
 

MelanieGiles

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Post by MelanieGiles » Mon Apr 14, 2014 10:36 am
I would get the answer directly from your IP - although their call centre staff should be properly trained to be able to deal with minor issues like this.
Regards, Melanie Giles, Insolvency Practitioner
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