Mortgage (for new buyer) after an IVA

Doglover

talkalot wrote: »

I did a full and final IVA in August 2007. It completed early last year. I tried no end of brokers to find me a new fixed rate mortgage. No high street bank would touch me even though we had plenty of equity in the house and my wife had a perfect credit history. Most lenders these days will not touch you unless your IVA has been completed at least 3 years or you will be looking at one of few adverse lenders left and their rates will be between 8-13%. In my case we tried as a last resort my wifes bank HSBC. They look at each case on its own merits and since all my defaults were all satisfied and we had plenty of equity they gave us a mortgage. So it might be worth trying them.

Hi, thanks for the info. The info given was the kind of thing I was hoping not to get! Oh well, thank you for telling me straight, I needed to know how it is in reality. I'll defo get the credit file early and make sure it's up to date and then wait for the IVA to complete and check it again and then start on the road to clear up.

The info has helped us with the 5 year plan.

Thank you for your advice

fiveyearplan

You don't necessarily need to wait the full 6 years for the IVA to fall off and there is nothing stopping you applying for mortgage to get a feel of what you and OH could be offered however I wouldn't even start that process until you check his credit reference file and clean it up if necessary.

talkalot

Getting a mortgage of course depends a lot on how good/bad your credit file is. The first steps will be to get or your defaults marked as satisfied once the IVA has completed. I would advise finding a good broker who deals with the adverse side of the market. This will save you a lot of time and trouble. The problem I found was that most bank at the moment as soon as you mention IVA just dont want to know. You cant even apply they just say no. One example we were told by one broker to move our bank account over to Abbey as they were one of the better lenders. Having done that Abbey then changed their policy about 6 months later and now they will not touch anyone with poor credit. So having done everything Abbey asked us to they then still said no.

peruddick

I agree with doglover, i enquired about settling early but was informed i could but was little point as it would take a couple of months to agree and i could end up paying more if my creditor thought i could afford it..........hence......personally i would advise against this.