www.iva.co.uk

Hi Experts

I'd just like to hear your take on the latest banking scam to effect consumers. It seems that like PPI the next hurdle to overcome could be CPP. Is there any talk between IP's about bothering to go after this or is it too small an amount to go chasing after? Unlike with PPI where the potential windfall could stand at thousands of pounds recovered in this case at best it looks like £30 pounds here £80 pounds there and so hardly worth the effort of trying to reclaim.

Hi Pete, I realise this query is addressed to Mel, but may I jump in?

The difference between CPP and PPI is that there will be no lengthy claims process ( or the involvment of claims companies ). In due course, if the scheme is accepted, you will be given the opportunity to lodge a claim ( more an indication of interest) and will be listed as a creditor to the scheme arrangement. There will then be one dividend payment based upon whatever you have paid CPP in the past. That will be the end of the matter.

Now, based on PPI shinanegans, I would guess that the CPP refund will be considered an asset. If you have an all assets IVA it should be paid in, if defined assets it is yours. I doubt the amounts involved will warrant IP's falling over themselves to get it -- it will cost more than it is worth.

But, if you are supposed to declare it I am sure they won't refuse it.

Any IPs out there with a view on this please???

Anybody? Starting to think this may well be the next stumbling block for those whose IVAs have been dragged out due to PPI!!!!

I personally don't think it will be. The scheme has to be approved first and the amounts are relatively small.

In my opinion, if the scheme is approved and you're still bound by the terms of an IVA, then any 'win' would need to be paid into the arrangement as an asset (providing it's an 'all assets' arrangement).

Sorry to take so long to answer. I was away for a few days annual leave.

I don't see many IPs jumping to audit their casefiles in an attempt to maximise realisations from this source, as the reward versus the effort is relatively low - however if funds are claimed by our clients successfully, then these monies would need to be paid into the IVA in the same manner as PPI monies.

Thanks Melanie that was what I thought but you can never be to sure with things like this hopefully there wont be anymore of this type of thing to raise its ugly head!!!!!