Query about being in an IVA and receiving an amount of PPI

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paul531
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by paul531 » Fri Mar 16, 2018 6:36 pm
Hi, could anybody help with a Query about being in an Iva and receiving an amount of PPI
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MerlinL14
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by MerlinL14 » Fri Mar 16, 2018 6:50 pm
When in and IVA, or even ever being in an IVA means that any refund is due to your IP to be distributed to your ex-creditors.
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paul531
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by paul531 » Fri Mar 16, 2018 7:18 pm
MerlinL14 wrote:
When in and IVA, or even ever being in an IVA means that any refund is due to your IP to be distributed to your ex-creditors.

Hi, I have been in an Iva for 12 months, I have £4800 left to pay on my plan 48x £100. When I signed up with creditfix and on benefits, I had to agree to their terms in regards to searching for PPI , I had to give Allay claims authorization for this. Recently Yorkshire bank sent me a letter explaining that they never paid me enough PPI refund when they should have in 2011. And I was entitled to more, this worked out at £7875.00 after ringing the bank and asking were Allay claims involved in the recovery of this PPI they told me No! And had no dealings with them whatsoever. Although this amount has been forwarded to my I.P they have retained half of this as a successful PPI claim, so basically they fraudulently charged me for something they had no part in. I challenged an asset realisations manager at creditfix about this. I was obviously angry at this and when I mentioned it was fraud! She stuttered and couldn’t find a reply only that Allay claims will not receive anything now from it. Long story short she told me she is working to get my case closed for good and my Iva would be finished. Does this sound right? Thanks
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Foggy
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by Foggy » Fri Mar 16, 2018 7:21 pm
What happens depends on many factors. Currently PPI is regarded as an asset of the IVA, even if awarded after completion of the arrangement ....But, some IP's simply have no interest and will return any cheque to you (most creditors will insist on sending it to the IP in the first place). It could be that the amounts involved simply make it uneconomical to dig out old files and distribute to former creditors. But, there are a few IP's who will go for every penny. Also some creditors (noteably RBS) will try to hold on to the refund to offset against the former debt.
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Foggy
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by Foggy » Fri Mar 16, 2018 7:22 pm
PPI refunded while you are in the IVA generally all goes into the IVA.
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by Foggy » Fri Mar 16, 2018 7:25 pm
paul531 wrote:
MerlinL14 wrote:
When in and IVA, or even ever being in an IVA means that any refund is due to your IP to be distributed to your ex-creditors.

Hi, I have been in an Iva for 12 months, I have £4800 left to pay on my plan 48x £100. When I signed up with creditfix and on benefits, I had to agree to their terms in regards to searching for PPI , I had to give Allay claims authorization for this. Recently Yorkshire bank sent me a letter explaining that they never paid me enough PPI refund when they should have in 2011. And I was entitled to more, this worked out at £7875.00 after ringing the bank and asking were Allay claims involved in the recovery of this PPI they told me No! And had no dealings with them whatsoever. Although this amount has been forwarded to my I.P they have retained half of this as a successful PPI claim, so basically they fraudulently charged me for something they had no part in. I challenged an asset realisations manager at creditfix about this. I was obviously angry at this and when I mentioned it was fraud! She stuttered and couldn’t find a reply only that Allay claims will not receive anything now from it. Long story short she told me she is working to get my case closed for good and my Iva would be finished. Does this sound right? Thanks



With the amounts involved it could be enough to settle the IVA - Yes.

