www.iva.co.uk

Hello. I had a IVA which started in September 2006 and ended July 2011 and obviously stated on my record officially until July 2012 (however it didnt but I recently got it updated) I have found out by doing my credit report that I have a default from an unpaid £28 mobile phone bill which is the call usage after the contract ended but at this point I had moved out of the property they would have sent the correspondence too. Right to the point now, myself and partner have found a property and want to get a mortgage. Do I have to declare that I have had an IVA? It is no longer on my record. Any advice for me after a IVA would be great. Who may give us a mortgage?

It may be worth approaching a whole market broker who will point you in the direction of lenders who dont ask about IVAs. However as you have a default on file you may also find that this may put some lenders off.

Under the expert section you will find details of two brokers that post on here

We have a couple of mortgage experts on forum: Ryan and Shaun. Their details can be found under the "Ask a Question" button ( top left) and scrolling down the resultant page.

As for declaring -- it depends upon how they ask the question: Are you in an IVA -- No. Have you EVER been in an IVA -- Yes.

Even with it off the files lenders do keep their own internal records and swap information, so a lie could be detected and that could scupper your future chances.

Foggy I agree that an honest answer is the best approach but surely there is an arguement as to whether banks are allowed to ask the question in that format given that the information in most cases is a matter of public record for only 5-6 years and on statutory records for 6 years. Bankruptcy is different as that can always be seen. It would be like insurance companies asking 'have you ever had any motoring offences'. They can't ask it that way they can only ask it for the relevant period that they remain on record. So surely banks should only be able to ask 'have you ever been bankrupt' and 'have you had an iva in the last 6 years' When it comes to CCjs for example banks don't ask have you ever had a ccj, it's have you had any in the last 6 years, so why not the same for ivas?

I have no idea Chrissy -- but I guess when making a mortgage application you aren't in a position to argue over the wording.

Lenders are and do set their own criteria - which changes continuously. There no automatic right to a mortgage, so if you want a mortgage you have to meet each individual criteria. Previously been an IVA myself and recently moved house myself , I do agree it frustrating that some lenders will automatically refuse an application regardless of when the IVA finished. That is why I would also recommend using a broker when applying for a mortgage after finishing an IVA

Chrissy - an honest answer isn't only the 'best' approach - it's the ONLY legal approach.

If the question is asked, you must answer it honestly, or you commit fraud. It's up to the lender what criteria they use; if they wanted to ask you whether you've ever owned a dog they could.

Essentially a lender's attitude will be 'if you don't want to answer the question, don't apply'.

Hi Michelle,
Happy to look in to this for you if you can get in touch directly, my details can be found under the experts tab on the left hand side of this page

It's a regular debate but I support all of the previous responses entirely. In any event you are much better advised to find a lender who will entertain your application 'legitimately'. Either Ryan or myself (or both!) will be happy to give you some additional guidance.

Hi

It is a difficult question but one that has to be answered truthfully if asked

Shaun/Ryan, I have sent you both an email

Regards

Hi,
I totally agree with Andy, if the question is asked, you must answer this honestly as yes and then see how the lender will treat the application.
A good whole of market broker should be able to help you with this