IVAs and Bank Accounts

in_despair_3

My main bank account is with one of my creditors.

I realise that I will have to change this. However, I also have another account which at the moment stands at zero - I do not owe any money to this bank either.

If, as we suspect, we are advised to go for an IVA will be allowed to keep this account as our basic account?

It has no overdraft facility, but it does have switch, which is what we are after (becuase my hubby is disabled we do most of our shopping online, and most places wont accept Visa Electron, which is what most basic accounts offer....)

Would we be allowed to keep this bank account, as it has a switch card with it?

Thanks for any advice


Jo
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in_despair_3

Anyone know?

lottie26_2

My husband has a IVA and he has had trouble getting a bank account in the end he had to settle for a halifax savings card that was all he could get, they said that he would'nt be able to pay his wages in this or set up any standing orders out of it but he has done this so its not to bad.
I'm not sure which banks he tried, i'm sorry.
I'm sure someone else will be able to give you much more information.

Raquela

Sorry, I'm not clear... The bank account that has the Switch card; is that with the bank you owe money to? If not then I'm not sure there would be a problem (but I know nothing about IVAs).

in_despair_3

The switch card is with the HSBC. We do not owe them any money - but I was wondering if we would be allowed to keep this account. There is a little bit of money (£5) in it at the moment, and to be honest the account has stood still for about five years - we have never used it!

Sorry - I have just re-read my question, and it was a little waffled!!

JO
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lottie26_2

Don't quote me on this but i'm sure you can still use it

Penny-Pincher!!

Hi

Is it a cheque guarantee card also? If so, Im sure you cant have it, either way, you will have to inform the bank that you are now bankrupt and let them decide. Normally they will close a full facility account and offer a basic account.

They will not make any exceptions for being disabled I shouldnt think.

PP
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debtdestroyer*

Hi, just thought I'd tell you what I did when I started my I.V.A. I had 2 current accounts and owed money to the main one so I had to change over to my current current account. Which has a Visa Eletron card and also a cheque book ( I already had the cheque book before I entered into the I.V.A.)

So basically if you have a current account that you don't owe any other debts to then you can use that as your main current account. I don't think it matters what type of debit card you have.

Hitme

I believe as long as the account dosn't have an overdraft facility then you should be alright with the HSBC account. The thing you mustn't do while in an IVA is take out any credit without authority from your IP so I can't see why it matters if you have a debit card or a cheque book on a current account as you will only use these to draw money you have.

The main thing to do right way is stop using the account that is with one of your creditors and move everything over to the HSBC account