All Forums  New Questions  Forum Questions  PPI claims & Bankruptcy - Update from Insolvency S

Note: You must be registered in order to post a reply.
To register, click here. Registration is FREE!

Screensize: 640 x 480 800 x 600 1024 x 768 1280 x 1024 UserName: Password: Format Mode: Basic  Help  Prompt  Format: Font Andale Mono Arial Arial Black Book Antiqua Century Gothic Comic Sans MS Courier New Georgia Impact Lucida Console Script MT Bold Stencil Tahoma Times New Roman Trebuchet MS Verdana   Size 1 2 3 4 5 6   Color Black Red Yellow Pink Green Orange Purple Blue Beige Brown Teal Navy Maroon LimeGreen Message: * HTML is OFF * Forum Code is ON Smilies [quote][i]Originally posted by Melanie.n[/i] [br]Below is an extract from the Insolvency Service published 10th April 2012 - this should clear up any concerns people have re PPI PPI MIS-SELLING GUIDELINES Following the recent publication by the Financial Services Authority of proposed guidelines for firms that sold PPI policies and their contact with customers who may have been mis-sold a policy, but have yet to complain, the folowing information may be useful to people who become bankrupt after the sale of a PPI policy A PPI MIS-SELLING CLAIM: A BANKRUPTCY ASSET Following provisions of the Insolvency Act 1986, the Insolvency Service takes the view that if a PPI policy was mis-sold before the date of an individual's bankruptcy, any claim regarding the alleged mis-selling of the policy is owned by the Official Receiver or Trustee of the bankruptcy estate, NOT the individual to whom the policy was sold. DISCHARGE FROM BANKRUPTCY DOES NOT ALTER THE POSITION Discharge from bankruptcy does not alter the position, Discharge does not operate to transfer unrealised assets, including PPI mis-selling claims, back to the individual. CONSIDERING A PPI MIS-SELLING CLAIM: REFER TO THE OFFICIAL RECEIVER OR TRUSTEE If a (former) bankrupt considers that a PPI policy was mis-sold, they should NOT attempt to pursue a mis-selling claim without reference to the Official Receiver or Trustee If a claim has already been made, the Official Receiver or Trustee should be informed of the claim and the person against whom the claim is being made should be informed of the bankruptcy. USE OF CLAIMS MANAGEMENT COMPANIES The Insolvency Service is aware that some (former) bankrupts have used claims management companies to pursue PPI mis-selling claims for them. If these services are used after the date of the bankruptcy order, it is possible that the individual will remain responsible for all or part of the commission charged if an award is paid to the Official Receiver or Trustee. This may be because the amount of commission is challenged by the trustee or if the firm against which the award is made is a creditor in the bankruptcy and exercises a right to set-off the award against the claim in the bankruptcy. This could result is no payment being made from which the commission could be paid. As such, care should be taken before acting in this way. BEST COURSE OF ACTION: CONTACT THE OFFICIAL RECEIVER OR TRUSTEE The best course of action for any individual contemplating making a PPI mis-selling claim who is or has been affected by bankruptcy is to contacty the Official Receiver or Trustee dealing with their case before proceeding further Hope this clarifies the positon with regard to bankruptcy and PPI - Melanie Melanie Nicholas CertDR 30+years insolvency experience - 23 of which in the Insolvency Service and the past 8 years with a number of IP firms. If I can be of any help to you in any way or answer any queries, concerns or worries you may have, or with completing the forms for bankruptcy, please do not hesitate to get in touch -I can be contacted via the experts tab [/quote]   Check here to include your profile signature. Check here to subscribe to this topic.