Cmpletion certificate issued before PPI claim

[Heretoday]

At the risk of sounding like a broken record, why can’t a completion certificate be issued before PPI claim is concluded? I can only speak about the standard terms of my IVA which state:

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

This would suggest that the supervisor can deal with things like PPI claims even after a completion certificate has been issued.

Assuming that you have signed whatever authorities are required for them to make a claim for miss sold PPI then why delay issuing the Completion Certificate? Is it just easier for the Supervisor to keep it open or is it a legal requirement?

[Pandy]

Snap!!!
I was having an idle thought the other day that if they can take a PPI claims on IVA's that were finished 2 years ago and a completion Certificate issued why is it a problem for ones coming up to completion. Surly a certificate can be issued and the PPI completed later, it is only the same as re-opening files from one previously finished.

[GilliB]

Hi Heretoday. I keep reading this and I still can't get my head around why they can't issue CC's. A case such as Ginga.gu's and so many others are examples of why they should - not as special cases but as standard procedure. I'm weighing up whether I should get back to my CO to actually get EIF to go through PPI for me - despite my sending the forms back months ago because I have nothing to claim. Reading certain posts on here has been very distressing and alarming - inconsistencies alarming. Paranoia setting in - wondering if my closure will drag on. Let's see if anything changes to help people affected

[Shining]

Maybe Melanie, Michael or another professional will be able to tell us?

[Broke of London]

It does look as if the IVA could complete and the PPI refund paid in at a later date.

Presumably, it would be a lot more work??

[Foggy]

As I have recently posted elsewhere ... I have heard of cases where the IP has, effectively, re-opened an IVA to claw back PPI after the completion certificate has been issued. In this instance he / she is working as Trustee and divides the repayment in that capacity. I am sure that this can also be applied to VAT issues.

So, the debtor gets a completion certificate and the client account remains open with the IP as Trustee, until such time as PPI and VAT refunds have been dealt with.

Is this not possible ?

[Heretoday]

If it was possible it would certainly do a lot to halt the tide of bad feeling being generated to certain IVA companies.

Can an expert please comment on if if this is possible or not?

[MelanieGiles]

That is a really good point heretoday - the clause you are referring to is detailed in the R3 standard terms and conditions, which some IP firms used prior to the IVA protocol. If you do have those specific terms, it does appear that your Supervisor could issue the Certificate of Completon and still pursue PPI claims, but I would suggest that it would a heck of a lot easier to manage if they were still in office.

I did not use the R3 terms and considitons prior to the advent of the IVA protocol, so cannot confess to ever relying on that clause to conclude a case in line with its terms. You should discuss this with your own IP to see if they agree that they can still deal with the PPI reclaim issue outside of the IVA itself.

[Michael Peoples]

We use the R3 standard terms and conditions but there could be a problem in closing the IVA down and then pursuing the PPI. Once closed there is every possibility that the client will not assist in reclaiming the money and also there is no guarantee that creditors would sanction post IVA fees.

Address these issues and I am sure our IPs would be delighted to close every case down that they could.

[Foggy]

Michael -- start the PPI process first and get creditor agreement by way of a variation to allow you to account for PPI fees as a separate issue. Could a PC case be varied at this stage to continue on R3 lines with regard to the PPI and VAT only ?

[MelanieGiles]

I sought Counsel's Opinion about issuing Certificates of Completion before closing cases and was told that this was not possible - apparently a case can only be closed when it is closed - but the R3 clauses do throw up interesting interpretations.

[Gina.gu]

I have as gillib notes ..my completion cert but it has no purpose as the insolvency register does not get notified until the ppi issue is sorted out. So if what you want is to spend your cash as you please and any lottery winnings that's ok , but if u need your name off the register its not really any use. An individual thing I guess. Also when its done by cloak and dagger ips not informing clients they may change their minds about the ppi as in my ase then their will be a stalemate and no one will co operate. (Ips and clients) ifs its completed as melanie says it should be completed. Causes too much trouble otherwise. Just my opinion and I have been "bitten" as they say...

[Heretoday]

A lot comes back to that IVA companies should have started any ppi ect claims at least 6 months prior to a final payment, and in the case of a F&F it should be carried out there and then so that it ends as soon as possible.

The problem as I see it is that those working for IVA companies may know the rules inside out, but those in an IVA are living it!

Unless you are there waiting for your CC then you have no appreciation as to what it means to the individual.

A lot of large companies have broad shoulders and can ignore the minority complaiining, but I hope there are enough people considering an IVA that visit this site and have their view influenced by what they read and that go on to choose a reputable IVA company.

[Gina.gu]

Heretoday where's the like button well said

[GilliB]

Ditto Heretoday. I'd go further and question whether readers would be put off IVA's altogether and opt for bankrupcy - especially if they have no assets? Are IVA's ever really concluded?