i was told today if i went for a map and they found out i had ppi in the past then the map would be transferred to full bankruptcy my debs are only£5000

There isn’t much if a difference between a MAP and full Bankruptcy. I wouldn’t let this put you off. You would need to pay an extra £110 application fee if that happened but that’s still better than struggling to pay back £5,000.

You can look into PPI yourself and if successful clear the debt or just proceed with a MAP and be done with the worry and the debt.

JOJO that is correct.

Under a MAP process, it is only the Accountant in Bankruptcy (AIB) that can be appointed to act as Trustee. If during the process, PPI is established then the AIB has no option but to covert it into a full administration sequestration and can ask for a balancing payment of £110 (ie £200-£90 MAP fee)

Trust Deeds cant really be open for PPI now given the legal position on the matter.

As Swandog mentioned, you do have the option to investigate PPI yourself in the first instance. Any successful pay-out could be used to settle the outstanding debts of £5k

if i did have ppi it would for a joint loan with my husband as he was working not me so really the ppi was for him and should go to him if iam correct last join loan i had with my husband if i remember was 18 ago and you did say trust deeds can not be reopened

If the PPI is joint as it was a joint loan or overdraft then your husband would get 50% of the money and the other 50% would be ingathered into your Sequestration.

You can look into PPI yourself. On the website moneysavingexpert there is a PPI tool checker which you can use for free. If you get money back in PPI but it’s not enough to clear your full £5,000 you could call the creditors and see if they would settle for a smaller amount.

Maybe best to look into PPI first and then decide on the MAP.

so if they found out i had ppi i would be discharged in one year would i need to make a monthly contribution iam not working

Yes that’s correct. You would still be discharged after 1 year providing you have co-operated fully with the Trustee and as you are not working you would not be required to make a monthly payment.

If there is no PPI then it's still a MAP and 6 month discharge.

i would be discharged in one year the trustee would be discharged after 4 years and they cant reopen my husband trust deed trust deed is this correct

Yes they will not be able to open up your husbands closed Trust Deed and you will be discharged in either 6 months under a MAP or 1 year under a FAB – Full Administration Bankruptcy.

thanks swandog you have been a very big help think i will see if there is any ppi the ppi deadline is in august i might wait until then and apply for map so i know it would be for 6 months my main concern was how it would effect my husband

You are welcome jojo93. I know what it can be like thinking about things and your mind going into overdrive thinking about all possibilities and scenarios so any advice I can give to help I’m happy to.

Looking into PPI yourself first is a good idea. That if you do receive some funds you could use this to pay off the debts and avoid a Sequestration.

If you were unsuccessful then you could proceed with a MAP knowing you have looked into the PPI.

As long as you have no joint debt or linked accounts with your husband then I can’t see why anything you do would have an impact on him.

With regards to your creditors at the moment speak with them and explain that you are unemployed and financially struggling. You could decide to offer them minimum payments or token payments until you have resolved the PPI issue or your husband could make the agreed minimum payments to them. The important thing is to communicate with them whatever you do.

Look into PPI then proceed with a MAP if you need to. Other than that don’t over think things or worry as it won’t do you any good.

thanks for advice swandog i will try for the ppi just now and go for a map in august when this ppi claims is finished and at least i will know the map would be for 6 months

phoned a company yesterday and was told trust deeds could be reopened for ppi cant be right

Who did you phone?

it was a firm i dont want name but they are well known on here i explained my how i got into debt i cant get an appointment with my local advice centre for 6 weeks