www.iva.co.uk

Hi All. I know there has been a lot said on this topic but i have some questions which have not been answered by my IP. I have finished my IVA - [:)] and am waiting for completion certificate - delays through PPI claims. Now, I am happy to have the PPI paid to my creditors - my mess and I want to pay what can be paid. However, my question is why does the PPI refund have to go into the pot to share between the creditors and not be paid directly to the creditor affected? Paying to the general pot includes fees to the IP for administration and fees to their nominated claims company. This in most instances doesnt leave very much left especially as someone (and I have still to be told who) is liable for the tax. Why are the claims companies fighting for cheques to be issued to the IP and not allowing the creditor to reduce the debt? anything over and above could and should be paid to the IP for administration. I do believe that this is not the best way of tackling this issue and is a way in which money can be made. Sorry - my IP has been good all the way through but i do not believe this is being handled in the best interests of the creditor and of course the reason for this is to "act in the best interests of the creditor".

Hi Don. The reason the PPI refund should be paid into the pot is so that monies can be distributed evenly over all creditors, pro rata. This is what you and they agreed to when entering the IVA. For a creditor to hang onto the refund would not be in accord with that agreement.

Incidentally, why should they be entitled to the lion's share of money they fraudulently extracted from you in the first place ?

Hi Foggy. How does anyone other than me know if the PPI was fraudulently taken from me? There are instances when you fully understand and agree to sign up but we are all encouraged to say we were missold or it was missold on a technical issue. However, we can all agree to disagree on these points and I for one dont actually care, I want my debts cleared and am happy to do whatever I am told by my IP and of course i dont want to be declared bankrupt after 6 years for not doing what I am told do I. However, say a debt was x and that was the loan and PPI added together - if they refund the PPI and pay it off the debt, they put you back in the position you would have been before the alleged misselling surely. Just a thought as to what cats are getting fatter on this. not that it bothers me as soon I will have my completion certificate and no further worries and my IP can deal with the PPI as it comes through. Rather an emotive subject on many levels I think

As with all of these things, Don, the claims companies are the cats getting fatter. I realise, banks are now refuting more and more claims (probably because these companies are pushing more ... let's say... borderline cases through), but, up to now, these companies have been pocketing 30% for, effectively, writing one letter any of us could have written for free !!!

Yes, I believe it is a rip off and cannot understand why the creditors were / are happy for this to happen. However, they apparently are.

Like you, I have no interest in PPI and, prior to my IP wanting to investigate, my plan was to forget all about it after my IVA -- after all I will have had tens of thousands written off, it seems churlish to then turn around and ask for more back! When finished I was planning to just draw a line under the whole, sorry, affair and leave it behind me.

There are many ways to look at it, and each of us must follow our own course.