Completed my IVA in Jan 2014, and finally received our completion certificate in Jan 2015 from Grant Thornton. We were self employed, and at the start of the IVA, a loan from the partnership was not allowed to be included in the IVA, as a business loan. This year, the bank wrote to us and said that we were entitled to redress on an Interest Hedging Produce they made us by, when we took out the mortgage (we run a guesthouse), so a business mortgage. They have now said that as we were in an IVA have to liaise with Grant Thornton, who say its an asset that belongs to them. Do I have a leg to stand on? Could really do with the money going back into the business to pay of the loan we are still paying for, and a necessary cash injection into the business. It seems very unfair.
Maybe I'm losing the plot but as the loan was specifically NOT included within the IVA how can they now argue this is an asset of the IVA?
I would suggest seek legal advice especially as the money (as you identified) would be putting you back in a situation as if the produce had never been sold in that way.
If a member of the FSB use their legal ehlpline.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
This is a very grey and untested area. Even though the loan was not included in the IVA the PPI would be regarded as an asset -- a cunk of money from whatever source. Some IP's did take the view, in the early years of the PPI fiasco, that refunds relating to loans outwith the arrangement did not have to be handed over. But, gradually even these changed their tune and most IP's will now draw in any refund.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I cannot see how the loan could have been excluded unless it was secured or in a company name with no personal guarantees. If the loan was specifically excluded then I would argue the redress is also excluded but this would be for a lawyer to determine and not me.
I would ask the bank to offset the redress against the loan thereby reducing the balance and bringing your payments down to what they should be. This is different to PPI as PPI was for things sold in the past whereas hedging is ongoing. You should consider independent legal advice but perhaps a chat with GT may mean they agree that they do not want the funds.
Good luck - let us know how you get on as it will of a great help to other posters in the same position.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