And, you are correct, if Allay haven't dealt with the claim they are not entitled to fees for doing so, Unfortunately, nor are you! CF often go "off piste", but will see the light when challenged.
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paul531
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by paul531 » Fri Mar 16, 2018 7:40 pm
Thank you, I knew I wouldn’t receive a penny of this but in certain circumstances they will allow you to keep the first £500 of any wind fall. I asked them this and told them I am struggling financially to pay the £100 per month and this would help me significantly but they said No! All they would do is grant me 2 payment breaks. Now all of a sudden they want to help me get it closed. I hope i get the result, but how many other vulnerable people are getting stung and don’t even know and it’s no going challenged. I’ll post how I get on. In about 3 weeks I’ve been told
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Foggy
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by Foggy » Fri Mar 16, 2018 7:50 pm
paul531 wrote:
Thank you, I knew I wouldn’t receive a penny of this but in certain circumstances they will allow you to keep the first £500 of any wind fall. I asked them this and told them I am struggling financially to pay the £100 per month and this would help me significantly but they said No! All they would do is grant me 2 payment breaks. Now all of a sudden they want to help me get it closed. I hope i get the result, but how many other vulnerable people are getting stung and don’t even know and it’s no going challenged. I’ll post how I get on. In about 3 weeks I’ve been told


First £500 of any windfall is a common misconception (apart from the fact that PPI is not a windfall -- it is an after acquired asset) ... the clause actually says that if a windfall is less then £500 you can keep it -- if more than £500 you pay it in ...... so ...... The lottery pays you £499 and it is all yours .... next week you win £501 and it all has to be paid to the IVA.

The problem with CF (and they are not alone) is that they have purchased case loads from other firms, all with slightly different ways of doing things and drafting proposals. When you speak to an operator (largely untrained) he or she will not have looked in detail at your arrangement and will quote generic responses, which may not be correct. They will only delve deeper when challenged and, often, realise they are in the wrong.

I imagine many such things slip by unchallenged, which is were we need to get more people to use resources such as this forum and garner th knowledge to challenge !

Look forward to hearing the outcome and hope it is a positive one for you.
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paul531
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by paul531 » Tue Apr 10, 2018 2:08 pm
Managed to get my Iva closed down today after 11 months, made up with this but I don’t believe this would have gone my way had I not challenged Creditfix over this PPI payment.
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paul531
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by paul531 » Tue Apr 10, 2018 2:21 pm
Foggy wrote:
paul531 wrote:
Thank you, I knew I wouldn’t receive a penny of this but in certain circumstances they will allow you to keep the first £500 of any wind fall. I asked them this and told them I am struggling financially to pay the £100 per month and this would help me significantly but they said No! All they would do is grant me 2 payment breaks. Now all of a sudden they want to help me get it closed. I hope i get the result, but how many other vulnerable people are getting stung and don’t even know and it’s no going challenged. I’ll post how I get on. In about 3 weeks I’ve been told


First £500 of any windfall is a common misconception (apart from the fact that PPI is not a windfall -- it is an after acquired asset) ... the clause actually says that if a windfall is less then £500 you can keep it -- if more than £500 you pay it in ...... so ...... The lottery pays you £499 and it is all yours .... next week you win £501 and it all has to be paid to the IVA.

The problem with CF (and they are not alone) is that they have purchased case loads from other firms, all with slightly different ways of doing things and drafting proposals. When you speak to an operator (largely untrained) he or she will not have looked in detail at your arrangement and will quote generic responses, which may not be correct. They will only delve deeper when challenged and, often, realise they are in the wrong.

I imagine many such things slip by unchallenged, which is were we need to get more people to use resources such as this forum and garner th knowledge to challenge !

Look forward to hearing the outcome and hope it is a positive one for you.

Managed to get my Iva closed down today after 11 months, made up with this but I don’t believe this would have gone my way had I not challenged Creditfix over this PPI payment.
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Foggy
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by Foggy » Tue Apr 10, 2018 2:51 pm
Good result -- well done !
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kallis3
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by kallis3 » Tue Apr 10, 2018 3:20 pm
Well done!
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paul531
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by paul531 » Tue Apr 10, 2018 4:56 pm
Foggy wrote:
Good result -- well done !

Thank, I wonder how many other people this may have happened to and not realized
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Foggy
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by Foggy » Tue Apr 10, 2018 5:02 pm
paul531 wrote:
Foggy wrote:
Good result -- well done !

Thank, I wonder how many other people this may have happened to and not realized


I dread to think ..... only a few get to the forum and only a few of those report back. But I imagine there are many who get the wrong terms and conditions imposed on them and just go along with it.
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