Employment after an IVA

fred98

I've recently completed my IVA (slightly early than scheduled) but understand it will remain on my credit file for the duration of its original term.

Can anyone tell me whether its now possible for me to work for an FSA regulated organisation such as a large insurance broker (Churchill, Swinton, Zurich, etc..)

My understanding is that as long as I am not applying for a position where I am advising others on money matters then I should be ok.

Any help would be really appreciated, thanks

Find_The_Real

Hello Fred, unfortunately a lot of the time it depends on the HR policy with the larger corporations as many require you to undertake a credit check with your permission either at application or interview stage even if you are not directly employed in selling insurance. Only a couple of years ago I applied for an admin job for an insurance company that required a credit check on the application.

The only way you can know is to apply, if it does mention a credit check requirement at any point then you do have to be honest about your situation, as along with that they will generally ask the insolvent question as well but like I say some companies seem to be more strict over FSA requirements than others.

One area that doesn't seem to have this requirement is lead generation for insurance (quite often done by 3rd party companies) so it does depend on the role and company.

fred98

Thanks for your reply, much appreciated.

The position is IT based, so their would be no selling involved.

Thankfully, I've managed to get past the initial 2 stage interview without being questioned about my financial history and I am quietly confident a job offer will soon be winging it's way to me (famous last words) would hate to think my IVA which is now complete could blow the whole thing!!

Really interested to understand how others have faired when applying for similar positions, thanks again folks!!

Find_The_Real

Good luck and hoping it is good news for you.

[Deleted User]

fred98 wrote: »

Really interested to understand how others have faired when applying for similar positions, thanks again folks!!

I'd far sooner someone knew my history before an interview..
My experience of filling in forms afterwards leads to heartache
never had any luck with the big names personally with that of having had unfinished and completed DRO - my bug bear is I bet that most of these company websites notably state nothing of how you fair in just such a situation... :mad:

However a small insurance broker asked the only question of Have you been bankrupt? in an application form and I have since now started so it doesn't have to be over, apart from as important I'd be more worried now about maintaining my clean driver license as well!

Fingers crossed, let us know how you get on?

Deep_In_Debt

My ex OH went BR a few years back and got a job within the financial services industry while BR for a large corporate. He wasn't in a financial advisory role or a regulated role, more admin and had no problems getting the job or working there.

YorkshireT

Not entirely the same situation, but I had an IVA (now completed and gone from my record).

I recently completed my accountancy exams as part of my job. Anyway, after successfully passing a 3.5 year gruelling course, to my horror I saw the glaring question on the application for chartered membership. Despite the fact it filled me with fear (I felt I could lose my job, life and all my aspirations if it went wrong) and despite the fact that there was no record of the IVA on my file any more (I checked with all 3 CRAs) I felt the only option was to be honest and upfront about it. I declared it and was asked to provide further details, there was an excruciating wait but in the end I'm happy to report all went well and I'm now a chartered accountant.

For the first time I feel genuinely free of the IVA and that's because I faced up to it. I would always advocate being completely honest if and when the question is asked. It caused some terrible worry, but a good professional body (or employer) should realise that circumstances can be difficult in this day and age, that people can make mistakes in the past and learn from them and end up being a better and more responsible person for it.

You didn't want to get into IVA but it happened, you complied with the terms and have every right to want to rebuild your life now. The irony is that those that have been through the process are likely to be far more careful and aware of financial risk going forward - I certainly am. Any understanding person or body should appreciate that. If they don't then it's a very poor show. My advice is be confident, apply, and if asked then be clear and upfront about it.

weby72

I work for a moderately large regional corporate insurance broker, involved in selling specific types of policies to businesses & 'account managing' them; individual policy premiums can be large (my largest client pays over £55k p/a), although I'm deemed not in a 'regulated' capacity. My wife & I entered entered an IVA in 2012 and the prospect of my employer finding out & firing me was terrifying (sleepless nights), and I put it off repeatedly. I knew the FCA (formerly FSA) didn't have an issue with staff like me being in an IVA, but I wasn't sure of my employer's policy.

