Denied online bank with Barclays because of IVA!

fiveyearplan

Barclays only open basic accounts for BRs. I think they have been letting discharged BRs have internet banking or else it is just hit and miss whether they let you have it or not.

alastairq

my Barclays Visa account

is this it?

lottie doesn't say if she's BR...does she?

MAybe the account was active prior to the IVA [do banks close accounts after IVA's?]

fiveyearplan

I'm not sure if banks close accounts of people on an IVA but and IVA is a form of insolvency and I don't think they get much different treatment to a bankrupt - but I could be wrong.

alastairq

I understood IVA's allowed a debtor to avoid those obvious issues attached to BR?

fiveyearplan

I don't think where credit is concerned.

alastairq

HAving re-read the IVA forum...I am left wondering why folk chose to go the IVA route?

When opening a basic bank account, the iVA does not need to be mentioned....

was Barclay's one of those included in the IVA?

fiveyearplan

The only benefits of an IVA vs BR that I can see are if bankruptcy would jeopardise one's job or maybe if they have equity in their home that they don't want to lose - and even then sometimes they are required to release the equity. Many, many people on here have started off with an IVA and ended up bankrupt and they have usually said they wish they went BR in the first place.

When you open a bank account you don't have to declare BR either unless asked but the bank will do a credit check anyway and find out - also an IVA will show up on that check.

In bankruptcy, it will fall off your credit file 6 years after you were declared bankrupt, I'm not sure how it falls off in an IVA but an IVA can last longer than 6 years so I'm thinking BR would fall off quicker than IVA.

Anyway those are just my opinions.

alastairq

with an IVA, the whole shebang fails if you miss but one payment..[unless max grovelling is done?}...which effectively places one back to square one? Even after several years of not missing a beat? To me, that smacks of too long a bet that nothing will go wrong....? [yep, I know IVA's can be adjusted, but payments do still need to be met, for ever such a long time.....to achieve the same end result as BR?}


Miss an IPA payment, and I suspect, usually, a catch-up can be done..or at worse, discharge is delayed.....wow......[not meaning to be disrespectful to the BR process....but....]

fiveyearplan

... and to top that off alastairq, there is something about coming for the equity in your property in year 5 or something (not quite sure, all I know about IVAs, I've learned from this forum).

rog2

lottiecochrane wrote: »

I actually had a Coop Cashminder beforehand but they closed it when BT incorrectly tried to take a payment before the 1st of the month not once but twice! Coop were so rude about it and said they'd only reopen the account if I got BT to write a letter of apology to them!

Personally speaking, I dislike Direct Debits with a vengeance. I can understand why creditors like them as they give them the right to 'demand' as much as they like from your account, and, unless you 'stop' the direct debit before it hits your account, then not only will you incur penalty charges from your bank, you could also incur charges from the creditor. :mad:

I do not believe, as they would have us believe, that 'Direct Debits' put the customer in control, and I would always recommend a 'Standing Order' over a DD.

That said, the Co-operative Bank does have a fairly strict policy on Basic Accounts - I was refused one on the basis that I am self-employed.

Hope you find a suitable account - have you tried Nationwide?