IVA and getting a mortgage

Nerad1969

I took out an IVA in Sept 2004 and successfully completed it without default in 2009. I am looking to apply for a mortgage in the next 18-24 months and would like to know if when conducting a Credit Check would a mortgage company be able to see the IVA given that is was completed over 3 year ago?

I spoke to a mortgage adviser recently and openly told her about my IVA and she explained that I had little or no chance of getting a mortgage, even with a significant deposit, given the current financial climate.

Legally, do I have to tell them I have had an IVA even if it does not show up on a credit check?

MoneySaverLog

Yes if they ask the question which they all seem to do :-( I've heard that ING Direct / Leeds Building Society may be a option but who knows if they will still be available then.

Aidanb_2

Hi,

You can't be punished for the rest of your life because you we're in an IVA, I went through HSBC and was open about the IVA which completed this year taken out in 2006 so all of my file gone through and made sure it was as clean as possible and we were accepted in principal for a mortgage for £90k with £10k deposit so £100k total with no fees except solicitors, came back all ok and did a search on credit file just the house hunting now which takes the time lol.

Hope you find one.

Aidan

yorkshire_terrier_owner

I completed my IVA in October 2010 and it has been off my credit reports for a year now. I have had Decisions in Principle from 2 lenders for a 90% mortgage which were approved. I used a broker and was totally up front about it. I have worked hard to get my credit reports clean and with high credit scores - I now have an 'excellent' score.

Yes, if they ask the question "have you ever.....", you must answer it honestly.

If you are a FTB then it will be harder, I have had my current mortgage for 8 years with all payments met which has helped.

The_Money_Man

Unfortunately there is an anomaly which makes it quicker to get a mortgage had you gone bankrupt! Also the IVA simply coming off of your credit file after 6 years isn't the be all and end all because you will still be asked the question whether you have ever made arrangements with your creditors. Lying would constitute mortgage fraud. There are lenders who will consider this but I suggest you find a specialist broker who deals in this sort of thing because there may well be some things you need to do in preparation of an application to give yourself the best chance of being approved.