Starling bank

Mazz323

Hi I'm currently in the stages of having to do an IVA...It seemed the best option for me. I have a starling bank account with no debt attached to it, which is in credit. Does anyone know if starling will automatically close this once an IVA is registered on my credit file?

sourcrates

Hi,

Banks are slightly more flexable with IVA`s, plus they won`t know unless they credit check you, the IP does not automatically inform your bank if they are not a creditor, its not the same as bankrupcy.

You should perhaps try to mitigate any problems by opening another basic account, with a bank with whom you have no debt, Monzo for example are very easy to bank with.

Are you sure IVA is the way forward, do you want to quickly run your situation past me ?

Mazz323

Thanks for your comment, yeah I've done a fair bit of research with the IVA. I think It's realistically the only way forward, Corona virus, reduced sales tipped me over the edge. A dept repayment scheme would take until I retire and bankruptcy sounds worse to me. 
Thanks again

flipflopflo

Just out of interest can I ask which debt charity you consulted to help make your decision?

fatbelly

You may be overly negative about bankruptcy (or been fed that by an IVA company). IVAs are insolvency for someone with an asset (like a house) to protect. 

If you are not a homeowner then you should know that in bankruptcy you only pay your surplus income for 36 months whereas in an IVA it's 60. If your income drops you risk the IVA being terminated and you're back to square one. In bankruptcy, you just stop paying. The bankruptcy completes anyway.