I too have recently been contacted by my IP to inform that a company called Expert Insolvency Claims would be contacting us to see if they could assist in recovering any assets due to us or the IVA. The letter is a little vague to say the least and it's only that I deal with of PPI Companies in my professional capacity that I've picked up on what they are getting at. We are only four months into a large IVA and so far so good. My main issue with this is that the company they wish to appoint will no doubt deduct a disproportionate fee for dealing with the claim and my own IP would I feel benefit by way of a referral fee. I have asked my IP what their arrangement is, they have not answered as yet! I think that a lot of people are missing a fundamental issue here: someone in an IVA makes a PPI Claim and in our case this would be against the very creditors that we owe money to (i.e. banks and credit card companies)compensation is paid out by our creditorsand then paid into the IVA for the benefit of the very creditors who have just paid out on the PPI claim!, the claims company gets a big fat fee, the IP get something and we end up no better off in terms of an early end to the IVA. The only two recipients to benefit here are the claims company and the IP. In my humble view this is nothing more than a money maker that is certainly dubious and in the extreme potentially fraudulent. I have voiced my concerns with my IP and am as we speak awaiting a reply. I would be very grateful for any views in respect of the creditors paying PPI for their own benefit.
The duty of the IP is to maximise the return to creditors from assets which are captured under the IVA terms - this would usually include any claims for compensation which existed at the time the IVA was entered into.
To suggest that a qualified professional, from a highly regulated background, would do this simply to earn more money, or as you suggest to act in a dubious or fraudulent manner, is quite simply preposterous. Your IP should, however, divulge whether they are earning any commission for referring your case to the claims company - in which case you can exercise your right to pursue any claim directly if you feel better about that method.
All other issues apart, it is not simply a method the a creditor to get back the ppi compensation the are paying out.
In may case. to date< I have a dozen creditors and one is paying back PPI. Admittedly a chunk is going to the claims company, and I have had the financial relationship between IP and claims company explained to me in detail. However, this information was passed to me in good faith and is a matter between the parties involve, so I won't divulve the details here (suffice to say I am happy with the details).
Anyway -- straying off a little here .. back to the dividend ... One creditor is paying back PPI, now, this will be distributed amongst all my creditors, so the comp0any which took the PPI off me initially will only be getting a small %age back. The other creditors will benefit also.
To be honest, all these internal macinations are losing their interest for me ... as long as I get what I signed up for I will be happy.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I know it's a case of shuffling money around but in the process claims are adjusted to their correct levels so those that mis-sold PPI are entitled to a smaller share of the monies realised in the IVA. I don't want to be paying a dividend on a mis-sold product or have that go down as a write off when it shouldn't have contributed to my debt in the first place.
I totally agree with Andy's comments. I would love to be able to claim PPI for monies to go into my IVA, but I have none to claim back. I think the main issue for the majority is that the process is delaying closures. The PPI issue has been around for quite a while now, and I feel it would have been better for IP's to alert us about this potential asset at the earliest possible opportunity, and encouraged
us to submit a claim - ideally using the free templates/guidance. That way, we could have started much earlier, incurred no costs, paid more into the IVA, and maybe have a little left over for ourselves where payouts are large enough to conclude the arrangement. The length of the delays are mind-boggling, and causing untold anxiety, distress and the threat of job losses to people that have fully complied with the agreement they signed up for. It is very unfair. Under these circumstances - VAT issue included,'interim' CC's could be issued, to show that we have fully satisfied the terms. The account wouldn't need to be closed down until funds from VAT/PPI have been paid in, but at least the CC's could be used to help us where it's required.
IVA journey started: 30th March 2009. Settled: 17th July 2012. Completion Certificate received: 13th March 2013. Breathe. x
I have heard of cases where the IP has, in effect, re-opened an IVA after issuing the certificate of completion, to capture a PPI compensation payment. In this event, they are distributing the monies as trustee, rather than supervisor, having been dischrged from that responsibility.
Would it not be possible for agreement to be negotiated whereby the IVA is closed as normal, assuming all normal procedures have been completed, but the client account remain open for receipt of VAT and PPI monies, in due course. This could then be distributed, as it would have been done, but the debtor would have the benefit of being formally released from the IVA obligations, save for the PPI and VAT monies.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
This is what I asked of Cleardebt: which applied to my standard terms.
