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  • FIRST POST
    • kateyleah
    • By kateyleah 2nd Jan 18, 2:21 PM
    • 6Posts
    • 0Thanks
    kateyleah
    Rejected IVA and Mortgage
    • #1
    • 2nd Jan 18, 2:21 PM
    Rejected IVA and Mortgage 2nd Jan 18 at 2:21 PM
    Hi all

    I wonder if you have any helpful advice. My partner tried to enter an IVA back in Nov 2015 however his major creditor rejected the IVA and so it didn't go ahead. My partner then decided to move back to his parents and since has cleared his debts.

    Around 6 months ago he checked his credit file with Experian and noted the IVA was on there and so emailed them and asked it to be removed on the basis that it didn't go ahead, which experian sorted. On the basis of this and my good credit we decided to try and get a mortgage together and received a mortgage in principle. We therefore went ahead and put my house on the market and offered on another house.

    However, when we went to apply for the mortgage it was rejected as the iVA was still showing on his credit file with equifax. The mortgage company have said that it needs to be removed from equifax before they will process out application despite it being removed with experian and him not being on the IVA register.

    Unfortunately equifax refuse to remove it without evidence from the insolvency service. We are currently waiting on the insolvency service to respond to us. However in the mean time my house sale is going through and the sellers are getting anxious as we haven't booked a survey in yet.

    Anyone have any experience with this? Are we likely to get the IVA removed by equifax?

    K
Page 1
    • cjmillsnun
    • By cjmillsnun 2nd Jan 18, 2:47 PM
    • 429 Posts
    • 284 Thanks
    cjmillsnun
    • #2
    • 2nd Jan 18, 2:47 PM
    • #2
    • 2nd Jan 18, 2:47 PM
    Speak to a mortgage broker to get an application through with someone else just in case. Halifax for example use Experian rather than Equifax.
    • kateyleah
    • By kateyleah 3rd Jan 18, 1:12 PM
    • 6 Posts
    • 0 Thanks
    kateyleah
    • #3
    • 3rd Jan 18, 1:12 PM
    • #3
    • 3rd Jan 18, 1:12 PM
    I would but as my partner has defaults on his file we can't use a high street bank. We have tried both the adverse credit companies and both do the same; mortgage in principle with experian and then credit check with equifax again on application. It's very frustrating.
    • BoGoF
    • By BoGoF 3rd Jan 18, 1:18 PM
    • 2,854 Posts
    • 2,101 Thanks
    BoGoF
    • #4
    • 3rd Jan 18, 1:18 PM
    • #4
    • 3rd Jan 18, 1:18 PM
    You should never have made an offer until mortgage in place.
    • kateyleah
    • By kateyleah 3rd Jan 18, 1:27 PM
    • 6 Posts
    • 0 Thanks
    kateyleah
    • #5
    • 3rd Jan 18, 1:27 PM
    • #5
    • 3rd Jan 18, 1:27 PM
    It it is standard practice to offer on the basis of a mortgage in principle, which I reiterate we had in place.

    I'm not sure how I could have submitted a mortgage application without having a property to apply under.

    Perhaps you don't understand the process of buying property?
    • Gary_Dexter
    • By Gary_Dexter 3rd Jan 18, 1:46 PM
    • 386 Posts
    • 214 Thanks
    Gary_Dexter
    • #6
    • 3rd Jan 18, 1:46 PM
    • #6
    • 3rd Jan 18, 1:46 PM
    What makes you think that you can't use a high street lender due to some defaults?

    How many are there?
    What amount is outstanding on them?
    When are they due to drop off? (6 years after being issued)
    • kateyleah
    • By kateyleah 3rd Jan 18, 1:53 PM
    • 6 Posts
    • 0 Thanks
    kateyleah
    • #7
    • 3rd Jan 18, 1:53 PM
    • #7
    • 3rd Jan 18, 1:53 PM
    The most recent default is only 2 years old and my mortgage broker indicated that we would need to use specialist brokers.

    There are 4 defaults on his credit file. All settled.
    • Gary_Dexter
    • By Gary_Dexter 3rd Jan 18, 2:52 PM
    • 386 Posts
    • 214 Thanks
    Gary_Dexter
    • #8
    • 3rd Jan 18, 2:52 PM
    • #8
    • 3rd Jan 18, 2:52 PM
    Settled is a good thing.

    There have been people with active CCJ's that have gotten mortgages with high street lenders.
  • National Debtline
    • #9
    • 4th Jan 18, 4:10 PM
    • #9
    • 4th Jan 18, 4:10 PM
    Hi kateyleah


    If the IVA was never made there is no reason why Equifax should not agree to remove it. The best thing to do is try and chase the Insolvency Service and Equifax to get this dealt with as quickly as possible and carry on with the house purchase. Good luck with it all.


    Susie
    @natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
    • cjmillsnun
    • By cjmillsnun 4th Jan 18, 6:35 PM
    • 429 Posts
    • 284 Thanks
    cjmillsnun
    I would but as my partner has defaults on his file we can't use a high street bank. We have tried both the adverse credit companies and both do the same; mortgage in principle with experian and then credit check with equifax again on application. It's very frustrating.
    Originally posted by kateyleah
    I had 6 defaults and got a mortgage through Halifax. Find a broker who specialises in adverse (I got lead down the wrong route by a broker who didn’t initially - not his fault it wasn’t his area of expertise)
    • Thrugelmir
    • By Thrugelmir 4th Jan 18, 8:44 PM
    • 56,780 Posts
    • 50,152 Thanks
    Thrugelmir

    However, when we went to apply for the mortgage it was rejected as the iVA was still showing on his credit file with equifax.
    Originally posted by kateyleah
    Are you sure that's the only issue? Lenders never actually give reasons for the decline. Is this a supposition.
    “Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble”
    ― Warren Buffett
    • kateyleah
    • By kateyleah 8th Jan 18, 1:51 PM
    • 6 Posts
    • 0 Thanks
    kateyleah
    We've just heard that equifax is removing the IVA so fingers crossed all will be well now :-)
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