- Fri May 17, 2013 8:41 am
This is a really interesting comment from your OR. In theory they are right. If you make claims for PPI and the compensation received is enough to pay your debt in full then you might end up with some of the cash.
BUT, and it is a BIG BUT. On top of your debt, the official receiver is allowed to add their costs. These will be a flat fee of £1715, then a fee to the secretary of state (ie government tax) of 15% of the amount you pay and then additional OR fees based on a time and materials basis (so anybody's guess). On top of all of that the OR can also charge interest on the debt from the date of your bankruptcy at 8% per year.
Only after all of these costs are taken into account (after 100% of your original debt was paid) would you be left with anything. As such its my view that it will be very unlikely that you will be left with anything after receiving PPI compensation and there is really no point in you considering it. The only person who will benefit is your OR.
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