RBS PPI Issue - offset against historic arrears.

[davyatsea]

Hi there, its been a while since I've posted so here goes... in November, I received a letter from RBS stating that they were looking to pay out an amount of approx £1400 for an old PPI claim, that had not been accepted previously. They do make reference to making checks first before making the payout. i heard nothing from them until end of January when they stated that they identified arrears. The processing of this part would take another 28 days. My concern is that this was part of an IVA, which completed in November 2013 after a 6 year IVA and I have seen reports of debts being attached to IVA. However, it is over 7 years since completion, and I believed that any debts would be statute barred, if not written off law the IVA.

I have also since received a separate letter offering payout of £2700 for a separate RBS Loan. I wonder, how this one will proceed bearing in mind the progress of the previous claim. potentially, we could be receiving up to £4100 in PPI Payouts, but worse case - it could be ALL put towards the old debt. How should I contact RBS about this? Or should I just let it run its course? As a family, any payout would greatly help for the additional sensory needs of my children. Also, I acknowledge (off the record) the banks position. Any advice would be greatly appreciated. I can post screenshot of letter if need be. Many thanks.

This was posted in a PPI thread, but didn't get any response. Apologies if this is marked as a duplicate, but I'm looking for advice.

[stuartb3502]

Hi there, its been a while since I've posted so here goes... in November, I received a letter from RBS stating that they were looking to pay out an amount of approx £1400 for an old PPI claim, that had not been accepted previously. They do make reference to making checks first before making the payout. i heard nothing from them until end of January when they stated that they identified arrears. The processing of this part would take another 28 days. My concern is that this was part of an IVA, which completed in November 2013 after a 6 year IVA and I have seen reports of debts being attached to IVA. However, it is over 7 years since completion, and I believed that any debts would be statute barred, if not written off law the IVA.

I have also since received a separate letter offering payout of £2700 for a separate RBS Loan. I wonder, how this one will proceed bearing in mind the progress of the previous claim. potentially, we could be receiving up to £4100 in PPI Payouts, but worse case - it could be ALL put towards the old debt. How should I contact RBS about this? Or should I just let it run its course? As a family, any payout would greatly help for the additional sensory needs of my children. Also, I acknowledge (off the record) the banks position. Any advice would be greatly appreciated. I can post screenshot of letter if need be. Many thanks.

This was posted in a PPI thread, but didn't get any response. Apologies if this is marked as a duplicate, but I'm looking for advice.

Not sure if this is still relevant (I have not been on LB for a few years). PPI redress can be sent to the IVA Supervisor following a court ruling in 2017. But they won't necessarily keep it. It depends.

The other point which may be relevant here is that the FOS ruled that redress for one product cannot normally be applied to arrears in an unrelated account.