Process at the conclusion of an IVA

GJL

Hello all,

Nearly five years ago I entered into an IVA after making silly finanical mistakes in my youth.

My IVA finishes in November this year, and I am just after some information / advice from those that can help.

1) - When the iva finishes, what happens to my credit rating?
I have not applied for any credit and the only "credit" that I have is a monthly mobile telephone suscription (which has never defaulted)

2) Obviously I have learnt many lessons from before, but how long would I have to wait for credit again? Not that i am "itching" to get credit, but mine and my partners house, although owned, only her name is on the mortgage even though I contribute half of all the bills.
We would obviously like to get a better house, once (or if) my credit recovers, so what kind of period would I need to wait without having any adverse effect on my rating or recovery?
(We have 2 years fixed rate left on the mortgage - so I was hoping about this time would be adaqute)

3) Any other information that I should be aware of when exiting an IVA?

Thank you for any help.

G.

Deep_In_Debt

Not sure I can help too much but I think the IVA will show on your credit file for 6 years after your last payment.

You probably will be able to get a mortgage,credit etc, but it may be at higher interest rates.

trudij

Its on your credit rating 6 years from the start of your IVA, regardless of when it finishes - thats about all I know though - I finish mine in September (overtime payment left) so I will know more then...

Im sure someone will be along later who knows for sure

happychappy74

1) - When the iva finishes, what happens to my credit rating?
I have not applied for any credit and the only "credit" that I have is a monthly mobile telephone suscription (which has never defaulted)

Within the 6 years periodyour credit rating is about as unhealthy as it could be as you will have a list of settled defaults against your name......but it isnt doom and gloom because you will be debt free. :j:beer::j

2) Obviously I have learnt many lessons from before, but how long would I have to wait for credit again? Not that i am "itching" to get credit, but mine and my partners house, although owned, only her name is on the mortgage even though I contribute half of all the bills.
We would obviously like to get a better house, once (or if) my credit recovers, so what kind of period would I need to wait without having any adverse effect on my rating or recovery?
(We have 2 years fixed rate left on the mortgage - so I was hoping about this time would be adaqute)

You will be able to access Sub-Prime Credit for the next year or so. A good list of these can be found in the Sub-Prime Credit thread on the Credit Cards forum.
I havent been accepted by a single catelogue or credit card other than Vanquis (which is going along quite well). I took out the Cash Plus pre-pay credit card wth a CreditBuilder facility, which is the monthly fees paid in a loan form and so reports this to the credit agencies and is a guaranteed acceptance. I was refused for all sim only deals except 3 (as they will accept just about anyone to build up their customer base).
I have heard that after a period of savings any loan is only likely from a Credit Union, which are often area or job related.
In terms of mortgage.......you will be asked if you have entered an IVA and failure to disclose this amounts to an offence. They will then use this as a point of rejection or higher rate I am afraid.


3) Any other information that I should be aware of when exiting an IVA?

The IVA will remain on your credit file for a full period of 6years from the Default date (which may have been months before the commencement of the IVA) but in any event should not be any later than the IVA commencement date.
I had dates much later than my IVA commencement date showing on my file and one company was updating each month as the default date as late as summer last year!! So the dates are an important feature to watch.
You will be sent a Certificate of Completion by your IP, which may be with you within a week or two, or even months later as some people have experienced on here. It is up to you to then ge your credit files from ALL 3 agencies and chase up the creditors to update the agencies that the IVA has been finalised. This will show a settled Default until it is removed after the 6 year period, which will obviously still be viewed very dimly by most potential creditors other than Sub-Prime.
I cannot stress enough the importance of chasing up your creditors on your file. I would seriously consider obtaining your files now and at least making sure the default dates are no later than the IVA commencement date as it was this part that caused me the most headaches.


It will be sorted out soon enough. Be patient and enjoy being debt free.
:A

GJL

That's excellent - thank you very much for taking the time out to write all that for me.