IVA and debit card

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whitefuschia
whitefuschia Posts: 48 Forumite
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in IVA & DRO
Is someone on an IVA allowed to have a debit card? I ask because I've opened a Nationwide Flexi account (before IVA has started) as recommended on these boards, but it is a cash card only.

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  • taplady
    taplady Posts: 7,184 Forumite
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    I have had a debit card throughout my IVA (just started year 4). It is not credit because you can only spend what is in your account.
    I changed bank just before starting my iva(to a bank that I didn't owe anything to) and opened a basic type account with Lloydstsb.I did tell them at the time that I was going into an IVA.
    Do what you love :happyhear
  • CCCS_Matthew
    CCCS_Matthew Posts: 922 Organisation Representative
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    Providing the account you apply for does not come with any credit facilities such as an overdraft then there is no reason why you cannot have one.

    The only issue is that perhaps some banks may not be willing to offer people that are on an IVA a current account, so it might be worth asking around with the high street lenders to see what they say?
    I am a Debt Counsellor that works for the CCCS and have specific permission from Martin, to post on these boards to try and help those in debt. Read more information on the CCCS and what it does in the Debt Problems: What to do and where to get help article.

    CCCS is a registered charity, and there is no charge whatsoever for any of the services we provide to our clients. We take great pride in offering first class help and advice, but we only offer this where we have been able to fully explore and understand your circumstances with you. We want to help you understand these choices and their possible implications but not make them for you.
  • lexie2005
    lexie2005 Posts: 121 Forumite
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    I have a step account with NatWest & that has a Solo debit card with it & I have found most places take that... They knew we were about to go in to an IVA & we still got the account no problem......
    :grinheart I'm getting there...... slowly but surely
  • taplady
    taplady Posts: 7,184 Forumite
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    CCCS_Matthew wrote: »
    Providing the account you apply for does not come with any credit facilities such as an overdraft then there is no reason why you cannot have one.

    The only issue is that perhaps some banks may not be willing to offer people that are on an IVA a current account, so it might be worth asking around with the high street lenders to see what they say?

    forgot to mention that we have no overdraft.
    Do what you love :happyhear
  • emma280981
    emma280981 Posts: 7 Forumite
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    I am in my second year of an IVA i opened a simple Natwest current account, no overdraft facitily or anything, i didn't tell them about my IVA mind you.

    Regards Emma
  • Rainbow_Butterfly
    Rainbow_Butterfly Posts: 473 Forumite
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    I took out a normal Lloyds account just before my IVA and told them about it. I have a normal debit card, just the same as my husband who didnt have the IVA.

    I was told you are allowed any basic bank account, as long as it has no overdraft, and you do not currently owe that bank, or any of its parent groups etc any money as part of the IVA.
  • Jam_Buttie
    Jam_Buttie Posts: 145 Forumite
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    As my IVA was being processed I opened a basic bank account with Barclays, which came with a £10 overdraft lol.
  • james32_uk
    james32_uk Posts: 1,223 Forumite
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    Back a while ago CitiBank current account was being accepted for many on these boards who had an IVA running. This account comes with a Debit Card and as long as you make sure you do not ask for a overdraft is totally fine for you to use alongside an IVA.
    Debt as at 12th July 2006 - £61,345 :eek: :eek: :eek:
    Debt free 21st Oct 2011.

    All thanks to :money:
  • leanne2402
    leanne2402 Posts: 19 Forumite
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    I have 2 accounts. One current from A&L (with a visa debt and chq book) for my house payment and IVA payments (hence chq book to send overtime payments in) and then a cash account, again with a visa debt from lloyds. The lloyds is a little more restricted as can only take money out of lloyds cash points (in some ways good though as not so included to draw money out if don't need it, or spend what i have incase i can't get to a cash point). Both were aware i was going for a IVA.
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