IVA what to do now?

Neilbunter

Hi Guys.

Just looking for some advise if anyone can help....
So I have just finished a 5 year IVA and am waiting on my closing statement which is due to arrive any day now. So now I want to move on with my life and me and my girlfriend are now starting to save for a mortgage. Problem is the bank I have been with for the last 5 years doesn't show up as a current account on credit score company's etc(experian and equifax). So I think moving bank is the best way to go now to improve my credit score and maybe getting a credit card to get my credit score up to a descent level so I may have a chance of getting a mortgage. JUST wondering if anyone else has been in the same situation or knows anyone that can give me any advise????

Many thanks

Neil

mwarby

I wouldn't close the account, at least not in a hurry. You will have built positive internal history with the bank in the last 5 years, where other banks may only see the negative side of your financial history

some alternatives
- upgrade your account, the upgrade may trigger reporting
- open a second account, i use 2 for budgeting
- get an small overdraft with current bank, you don't have to use it
- get a credit card, your current bank might approve you

I'd be very wary of dropping your existing account, just to bump up the score experian etc shows me. If a new account is better for you in other ways go for it

Neilbunter

Thanks for you're reply M Warby.
A few problems I have is my bank doesn't offer savings accounts or help to buy isa. Nor do they offer credit cards or overdrafts. They are called think money and they work as part of RBS. They are a bank set up just to help people that are in debt management. They have said recently that they will start sharing data with credit score company's later on this year but I'm worried that being 32 I need to get moving in improving my credit score so I can get a mortgage in the next few years. Any more advise would be greatly appreciated.

Thanks

mwarby

isn't think money a 'bank account' with monthly fee, if so i'd move for that reason alone. I'd move to a proper bank, get a aqua\capital one\vanquis card and pay it off in full.

I'm in a very similar position wanting to get a mortgage with IVA showing on file till 2020, i'm 33. As far as I can tell all I can do is show responsible use of credit and save as much as possible for a deposit(cant start this for 18 months though sadly)

Thrugelmir

Focus on saving a deposit. Time will heal your credit history. Obtaining new lines of credit is rather like offering someone who has been to AA a drink............

mwarby

Bit insulting perhaps, to assume someone who has had an IVA has\had a credit addiction