14 Supervisor’s powers upon completion/termination
14(1) [Exercise of powers after completion/termination] Completion and/or termination of the Arrangement shall not affect the Supervisor’s power to carry out such of his functions and to exercise such of his powers as are necessary for him to fully carry out his duties, obligations and responsibilities under the Arrangement, Act and Rules and to resolve such matters as may have arisen during the course of the Arrangement.
I asked "The above would suggest that even if a completion certificate had been issued that the Supervisor still had the power to administer and to resolve such matters as may have arisen during the course of the Arrangement."
They for want of better words told me to b***** off!
SHAME ON YOU Cleardebt!!!!
7 years after starting an IVA I finally received a completion certificate from ClearDebt
As I have said on the other post, you have raised a very interesting point, and legal advice would be necessary to determine who is right and who is wrong. I have very few cases which use the R3 terms and conditions, but I will raise this if I need to on any of my own cases.
Gillib any and foggy "nail on the head" everyone has valid points as to my latest eperience and I just wish one could be discharged comletely from the iva, including insolvency register notification, not just the copletion cert as I have as its useless to me...then the ip could get on with the long process of claiming ppi if they feel they have to, even when cliens say they don't have it and have not been mis sold... I just wish procedure was clear and the same all around. Make life easier wouldn't it
The issue in my view still stands, the PPI would be paid out by the creditors for their own benefit. This is a nonsensical situation and I still contend dubious practice. Why should a claims company make money out of our unfortunate situation? I know it is possible to do this oneself but to be honest with a business to run, kids and the stress of living on reduced means we are not inclined to do this. We shouldnt even have to, we have signed up to the IVA, complied to the letter and done everything asked of us, this was not mentioned to start with and I wonder what else will be pulled out of the bag on this 5 - 6 year nightmare!? Someone else will benefit from our misfortune and this simply isnt on.
I am not sure why you feel a victim of misfortune in this particular regard Paul. Your misfortune was to end up with unaffordable debt in the first place, probably through no fault of your own - it rarely is. But now there is the opportunity to add possibly further monies to the repayment to your creditors and you are accusing the professionals dealing with your case of malpractice. If you genuinely cannot spare the time to process your claim directly, why is it wrong to pay a specialist firm for doing the work for you? And as a matter of priority - do you actually feel that any PPI was actually mis-sold to you in the first place? If not, then there is no issue to be concerned about.
If someone entered into an IVA and had previously paid off some loans/credit cards that had PPI (miss sold) with them, how would this differ with regards to reclaiming while within the IVA?
When you took out the PPI and loans and they are offered to people then they either say yes or no The reason why banks are not contesting is that in the majority of cases they were not told it was Interest based therefore as that was a legal requireemnt hidden in the small print then its mis sold
Now then if you took out the PPI you were quite happy to do so as it was a good thing if you lost your job or were sick
So because of the loop hole everybody has stuck their oar in to get some money
As you are in a IVA the banks are lets face it taking a big hit on what they have lent you Its not their fault you cant pay back the loans and cards
If you are then asking for a PPI refund after they have allowed the IVA to go through then its not fair and a smack in the face as they give you the chance to payback without interest and so on
Its the same as Insurance policies you pay for a years cover and if you lose or bteak whatever you get the money back you are Quids in
If you dont then the insurance company are quids in
Opposite opinion ..........
Is that if everybody is getting PPI that are not in a IVA and you paid the PPI then you should be allowed to have that for yourself As you paid that upfront before the Loans repayment start
If the banks set aside the PPI money for paying out then that should go to you You are paying an IVA thats agreed to a monthly payment and thats that Even if you win the lottery then you should pay the IVA monthly payment until you finish.
flip it .... If you lose your Job or are sick whatever you dont get to continue at £1 a month no no no So why when you are quids in then do you have to cough up
Its like watching a football match and saying its £50 to watch If they score more than 3 goals you pay more If they dont score you get £10 back But you have to pay us when you leave the ground
PPI goes back to the Bank so why waste everybodies time and just refuse any person in a IVA simples !!
You are in a IVA okie dokie you dont get PPI end of story
