What Happens When an IVA is Finished?
A recent High Court decision has clarified what happens after an IVA is completed.
In this case, a debtor who could not meet his repayments, entered into an IVA.
One of his assets in the IVA was the value of a PPI claim (for mis-sold payment protection insurance). Before the money due under the PPI claim was paid, the debtor successfully finished his IVA.
The High Court found that the completion of the IVA (on standard terms) meant that the debtor (rather than his IVA creditors) was allowed to keep the compensation payment.
One factor the Court took into consideration was the successful completion of the IVA. If the debtor had breached the terms of the IVA, the decision may have been different.
If you need advice about debt or an IVA, which may be coming to an end, contact us for a free no obligation discussion.