can current account and debit cards be used in iva

[jen.s]

If someone decide to go for an IVA can they still use their current account and debit cards for payments?

[aguise]

Hi jen and welcome to the forum.
You can keep your accoutn so long as you have no debts with the bank and debit cards are ok as long as they dont allow you to go overdrawn. No credit is allowed in an iva without your Ip's express permission so no overdrafts etc. Most do tend to have loans etc with their bank if you do then open a basic account somewhere else so that wages etc can go from that account. Basic accounts are the natwest step and the ever popular coop cashminder these come with a solo card and on the coop one a visa electron.

Ang

[pjackson]

As long as you do not have or have access to an overdraft, yes you can have a current account in an IVA. The golden rule is no future credit can be taken but the combination of a debit card and no overdraft means this is OK.

A word of warning though. If you have credit with your bank they may cancel your account and take any credit balance to offset their debt. I would recommend you take out a new basic bank account (no references or credit search is done on this type of account but do not be "upsold" by your new bank)with a bank to whom you do not owe any money. Several banks offer a debit card with a basic bank account

For a list and more info see the British Bankers Association website
http://www.bba.org.uk/bba/jsp/polopoly.jsp?d=135&a=632

Hope this helps