Over the past 12 months, there has been a significant issue throughout the industry whereby a large number of Individual Voluntary Arrangements (IVAs) and Protected Trust Deeds (PTDs) have been unable to be completed on time due to on-going investigations into the mis-selling of Payment Protection Insurance (PPI).
Due to the length of time these investigations can take and because of the backlog of cases within the Financial Ombudsman Service (FOS), ClearDebt have been working rigorously to find a solution which will avoid any further delays.
ClearDebt are pleased to announce that they have found a practical solution and will now adopt the following procedure:
ClearDebt will take an assignment of any and all potential claims. This in effect means that you have signed over the claim to your Supervisor to realise, who in turn would be the beneficiary of any claims. Funds will then be distributed to your creditors in accordance with the terms of the IVA after receipt of same by your supervisor.
If the compensation realised for the PPI mis-selling claim amounts to more than the amount due into the IVA, any overpayment will be returned to you.
PPI Claims Process with ClearDebt
ClearDebt will require you to co-operate fully with the claims process which is:
- Sign and return the authority for ClearDebt to refer your details to our approved claims intermediary DRSP Limited (DRSP).
- Your case will then be reviewed and you will receive a telephone call from DRSP who will establish whether or not any PPI is likely to have been mis-sold.
- Where appropriate, claim forms and Subject Access Request forms will be sent to you to complete.
- ClearDebt will send an assignment document and a disclaimer to you to sign and return to confirm that any monies recovered will belong to the Supervisor of your IVA who will distribute the funds to the creditors within your IVA in accordance with the applicable conditions.
- Your supervisor (on those cases that have completed other than the PPI mis-selling work) will be able to issue your completion documents on receipt of the above mentioned documents.
If you have already spoken to an approved claims intermediary and co-operated with the investigation then the assignment and declaration will be sent directly to you without further need to wait for all of your claims to be settled prior to your case being completed.
Read more about our PPI Process.
If you have any further queries which are not covered then please speak directly to your administrator.
IMPORTANT: 16/01/2014
Since publication of this update, this assignment process has unfortunately had to be withdrawn. Please consult the ClearDebt PPI Mis-Selling Process.
