Mortgage/Credit Score/IVA completion pending.

[Mystcb]

Hi

A little history (although I have posted before about something else), I started my IVA in July 2007 (started paying early in the year, Jan or Feb), and my last payment was successfully completed July 2012. However my IVA has been held open while PPI claims are being dealt with, and while I was sent the completion forms to sign off with ClearDebt in December 2013, due to a change in the law, my IVA still stays open. (and listed on my credit score).

Question is, what are my changes of buying a house (ignoring the amount needed for a deposit for the moment), or even how long it would take for a credit score to recover once the completion certificate is sent to me. (All the previous debt records have dropped off as they are over 8 years old now).

As it stands no one seems to know if or when I will get a completion certificate, so this could take a LONG time from what I can tell.

Thanks

Colin

[MelanieGiles]

Your credit file will be updated once you have the completion certificate, and it is unlikely that you will be able to secure a mortgage on favourable terms until that event takes place - but do take specialist advice on this from an independent financial advisor.

[Mystcb]

Thanks for the response Melanie, just wanted to check though. Currently the only "bad" part of my credit score at the moment is the listed CCJ (all the other "bad debt" has dropped off my credit score), how quickly would that CCJ vanish once the update has happened?

I think the question I should be asking is would the CCJ have to stay on my credit score for a year past the update, or will it naturally vanish as the CCJ is was placed on there in 2007.

Thanks for the quick response!

Colin

[MelanieGiles]

CCJs should drop off six years after they have been registered.

[Mystcb]

Thanks for getting back to me again.

Sorry for all the questions, just want to make sure I am clear in my own head!

The CCJ still shows as "open" (there is no completion date on it) due to the PPI claims that are going on, so it was registered on my credit score in June 2007 (so we will be getting close to the end of the 7th year on my credit score). I am guessing what you mean is that when it is registered as complete it will immediately drop off (of course pending the month or two it takes the credit companies to catch up). Or will it be 6 years from when the update to say "complete" happens?

Sorry about this, just wanting to be sure.

Thanks

Colin

[MelanieGiles]

As I have previously stated - the CCJ should drop off after 6 years. The IVA will remain on your file until it has closed, and yes it should immediately drop off.

[Shaun Vickery]

Hi Colin. Is the debt relating to the CCJ included in your IVA?

[Mystcb]

Sorry I didn't respond quickly, I ended up in hospital with a pneumothorax and been somewhat resting since!

Thanks for the information Melanie -- I had a feeling you were saying that, but just wanted to be 100% sure!

Shaun - The CCJ was added to my credit record as part of the IVA (it relates to the IVA itself), I do not have any CCJ's relating to debt in anyway (all debts I had at the time were pushed into the IVA).

Thanks

Colin

[luluj]

Hope you are now recovered .... Make sure you rest !