mortgage post-IVA

[beresford]

I was in an IVA from Nov 2006 and finished it successfuly in Nov 2011. I heard it takes approx 6 years for IVA-related debt to drop off your credit file so now we're in Nov 2012 that is six full years from when I started IVA in Nov 2006, so in theory I should be looking clean, shouldn't I??

I have been living with parents for duration of IVA and am still with them. I am looking to get on to the property ladder again next year and want to try and get a mortgage but want to know realistically what my chances are given that I was in an IVA? Does anyone here have any experiences or advices for trying to secure a mortgage post-IVA?

On the bright side, I was approvd a credit card with Capital One earlier this week. I will only use it for emergencies and the main reason I applied was to help rebuild my credit history so it is a little encouraging to know Capital One accpeted me even though though it was one of my creditors listed during my IVA!!

Any advices or suggestions are welcome.

Thanks
Beresford

[Foggy]

Hi. The debts will drop off your record if the defaults have been correctly dates on or before the date of acceptance of the IVA --- this will need to be checked and any remaining will need to be corrected by the creditor concerned.

As for mortgages, it is possible, and out resident mortgage advisor, Ryan, has helped out with quite a few ex-IVA'ers. You will, however, need a sizeable deposit, but Ryan will be able to go into specifics with you.

[TheMatrix]

Highly recommend that you get hold of all 3 credit reports and check to ensure there are no errors and that all your defaults and IVA record have been removed now.

Your chances of getting a mortgage are reduced by the question most providers ask about "ever entering an IVA or arrangement with creditors"

If you answer truthfully, depending on their systems you could end up getting declined on their credit scoring criteria.

Some accept applications straight after IVA completed, 1,2,3,4,5+ years after the IVA completed. Some will NEVER look at anyone in a past IVA. Catch 22.

So options really are

Research yourself to find out which will look at you, regardless of past credit problems.

Or

Go to a broker, who will charge a fee

I want to get on the housing ladder, I'm getting on a bit now and saving like mad to get there and have a long way to catch up but want to get a decent deposit together before doing anything which given the time clear of the iva may help widen my choices later on.

[luluj]

Ryan does come highly recommended and has helped many forum members out - me for one. He is reliable and very honest and will tell you exactly as it is dependant on your own circumstances - his details can be found in the experts list ...give him a call and let us know how you get on.

[Ryan]

Hi Beresford,

As you are nearing the 6yrs and the IVA will then be off your credit file, there will be more options available to you, and you may only need a 10% deposit.
If you would like to discuss this in more detail, please get in touch with me via the experts page on the left hand side

[beresford]

Thanks for your replies. I got my credit reports from Equifax and Experian and even though I am more than 6 years past IVA, 3 of my ex-creditors are still showing as default (muppets!). I think the next step for me is to write to the 3 creditors and ask them to update records to reflect that the accounts are at least partially settled - should I write to the creditors directly or to the credit reference agencies or both?

I live in Nor Ireland and we have a co-ownership scheme here which I might be able to avail of here so would in theory negate me having to save for a hefty deposit. I will still save somewhat towards a deposit and legal fees etc.

Ryan, I think the first thing I need to do to keep my options open in regards to mortgage is clear up my credit file which I am hoping can be improved next year...

It's taken me 6 years to address and finally clear m debts off. I just hope it's not going to taken me that same length of time to get on property ladder!

Regards
B

[Ryan]

Hi,

This is not unusual for the credit reports to register things wrong, so i am sure you will be able to get this rectified. Report these errors to the Data Protection officer at the companies involved and they should sort it out for you.
Good luck with everything, if i can help you more in future please get in touch

[TheArtist]

Beresford, if you email/log a complaint to the CRAs - Headed - I WISH TO RAISE A DISPUTE ON MY CREDIT REPORT - the agencies must seek clarification of the exact position of your account from the lenders/creditors. By law they have 28 days to respond and the agencies have a further 28 days to update your records.