Hi, I have just completed my IVA. The last payment was taken on September 2nd. Recently (two weeks ago) I was contacted by my bank to say they were settling my PPI Claim and that they were going to award me £5,000. They also stated that being in an IVA they would send this to my IP. I think this is very unfair. I have asked them to send me the cheque and not declare it. I have paid my dues as far as the IVA is concerned so why should the Insolvency Practitioner pay bank the very people I had the claim with in the first place? I have not received any money as yet and I am not sure where I stand. If the money does go back to the Insolvency Practioners I will have effectively paid back 100% of the debt through my IVA and not the 40% I agreed to. Any advice appreciated. I am at a loss regarding this.
to be really honest buddy if you pay 100% back thats a good thing in my book as you did actually borrow the money, if that happend to us we would be happy to pay.
not what you wish to hear i know but morally its right.
Unfortunately they are correct and the money will have to be paid across to your IVA. I cannot see the creditor sending you a cheque for you to hide this money from your IP, that is dishonest.
Unless you have paid back your creditors 100p in the pound then you always owe the full amount until the IVA is completed which won't be until you get your completion letter.
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
Have you have paid 100% of debt plus IP fees and possible interest?
Have you received your certificate of completion, until this is received effectively your IVA is still open to any clause in respect of windfalls etc.,
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
The idea of an iva is that you pay back as much as you can afford,just because you were expected to pay 40p/£ doesnt mean you wont pay extra if you have it.
Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
This reply is to lesley. When I entered my IVA and received the glossy brochures from my IP company, it stated clearly that I would only need to pay back 40% of my outstanding debts. It made no mention of 100%. The fees I did understand. I can see clearly that IVAs in general are for companies who wish to make money out of someone else's misfortune. Having understood the position of the IP on this I point the accusing finger at the banks. After all it was the huge interest rate rises that got me into this problem in the first place. Four cards and a loan that had multiple interest placed upon each card. I had no real choice but to enter the IVA or file for bankruptcy. It seems you're more sympathetic to the poor banks who have successfully damaged a millions of people like myself. Lets hear it for the banking industry. Its only recently that some of them have started to experience a loss. That's real a pity! P.S. What would you consider to be a fair IVA settlement? and do you work for an IP or bank?
Daytona - sorry but have to pick you up on this - if you had read your proposal it would have mentioned windfall/extra income etc.
Sounds as if you had become fixated on a 40% pay back into your IVA - which i am afraid means you have not understood the prinicples of the IVA.
You will alway owe 100% debt until the the IVA is completed.
The bank have acted irresponsibily - but they are a company who whole purpose is to make money (they are not a charity).
Agree totally with ginger - you will always owe 100% of your debts and if you get extra money then this has to be paid across.
At the time you started out on your IVA the 40% would have been a projected figure and if you had not made any additiional payments this is what it would have been.
Maximum dividends are not set in stone.
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
I have to agree with ginger on this, your IVA proposal would have contained details of the windfall provision.
Even if it was possible to hide the payment from your IP then this is definitely not something anyone on the forum would condone. If you can repay 100% then that is something to be proud of, not something to avoid.
Finally, as far as I'm aware none of the regular posters on the forum work in the banking industry.
See it time & time again on here. People misunderstand what IVA is. Do people not read their paperwork properly? To OP you dont get to keep any of this unless you have paid 100% plus fees. Sorry but the initial % is an estimated or minimum dividend not maximum. If you kept that cheque then this would be classed as fraud and if convicted you could be imprisoned.
The road is 72months long starting September 2010.
Just to confirm - Lesley does not work for an IP or a bank. She is in an IVA the same as most of us on here. I can't see why her reply would have upset you so much as what she says is correct and actually echoed what I had put in the previous post and no, I don't work for a bank or an IP either.
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
Thanks, I got all the messages above. I contacted my bank and IP regarding the paying off of my debts and the PPI cheque and all are now aware of the payment and windfall due. I have struggled to pay everything. It has left me in a really bad financial position. It seems everything is stacked against me. Everyone who posts here (it would seem) is proud to pay every last dime to these financial houses even though they have left you all poor like me. I'm just glad I can see light at the end of the tunnel. It just seems like you all support IVA companies and whatever they demand of you. I cannot change your opinion. I appreciate your feedback even though I don't agree with it. The only reason for owning up to the PPI claim was to be within the law and not go to jail. It does and has upset me. Its totally understandable the way I have struggled over the last few years.
I'm on here to share my experiences during my journey & gain more info. If you wanted to punish the banks why didn't you go for BR?
Most posters on here feel responsible for their own debt & therefore feel compelled to pay as much back as possible. Not going into an IVA for me would have lead to me losing my profession not just a job!
Even if I paid 100% I will have saved 5 years of charges & interest.
The road is 72months long starting September 2010.
I do feel responsible for my debt. I borrowed the money with the full intention of paying everything back and it wasn't the banks that left me poor, it was my own greed in wanting everything straightaway rather than waiting for it.
I do support IVA's as I think they are good way of sorting out your debts and getting back on your feet. However, they're not for everyone and there are other solutions out there.
If I'd gone BR I'd probably have lost my job, and certainly my home which was never an option.
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
i would think nearly every one has struggled while in an IVA, but we all must have been struggling harder before it. In my own situation, i wanted to pay back as much as i could, i was happy to take the money (loans,credit cards etc) in the first place
