Hi,I'm a little confused as to the time scale of being debt free after an IVA.

[Realistic]

Hi,
I'm a little confused as to the time scale of being debt free after an IVA. Some companies are saying 6 years after the start of agreement, others are saying 6 years from the end of agreement.

[Michael Peoples]

You will be debt free once your IVA completes which is normally 5-6 years. Your credit file will be clear 6 yeras after the IVA started irrespective of the length of the agreement.

[Foggy]

Michael's advice above is, of course, dependent upon the issue of the completion certificate, and the correct dating of any defaults. Useful guide here:

http://pjgrecovery.com/clean-up-credit-rating.asp

The 6 years after the end of the agreement possibly comes from the fact that several mortgage lenders apply this time limit on mortgage applications. This is a purely arbitrary time chosen by some lenders.

[Adam Davies]

Hi

Foggy is correct, some mortgage lenders will not entertain a mortgage offer unless there is a 6 year gap from the completion of an IVA

However your credit file should be clear six years from when your IVA started, you can then start to rebuild your credit file/take out credit again

Regards