We are temporarily staying at the address of a relative who had an IVA.

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Alena.g

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Post by Alena.g » Sat Oct 25, 2014 8:37 pm
Hello,

My husband's parents had an IVA which has recently finished. My husband has no financial connection to them at all, we are only living at their address temporary whilst looking for our 1st house. My husband's credit history is excellent and we have saved deposit and no debts although when we applied for mortgage in principle bank started hesitating when they saw the address we are living at. What does it mean then? My husband who has no connection to his parents debts, IVA etc. is not eligible for a mortgage and has to pay for parents mistakes? Surely Iva which is related to his parents ant have any affect on his life?
 
 

dancer

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Post by dancer » Sat Oct 25, 2014 11:18 pm
Are you sure it was about the IVA?
Credit history is no longer related to the address (I believe) & is only relative to the individual occupants.
Your husband can apply to the credit reference agencies to 'financially dis-associate' himself from his parents which may help.
 
 

luluj

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Post by luluj » Sun Oct 26, 2014 4:11 am
It might be worth chatting to Ryan or Shaun our mortgage experts on the forum ..their contact details are on the left under ask the experts a question.
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ilikewatch

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Post by ilikewatch » Sun Oct 26, 2014 5:24 am
Are you both on the electoral register at the temporary address? If not, that could certainly affect any credit application.
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ilikewatch

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Post by ilikewatch » Sun Oct 26, 2014 5:28 am
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by dancer


Your husband can apply to the credit reference agencies to 'financially dis-associate' himself from his parents which may help.
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Your husband can easily check his credit files to establish if there is any financial association recorded between him and his parents.
Last edited by ilikewatch on Sun Oct 26, 2014 3:10 pm, edited 1 time in total.
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Alena.g

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Post by Alena.g » Sun Oct 26, 2014 2:44 pm
As I said he has no financial association with his parents and never had. We have already obtained a proof of that from experian. The bank is being unfair by holding our application just because his parents had Iva and bad credit history. As soon as bank sees that address we are temporarily living at they start delaying the application. There is no way my husbands parents mistakes can affect us from getting the mortgage. Totally lost and don't know what to do.
 
 

ilikewatch

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Post by ilikewatch » Sun Oct 26, 2014 3:05 pm
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade><font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Alena.g

As I said he has no financial association with his parents and never had. We have already obtained a proof of that from experian.
<hr height="1" noshade></font>
What about the other Credit Reference Agencies - are you sure that none of them is currently holding any erroneous data? Do you know which CRA/s your bank uses?

If there is no real/erroneous financial association between your husband and his parents, then their previous debt problems should have absolutely no bearing on your mortgage application.

I would suggest that the only way that your temporary address is likely to affect your mortgage application is if either you or your husband is not on the electoral register at the address, or if the electoral register information has not yet been updated (this can take 3 months from when you first register).

Did the bank give you a clear explanation of what the problem was? If not, ask them to supply this in writing.
Last edited by ilikewatch on Sun Oct 26, 2014 3:11 pm, edited 1 time in total.
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ilikewatch

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Post by ilikewatch » Sun Oct 26, 2014 3:28 pm
I guess the only other problem might be if the bank you are using was also a creditor of your husbands parents and they run a fairly indiscriminate internal blacklisting process - I guess this is possible, though a bit far fetched. If this is the case I would assume you would never find out as the bank would be committing a huge DPA breach by disclosing information about your husbands parents financial history to you.

Whatever the problem is, any broker worth their salt should be able to help you easily enough.
"If you think it's expensive to hire a professional to do the job, wait until you hire an amateur."
 
 

Alena.g

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Post by Alena.g » Sun Oct 26, 2014 3:29 pm
Thank you, yes, I think Nationwide is using Experian and after many checks Experian could not find any connection. Yes we are both registered at the address for a long time so this is not the issue. Our morgue advisor has applied for a mortgage in principle for us with nationwide and came back to us saying that bank can see some financial association with someone who has an outstanding bankruptcy order? After calling Experian they confirmed in writing that there was never an association going on between him and his parents. After we have called Nationwide ourselves and they said that they have passed our case to the mortgage team for investigation. The lady on the phone said she can see that his parents have a poor credit history by the address he is living at and could not even explain anything properly.
 
 

Alena.g

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Post by Alena.g » Sun Oct 26, 2014 3:31 pm
and yes they bank his parents were using long time ago was also nationwide.
 
 

ilikewatch

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Post by ilikewatch » Sun Oct 26, 2014 4:00 pm
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Alena.g

The lady on the phone said she can see that his parents have a poor credit history by the address he is living at
Although it doesn't help you, I would advise his parents to play merry hell with Nationwide for telling a third party about their financial problems - a formal written complaint copied to the Information Commissioner would be a good start.
"If you think it's expensive to hire a professional to do the job, wait until you hire an amateur."
 
 

Alena.g

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Post by Alena.g » Sun Oct 26, 2014 4:02 pm
Also, do you think Nationwide will give us a mortgage as this is inappropriate to reject someone on the basis of his parents IVA and etc? or its better to switch banks and try another bank?
 
 

ilikewatch

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Post by ilikewatch » Sun Oct 26, 2014 4:55 pm
I don't know what the legal situation is, but I would have thought that Nationwide are well within their rights to decline a mortgage for any reason whatsoever, including the previous financial conduct of someone that you're currently sharing a property with.
Personally, I would think that a good whole of market broker would probably get you a better deal from a different provider anyway - and by using their professional experience and judgement they wouldn't trash your credit rating by running multiple searches.
"If you think it's expensive to hire a professional to do the job, wait until you hire an amateur."
 
 

Ryan

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Post by Ryan » Mon Oct 27, 2014 12:15 pm
Hi the best way to deal with this world be to Disassociate yourself from your parents financially. The credit reference agencies even have forms to do this.
Contact wwwcredit expert.co.uk
www.equifax.co.uk
www.noddle.co.uk
You will be able to see how you are connected and just in case there are any issues on your
Be happy to help you get a mortgage with another company if you neeed help
My contact details are below
Ryan Radford
IVA Mortgage Expert
Zebra Money Centre

IVA Mortgage advice needed? Looking at Right to Buy and completed IVA still on credit files ?

Contact me at http://www.ivamortgageexpert.co.uk or via the expert page
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