www.iva.co.uk

I know that a lot of forum members are experiencing difficulties in receiving their completion certificates and are eagerly awaiting further information.

From today, I am happy and relieved to be able to announce a new policy that ClearDebt will be implementing to avert any further delays and prevent any future delays. I would champion this policy to other firms and hopefully non-ClearDebt clients will also be able to see an end to the difficulties in the near future.

From Monday next week (and by Friday at the latest), all clients who have made all of their contributions and have completed their IVAs but for any possible realisations from PPI mis-selling will be sent a letter detailing our closure process which will involve ClearDebt taking an assignment of all of the potential claims which have yet to be settled.

Within the letter will be an assignment document which will ensure that any funds realised will belong to the estate and can be paid to creditors in accordance with the terms of the IVA.

For all cases going forward, we will take an assignment of claims 3 months prior to the expected completion date to ensure that all cases going forward are able to close on time.

We had hoped to be able to make this announcement a little earlier so that we could issue all completion certificates in time for Christmas but these things do take time to prepare and get right.

I hope this is the news a lot of you were desperate to hear and hope that everyone will appreciate that issuing completion documents and to successfully close a case is not an instant process. It will still take some time to issue all the final reports but I expect that all cases will have undergone their PPI mis-selling investigation and all outstanding completions will have been processed by the end of January 2013.

More information is available here –

http://www.cleardebt.co.uk/blog/ppi-mis ... cate_57352

(NB.edited for changed link)


David

Hi David. This is fantastic news for all your clients who have been in limbo awaiting closure, and all future cases. Let's hope that all companies apply this protocol. To those clients - I sincerely hope it will brighten your mood as the festive season draws near. x

This seems like a step in the right direction!

So once an assignment order and disclaimer have been signed and returned then Cleardebt will issue the completion documents?

By signing a deed of assignment, are any potential claims that would have been due to the debtor now the “property” of the IVA/Supervisor?

Does this then enable you the Supervisor to make claims and if need be take disputed claims to FOS without any further input from the debtor?

That is a good step forward and one that I hope is championed by other companies.

When the completion certificate is issued, is this effectively the case closed as far as the debtor is concerned?

Will this enable the debtors name to be removed from the insolvency register?

The IP will notify the Insolvency Register and the name will be removed - it can take up to three months though.

I ask this question because Mel in an earlier post had said that the completion certificate was a "worthless peice of paper" and it was the final report which enabled the debtors name to be removed from the insolvency register.

Heretoday – Yes this would mean your name could be removed from the Insolvency Register and to all intents and purposes your IVA would be closed.

The assignment process will also apply to all clients who are complying with the mis-sold PPI claims process.

Thank you for clarifying that point.

Would this then enable you the Supervisor to make claims and if need be take disputed claims to FOS without any further input from the debtor?

That is a massive step forward and hopefully one that all IVA providers will adopt, however what happens if your IVA is closed, you have your completion certificate, there is outstanding PPI monies to come and this then covers the whole of your debt with a surplus left over once all fees are paid, does this mean it will come back to you even though to all intense and purposes your business with your IVA has finished?

What an excellent and customer friendly approach to something that has caused so many people great stress. It would be wonderful if other companies went down the same route.

Come on Grant Thornton. Take note

I am not sure how the name can be removed from the Register without a final report being filed, and have raised this point with the regulators who have not yet confirmed the position.

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by David Mond

Yes this would mean your name could be removed from the Insolvency Register

so David, Mike or Tom, can you please confirm that this is correct?

I can confirm that this process will be adopted for all clients of ClearDebt who have fully complied with the investigation into PPI mis-selling and any subsequent requests.

Under these circumstances both a Completion Certificate and Final Report will be submitted stating that additional assets may still be realised post completion out of the assignment that has been taken (e.g. PPI mis-selling claims) which will enable us to remove the client’s details from the Insolvency Register.

Obviously an element of co-operation will still be required post completion in continuing to assist with the PPI mis-selling investigation, such as providing information where required and completing relevant documentation (such as FOS forms) which the client would need to confirm their acceptance to us in writing.

Furthermore it goes without saying that clients will need to confirm in writing that they understand the consequences of attempting to subsequently attempt to cancel their claims or take any action to attempt to sabotage any potential claims. Although this is not common, attempts by a tiny minority of clients have made it difficult for everyone within the industry to come up with a solution to this matter which we have now found.

I hope you are happy with this response.

David