Crazy but true

[whichwaynow]

My wife and I went in to town to do a bit of window shoping (its the best sort I have now found out). Whilst she was looking at some clothes I wondered in to a The Carphone Warehouse and just looked at the phones I knew I would not be able to have because of my IVA. A sales person came over and asked if they could help. I told them that they would not be able to help me for the next six years as my credit file was now poor. They nodded in understanding but said I could try any way. Well at this point in time I do not want a contract mobile but I thought that intresting to see what sort of decline it came up with. So they entered my details in to their system for the O2 mobile network and to my great surprise it came back as a pass. Now I have been in a IVA since the end of August and now have loads of defaults on my credit file and they were still going to give me credit. Now this may be a good way forward for any one who is looking for a mobile phone contract or even a way to start repairing your file but I just cannot believe that they would give me credit at the moment.
I just hope in two years time when my fixed rate mortgage comes to a end it will be as easy to get a good rate.

[Soulgrowth]

I have always thought that in actual fact the whole point of being in an IVA or being a bankrupt means that we are more in contol of our finances than the vast majority of people who have got a good credit rating based mainly upon the fact that they have lots of credit! This is the irony of it all.

Debbie

www.babynamings.co.uk

www.soulgrowth.co.uk

[Chris.z]

Did you get a phone then!![:)]

Chris

[whichwaynow]

Hi Chris ,
I didnt get a phone. I have got enough outgoings at the moment with new mortgage payment. I will stick with my pay as you go.
All the best .

[sonyse2t5]

Not all creditors will default you even if you are on an iva or DMP. They normaly tell you, and if the debt is sold to a DCA or an arrangement is made then they may not default you.

For my case Capital 1 sent me a default as I did an IVA - they obviously didn't like it -TOUGH!!!

No credit report will say don't give credit to people -it is just a report for lenders to decide. I suppose if you wanted to borrow 10k then I be shocked if lenders will say OK, but for a mobile phone it is perfect responsible for them to say YES

[Soulgrowth]

I am wondering therefore why potential future creditors look so unfavourably on bankrupts then (not that I am thinking along these lines whatsoever) but it seems to me that you can go bankrupt for any number of reasons ... in my case it may turn out to be simply due to a technical issue with one creditor ... and so you would think that bankrupts, who by the very nature of the process, have a greater percentage of disposable income. Of course I can see the obvious reasons but I wonder whether the tide will turn one day given the current state of affairs with levels of debt and how people are dealing with it.

It have never really understood why it is that having lots of credit on your credit file makes you a better 'risk' than not having any [|)]

Debbie

www.babynamings.co.uk

www.soulgrowth.co.uk

[mikebdomain]

Soulgrowth

It's more to do with your previous payment profile rather than the amount of credit that you have. In fact a large amount of outstanding credit can count against you.



FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[whichwaynow]

Hi Mike, I have a fixed mortgage for 2 years with GMAC my IVA will be finished next May . How easy will it be to get a good rate with a high street lender, or will I have to stay with the likes of Gmac for the next 6 years.

[mikebdomain]

Hi whichwaynow,

Obviously any rate you can get will depend on your personal circumstances at the time of application. But it will depend on, when your fixed rate is up, and when your IVA finishes.

If for example your IVA has been satisfied for a year and you have a very good mortgage payment profile for the last twelve months, you should be able to command close to high street rates. You will probably still be with a sub prime lender until your six years are up, but this doesn’t necessarily mean your rates will be any worse than high street.

Most sub prime lenders load their rates slightly lower for each clear six months forward from a satisfied IVA – again, as long as you have a clear mortgage payment profile.


FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[whichwaynow]

Thanks for the reply. My new mortgage should start this week and will be fixed for the next two years. My IVA should be finished next May. So by the time my fixed rate comes to a end as long as my payments have been kept up to date I should still be able to get a good rate. But still not go back to the hight street lenders for a few more years.

[mikebdomain]

That's correct in most cases.

FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[ray_a]

Personally I prefer pay as you go as I have full control of my phone.

I don't make £60 worth of calls and texts anyway!

Again it is down to a personal viewpoint!

[Adam Davies]

Hi Ray
I agree with you and I have a contract phone,3G at £15 per month but my bill always seems to be over £60,however it is nice to not have to worry about how much credit is left.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[maizie]

I have a contract with T-Mobile. If I decided to stay with them when it was up for renewal and wanted to upgrade would they do a search?

Life is far too stressful!!

[whichwaynow]

Money saving tip coming up. I have has quite a few contract phones over the years and going in to a shop is the worse way to upgrade your phone. If you contact you networks C/S and say that you want to leave they will normally bend over backwards to keep you. It might be a free phone or reduced line rental or even both. They rely on the fact that most customers will just go in to a shop/buy of the web.Once you have a contract they do not re credit check you. A example of this was a couple of years ago I had a few contracts going (long story). The networks were allowing me to take up to 10 handsets if I wanted (which I did not). Once you have proved your a good payer they are not bothered.