DHP Overpayments and Bankruptcy

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  • #19637
    Claire Moses
    Participant

    Can someone please advise whether DHP O/P’s are to be treated in the same way as ‘normal’ O/P’s when a customer has been made bankrupt.

    Can we recover them regardless of bankruptcy?

    #431
    jamcon
    Participant

    I beleive all debts become insolvency debts, unless exempted by the Insolvency Act 1986. So after the claimant has become bankrupt (and since you can’t recover via ongoing deduction), you will have to wait your turn from the administrator to see if there is any money to repay the debt. This is assuming that the debt arose before the claimant was made bankrupt. If after, then you can pursue the debt, but you can’t take the claimant to Court until he has been discharged, unless you get permission from the Court to do so first.

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