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[James Falla]

If you are a discharged bankrupt and are thinking of claiming for PPI mis-selling, please be aware that it is likely that any compensation you are due will be paid directly to the Official Reciver who was responsible for your case. This is because the compensation payable is considered to be an unrealised asset of your bankruptcy even though you have been discharged.

The thinking on this is moving all the time and could change again. However for the time being it certainly seems to be the case.

This means that if you are a discharged bankrupt and are speaking to a claims management company about helping you with a PPI claim please make sure that you get in writing from them that they will not charge you a fee if compensation is paid but goes directly to the Official Receiver. I am gettig increasing numbers of reports where people are claiming, receiving no compensation and still receiving a bill from their claims company.....

NOTE
This advice does not apply if you have completed an IVA or a Trust Deed. In this case you are likely to be able to keep your compensation but it is useful to use a specialist claims company to help you as the banks may try to avoid paying you if they can. To read more see: PPI after IVA