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[Raddley]

Hi

The payments to my IVA finished last October but I still have not go my completion certificate. I have spoken to my IVA company and they say it is because they are waiting for the outcome of my PPI claims. I agree to let them claim last August so nearly 8 months ago now. I am worried that if my IVA stays open I will still be liable to pay in other windfalls that I might get. I accept that the PPI will go into the IVA but now it is possible that I might get an inheritance by the end of the year and I am keen to protect this which I think is only fair. Is there anything I can do?

[Geraldine]

Hi there Raddley. Unfortunately I believe it is possible for an Insolvency Practitioner to hold off from completing your IVA until all PPI claims are settled. Unfortunately this does therefore mean that other windfalls you receive in the meantime might be at risk.

Having said that it does sound extremely unfair especially if you have fulfilled your end of the IVA bargain and paid all of your payments as agreed.

I hope the experts will be able to shed more light on this....

[James Falla]

Hi Radley

In my view it is totally unethical for an IP to hold back a completion certificate in this way. In fact there is no need for them to do so. The IP is at liberty to close (complete) the case but at the same time implement an agreement (called a deed of assignment) with you that states despite the completion any subsequent PPI compensation will still be paid into the arrangement. In fact some IVA terms and conditions already provide for this

I suggest you speak to your IP and ask them to issue you with your completion certificate together with such a deed of assignment for the PPI. This will protect future non PPI windfalls that you may then receive.

[Steve Jackson]

I agree with James Radley

Speak to your IP and ask them to issue your completion certificate with a deed of assignment covering any PPI claim payments. This will mean that your IVA is formally completed and any future non PPI windfalls are yours to keep while keeping your IP happy knowing they will still get your PPI claims.

[Raddley]

Thanks for replying everyone. That is great advice and I will let you know how I get on with my IP.

Can I ask what all this PPI business is about anyway? Why are IPs so up in arms about it? I can understand that getting more money back for the creditors is a good thing but after an IVA is completed and done surely fair is fair and they should issue the relevant completion certificates and move on....?

[Hayden]

Well I can tell you why IPs are so interested in PPI claims Raddley, its because they benefit financially from them plain and simple. Most IPs are paid a percentage (normally 15%) of the funds that are repaid to creditors through the course of an IVA. As such if these funds can be increased with PPI claims the amount the IP earns increases.

I am not saying that this is unfair and I am sure that IPs have a lot of work to do for the money they earn. However it would be nice if they were a little more up front about their motivations......

You can bet you bottom dollar that if there was no financial gain for the IP in making sure that your PPI claims were sorted, you would have had your completion certificate months ago.

[Raddley]

That is interesting Hayden. I have to say I thought as much. There had to be something in it for them somewhere.....

Well just to update you I have spoken to my IP again and suggested what you advised about the deed of assignment. They said if I was happy with this then they would do it. I am just waiting for the certificate of completion to come through now. Fingers crossed ......

[James Falla]

That sounds like good news Raddley. Fingers crossed your completion certificate comes through asap