Things came to a head last year, when the company did their periodical review for the FCA/FSA of staff compliance. They send round a form for all staff to complete, asking about criminal convictions, bankruptcy.IVA, etc, and a random selection is made to run checks on.

I had no choice but to speak with HR, but was worried sick. They thanked me for informing them and explained there'd be no problem; they'd just make a discreet note on my file. That was it. No need for panic after all.

I've actually applied for a couple of other jobs since, both with insurers, but not got to the 'we'd like to make you an offer, so we're going to run a credit check on you' stage, so I don't know if the IVA would scupper my chances. I always, however, am prepared for it doing so.

It's frustrating, because, like most, there is a specific 'tale of woe' backstory to how we came to be in the position we were/are in, and needing the IVA, but that issue is long gone (only the debt remains!!) and has absoltely no bearing on one's ability to do the particular job.

fred98

I've received a formal offer of employment, absolutely thrilled!!

My offer is subject to reference, criminal record & credit checks :-(

I am now terrified that my completed IVA will blow this opportunity!!

I was issued with my completion certificate on 14th Feb, so my name still appears on the Insolvency Register.

Is there anything I can do to get my credit file / the insolvency register updated pronto? I currently have an extremely poor credit score of 250 with Equifax but a fantastic score of 958 with Experian (really confusing). Slowly convincing myself that the employer will withdraw their offer of employment.

Really appreciate all of your comments and support.

Find_The_Real

Sorry to hear that the credit check scenario has come up, if you completed your IVA early it will remain on your file until the 6 years is up and cannot be removed.

At this point I would rather come clean about the completed IVA before the credit check as at least you have shown you are honest with them about the situation, which is what they like. Fingers crossed it is not as bad as you are thinking.

They probably won't even check the insolvency register as most just just do a standard credit check so I probably wouldn't worry too much about that one.

It would have been nice if the company had mentioned the credit check on application rather then wait until job offer.

YorkshireT

It all depends what information they see and what they are looking for. I'm not sure what the restrictions are within the sector, if indeed there are any? If it's just a high level check of the score with Experian then you'd expect to be fine (people have worse scores than that with no previous misdemeanours, purely as a result of applying for credit recently). However you do need to be prepared for the fact that if they are viewing your credit report (separate to just the score) then the report will likely show a public record due to the fact it's yet to expire with the insolvency register.

It's up to you whether you feel it would be best to be upfront prior to the check, or wait to see if it crops up and react then? It sounds like you've not (yet) been asked any direct question about the IVA so I wouldn't have thought you're under any obligation to bring it up proactively. But if it comes to the time where, for whatever reason, there is a requirement to declare then I think you have to be honest and upfront about it for the sake of your peace of mind and professional integrity (which I think should be taken into account)

Whilst it's frustrating that the public record still exists for a short while longer, the ace in the pack that you do hold is that it's complete and you have all the associated documentation to demonstrate so. So if you look at it from a financial risk perspective, your IVA no longer poses any. Had you still been in the IVA then the company may have had concerns about the potential for you to default on your IVA leading to bankruptcy and had to assess that risk accordingly when coming to a decision. However, as a poster above has highlighted, it may then just be a case of making a discreet note on your file to show you've made a declaration and they're aware of it. In any case, you can now demonstrate to them that you have complied with the terms, completed the IVA and now (totally understandably) want the opportunity to rebuild your life personally and professionally. In this day and age I think that has to count for something.

IVA is such a difficult situation. I hate any notion that it's an easy way out of money trouble as it most certainly is not. Unfortunately it is something that leaves the individual open to exploitation from profit seeking Insolvency Practitioners that cream off huge sums that could otherwise have gone to your creditors, but unfortunately that seems to be the nature of the beast and is a paradox that will never sit easy with me. But that's by the by in your circumstances. The fact is that you found yourself in a position in which you had to make an incredibly tough call to enter IVA (nobody wants to be in that position). You took the responsible option, complied with and completed the terms, and now you are trying to move forward. It should not be a life sentence and the employer really should see that.

Rant(s) over and good luck.