apologies, hit send before finishing....You are correct to state that PPI is not deemed an after acquired asset. This in no way means that it does not form a part of the IVA estate though.
Please be very careful when advising others based on one section of the terms and conditions. IVAs are complicated even for those that work in the industry. The issues surrounding PPI even more so
The fact remains that in the vast majority of cases any mis sold PPI is included in the IVA and must be paid into the arrangement. Im sure the other experts on the forum will verify this fact.
That aside Gareth, do you believe there should be a maximum time from a last payment being made and a certificate issued?
If your clients have a claim for PPI referred to FOS which can take 18 months for a decision, then do you hold your cases open for that 18 months before issuing a completion certificate?
7 years after starting an IVA I finally received a completion certificate from ClearDebt
It is a difficult situation and I appreciate that it is extremely harsh on clients who are in financial limbo until this is resolved. This is why Varden Nuttall and other IVA firms are lobbying hard to be given the ability to close cases whilst the PPI is dealt with. Until we are given that power we cannot close cases until all mis-sold PPI is recovered.
So to clarify, if one of your clients has made a claim for Mis-sold ppi and it is referred to FOS, then it is likely that they will not get their completion certificate until FOS have made a judgement, which is currently taking 18 months
7 years after starting an IVA I finally received a completion certificate from ClearDebt
feel sorry for anyone caught in the ppi trap! i guess we all had ppi at one time and now its all blown up that in some cases it should never have been sold to the customer.feel strongly that people in an iva are been treated unfairly ...after all the money paid in was pre iva !! sorry but its another thing i wont agree with.
That is the current situation for every client in an IVA at present with mis-sold PPI. We are hoping to receive guidance from the regulatory bodies which may allow us to progress cases and deal with PPI after closure however this is not guaranteed.
Thank you for beeing so frank about your companies position, and whilst it will not make the delay any easier at least your clients now know your stance rather than wondering why they have not had their completion certificate after a year.
7 years after starting an IVA I finally received a completion certificate from ClearDebt
My IVA proposal allows for an extension to the term for finalising things but specifically says it will not run longer than 72 months. Can the PPI fiasco over rule this?
Hi Sterling, its depends on the exact wording within your IVA proposal and chairmans report. Are you a client of Varden Nuttall? If so please email me on gareth.buckley@vardennuttall.co.uk and I will look inot your case for you.
Gareth, this is precisely my point. The views I offer are just that and not advice. But, as you mentioned, even those in the industry have trouble understanding T&Cs so, with your help, isn't it time that vunerable people have something black and white to understand. For example, absolutely whats included in IVA and whats not. Whats an asset and whats not. The T&Cs are ambiguous and quite muddy and of course people read into them what they wish. Isn't it time for more clarity? Regards
Completed IVA - August 2012 pheeeeeeeeeew
Only my opinion - Nothing More Nothing Less
We use the R3 standard terms and conditions rather than the protocol ones and these are quite clear. Any asset not specifically excluded is automatically included so the PPI belongs to the IVA estate. There is no right of set off so the money has to be paid to the supervisor whereas the protocol T&Cs are different.
