Getting a job with an IVA in finance sector

GingerTom_3

Hi All,

I've recently entered into an IVA (past 6 months). I'm now looking for a new job within finance sector. Would having an IVA (not bankruptcy) effect me getting a job within this sector?

I've read around on the web and it all just seems to be referencing bankruptcy and working in the finance sector and not an IVA.

Thanks,
Tom

oplus

It all dends upon the employer, some regulated firms refuse to consider you in an IVA even if the regulator is happy with the situation as long as you aren't applying for a role of influence which involves considerable risk.

PM me if you want to ask specific questions.

vicki488

I dont work in the finance sector but my job required a CRB check and also a credit check to make sure that I could be trusted to work with finance within the company. One of our directors took me in and told me that my IVA had come up on the credit check and asked me the circumstances. It was highly embarrassing and personal but in the end he signed a disclaimer to say that he trusted me enough to let me carry on working there. I think it depends on each companies policy. Some will let you some won't.

GlamGirlie

For regulated roles the FSA will often say this means you are not suitable - if you can't manage your own money, how can you manage other people's?

However for non-regulated roles it will be down to the individual employer.

oplus

GlamGirlie

I don't know where you got that idea from but after 30 years in financial services I am certain that the only thing the FSA doesn't like much is undischarged bankrupts and even then it depends on the role, anything else isn't such a problem, even if you work for the FSA!!

debtinfo

Well for instance to be a directly authourised financial advisor you have to show that you are solvent yourself and you are clearly not solvent if you are in an IVA

oplus

FROM FSA WEBSITE

Can an individual be approved if they have an adverse credit rating, have been made bankrupt, or have a criminal record?


There is nothing that would automatically preclude an individual from becoming an approved person. Every application is judged on a case-by-case basis on its own merits.

oplus

FIT 2.3 Financial soundness
FIT 2.3.1 03/09/2001In determining a person's financial soundness, the FSA will have regard to any factors including, but not limited to1) whether the person has been the subject of any judgment debt or award, in the United Kingdom or elsewhere, that remains outstanding or was not satisfied within a reasonable period;
(2) whether, in the United Kingdom or elsewhere, the person has made any arrangements with his creditors, filed for bankruptcy, had a bankruptcy petition served on him, been adjudged bankrupt, been the subject of a bankruptcy restrictions order (including an interim bankruptcy restrictions order), offered a bankruptcy restrictions undertaking, had assets sequestrated, or been involved in proceedings relating to any of these.
FIT 2.3.2 03/09/2001The FSA will not normally require the candidate to supply a statement of assets or liabilities. The fact that a person may be of limited financial means will not, in itself, affect his suitability to perform a controlled function.

Means GUIDANCE

oplus

http://www.fsa.gov.uk/pubs/other/auth_bulletin2.pdf

Personal debts

Mr A was seeking approval as an investment adviser at a
small IFA. He disclosed on his application form that he had
entered into an Individual Voluntary Arrangement (IVA)
with his creditors for several hundred thousand pounds.
The IVA directly affected Mr A’s fitness and propriety
because it brought into question his financial soundness.
At the time of application the IVA still had several years
to run. Given that the candidate's remuneration was to be
on a commission basis, this also raised the possibility of
mis-selling in order to maintain payments into the IVA.
On the other hand, the committee considered that the
circumstances in this case leading to the IVA did not
reflect adversely on Mr A's integrity or on his competence
to act as an investment adviser. It also noted that he had
taken responsibility for his actions by entering into the
IVA, rather than declaring himself bankrupt. The
applicant firm was fully aware of Mr A’s financial
situation and had carried out thorough due diligence to
satisfy itself of his fitness and propriety for the role.
The committee decided to grant approval after noting the
applicant firm’s expressed intention to monitor closely
the candidate’s business to ensure compliance and

mitigate the risk of mis-selling.

oplus

Should this be a "Sticky"?

oplus

debtinfo wrote: »

Well for instance to be a directly authourised financial advisor you have to show that you are solvent yourself and you are clearly not solvent if you are in an IVA

An IVA is a means of dealing with insolvency, it is a legal agreement between the creditor and the debtor and although many ceditors will say "we would rather do anything other than enter into an IVA because of the FEES" the fact is that they can mess you around until the cows come home unless you have a legally binding solution that says they must walk away from the problem and stop increasing your debt with charges and higher interest rates. Having said that some are quite easy to deal with but you get one or two complete Muppet firms who mess it up for everyone else. Including HMRC, unless you are a massive company of course.

If creditors had a code of conduct regarding the negotiating of partial settlement of debts a whole industry built upon the misery of debtors would vanish over night.

The legislation is there for a purpose and the creditors only have themsleves to blame.

Rant over.