www.iva.co.uk

Hi There,
Can anyone advise whats the general feeling in claiming back PPI whilst currently been in the process of an IVA. Im aware if I did claim then money received would have to go in the iva pot (as such) but surely that would just help reduce the amount I owe. Or would the creditors see it differently when coming to vote for my IVA. Any advice welcome

Hi and welcome.

I'm afraid that if you did claim back PPI, either the creditor concerned would use it against their debt, or it would have to be paid across to the IVA. Either way your creditors would get a better return.

It won't make any difference to the voting.

Hi, personally I dropped a PPI claim for about £800 plus the interest that had built up on those payments as I felt that it was wrong to pursue it while at the same time asking the same creditor to write off some of my debt. If it is a significant proportion of your debt, you could argue that it is unfair to the other creditors not to pursue it.

If you do decide to reclaim PPI do not use a claims company in case the creditor offsets the claim against their debt. The claims firm would therefore not be able to get their cut and you could find yourself with a substantial post IVA debt.