entitled to keep half ppi?

A question about : entitled to keep half ppi?

we recently had a successful claim for ppi, however they decided that as we still owed almost half of it for a bank loan we had previously held they could deduct this from what they owed us, the only issue I have is that we are in a debt management plan with them and others and that as such all proceeds should have been paid to our debt management plan and divided amongst our other creditors.Are they correct or are they out of order?

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• Duplicate post:
  https://forums.moneysavingexpert.com/....php?t=5105476