Short-Term IVA and Credit File

CobraOne

Hi all,

Bit of a "stab in the dark" type query if I could.

I entered into a short-term IVA in January 2007. The IVA was agreed to run until August that year at which time I would pay a substantial one-off payment (from redundancy) and the IVA would end. All was completed as agreed and all payments were made without any problems and the IVA was officially closed through the courts in November 2007.

I have spent the next two years trying to bring my credit file up to date and have managed, on the whole, to clean up my record fairly well although I still have the IVA and 5 old "default" credit entries on my file.

My problem is this.

I am looking to obtain a mortgage using the governments Key-worker/first time buyer initiatives and nobody will touch me because of my adverse credit history. The IVA on my file is still dragging me down even though I finished it two years ago, have a clean credit history since then, am using Vanquis to re-build my credit rating and have a disposable income of around £2,000 per month.

Does anybody know if it is possible to do anything with my credit file beyond what I have already achieved? Had I known two years ago that I would still have an adverse credit history for 6 years I would never have given up my payout but would have kept that to invest in a home.

I guess what I am really looking for is any advice relating to the end of the IVA and the removal of items from the credit file. I realise that the default accounts remain for 6 years but is this the same for the IVA?

I hope this is not coming across as "cake and eat it" syndrome. I just assumed that the IVA would be removed from my file 1 year after it concluded rather than the 6 it appears it will take. Do I have any special grounds for going to anyone in particular (An Ombudsman perhaps?) and asking for the times involved to be adjusted?

Many thanks for any help or advice anyone can offer.

Nick700

Good evening,

IVA's stay on your credit file for six years since their approval or longer if the arrangement lasts more than six years. Once your IVA ends, the Insolvency Service will let the credit reference agencies know. The agencies will then update the IVA entry on your credit report to show it has been completed. This entry will stay on your credit report for six years from start of IVA(as your IVA lasted less than six years). You may still experience problems obtaining credit while the IVA is shown on your credit file.

However, you can ensure that your IVA is marked as completed and all debts that were included in your IVA are marked as satisfied. This will show that you have no outstanding defaults and that you are out of an IVA. If you are having any problems with this, send a copy of your IVA completion certificate to the credit reference agences(Experian, Equifax and Call Credit) and they will then update their records.

If your IVA is marked as completed and all defaults satisfied then you will stand a much better chance of getting credit. Lenders may then assess you on affordability of the loan they are giving you, rather than past credit history.

If there is an entry on your credit file which is incorrect and you cannot seem to get it corrected, you can also contact the credit reference agencies and post a notice of correction(a statement by you reflecting the true situation re that credit account) onto that account, to make anyone searching your credit file aware.

You can also do things like joining the electoral register to improve the chances of you getting credit.

Hope this post is helpful to you.

Nick