www.iva.co.uk

Hello,

I received my certificate of compliance in July and i have sent it to Experian, Equifax and Call Credit and have had confirmation that their records have been updated.

Myself and my partner are now saving for a deposit for a mortgage which will probably take us 18 month to 2 years.

My question is will i struggle to get a mortgage even with a deposit because of the IVA? My partner has immaculate credit history but i am the higher earner.

Should i get a credit card and pay it off each month in order to build up my credit rating or should i just leave it and not apply for any credit before the mortgage?

Thanks for your help and advice.

Hi, I think anything to help with rebuilding your credit history is a good move especially post IVA.

Well done on your IVA completion and you've got your credit records updated which is good.

I think after 18 months to 2 years of saving you should in theory be fine for a mortgage assuming the climate has improved and mortgages etc., are more readily available.

Yes, but pay the card off every month and get a normal rate card, not vanquis as this will show up as a red flag when you apply for your mortgage, cause it is a card which is known for bad credit.

You will have to wait for all the bad credit and IVA to drop off your file but you can start preparing your credit file now.

Before you get the card however check your files with the 3 credit reference agencies to ensure they are up to date and that any defaults have the correct dates so they drop off when the IVA is complete.

inaiva wrote:

Yes, but pay the card off every month and get a normal rate card, not vanquis as this will show up as a red flag when you apply for your mortgage, cause it is a card which is known for bad credit.

You will have to wait for all the bad credit and IVA to drop off your file but you can start preparing your credit file now.

Before you get the card however check your files with the 3 credit reference agencies to ensure they are up to date and that any defaults have the correct dates so they drop off when the IVA is complete.

I think you are wrong about the vanquis card as creditors just want to see a proven track record of payment. Also the vanquis card is often used by people with perfectly normal credit history but perhaps have moved home more often than standard credit card companies like.

Paul

Quite agree Paul.

I don't think anyone looks at what you have, it's what your payment history is like.

It's all those nice zeros they like to see, not who you are paying it to.

I think if that were the case then a completed IVA would be a good example of a good payment history, by making the monthly IVA payments on time.

Somehow though, I think even with that "perfect record" if I applied for a card at my bank as soon as the IVA had finished I'd get turned down.

inaiva wrote:

I think if that were the case then a completed IVA would be a good example of a good payment history, by making the monthly IVA payments on time.

Somehow though, I think even with that "perfect record" if I applied for a card at my bank as soon as the IVA had finished I'd get turned down.

Yes you would be turned down assuming the IVA ran for 60 months,as the IVA and defaults would be on the file until 6 years were up.

Lenders like to see payment history on borrowing not on an insolvency solution!![:I]

Paul

plasticdaft wrote:

Lenders like to see payment history on borrowing not on an insolvency solution!![:I]

I agree which is why I suspect these types of cards aimed mainly at people with past credit problems may just throw up a red flag when it comes to future mortgage applications.

For me, it's not worth the risk.

Hello,

Thanks for the replies and i just wanted to give you Some feedback.

I went ahead and applied for a Natwest Platinum card as i bank with Natwest and thought they may look on me better than others.

It was auto accepted with a decent credit limit - i plan to use this only for monthly fuel and clear it in full every month.

I was expecting to be auto declined and i later found out this is one of the hardest cards to be accepted for so it just goes to show all is never lost.

Thanks again and good luck everyone xx

So glad to hear this!

Fantastic stuff Suzie - best of luck for the future.

Thats great news Suzie and will hopefully give others more confidence when they find themselves in a similar situation later down the line.

Best of luck with the saving and all your future plans.

Regards,