Does PPI claim by IVA reduce my monthly payment or it just gets sucked by IVA?

Get expert opinion. This is the place for new questions to be posted.
2 posts Page 1 of 1
User avatar
den162
Posts: 7
by den162 » Sun Apr 22, 2018 7:27 am
I am 5 months into an IVA that is £600 per month for 5 years, they are claiming PPI from an old account I had years ago, if for example there is a £3,000 payout from that claim, what happens to that money, does it come off the total amount and make the monthly payments less? Or does it bring the time down from 5 years to 4 years and 7 months? Or does it just get sucked up by the Insolvency company?
User avatar
Foggy
Forum Expert
Posts: 26889
Contact
by Foggy » Sun Apr 22, 2018 8:00 am
PPI refunds go to your creditors (after fees) and increase the amount you repay off your debt. The idea behind the IVA is that you repay as much as you comfortably can, within the terms of the agreement, NOT that you only repay the monthly repayments set at the outset. So PPI refunds, overtime, bonus payments, windfalls (lottery wins, inheritances, etc.) all increase the amount of debt you repay.
2 posts Page 1 of 1
Return to “Ask IVA Forum and Industry experts”

Who is online

Users browsing this forum: No registered users and 32 guests