www.iva.co.uk

Is it true that Lloyds withdrawing banking support for their account holdres that in IVA's

Hi and welcome

I think it is true i'm afraid

There are other banks that will help though, just enquire about a basic bank account

Regards

The co-op no longer accept IVA'ers either I believe.

This was the subject of an 11 page thread about a year ago. Did it happen and how come it's surfaced again. Am I missing something?

http://www.iva.co.uk/forum/topic.asp?TOPIC_ID=50132

It could be that it has taken time to implement this due to the Lloyds / TSB split?

I can find nothing on the internet and the other thread never identified anyone being forced to close their accounts. Has something new been announced?

I am not surprised about this latest development: LLYODS are the biggest bunch of sharks out there ! ( our main creditor )

However! How are they able to identify account holders in an iva?

In a couple of words, if they are not in the same group as one of the creditors, the Insolvency Register !

Yes I know that!!
But surely that would mean they would have to check every single current customer to see if they are on the insolvency register? Because let's face it LLYODS bank are not a bank to approve bank accounts to new people who are in iva's & they certainly do not keep on customers who have entered into an iva & who owe money to them who are banking with them.

We switched from LLYODS to another bank well before our iva went through: but my understanding of this is that say for example our our new bank decided to " iva" check all their current customers, we would effectively have our bank account withdrawn from us ?

How can it be right for them to do this? Like I say LLOYDS are SHARKS ,cornering & circling round their prey....

Some banks are happy to keep on IVA customers, at least for a basic account -- others, as we are finding out, are not.

It is a relatively simple matter for them to use computers to trawl customers against the IR and flag up miscreants.

As for the morality ... the bottom line is that they can decided their own criteria as to who they will accept as customers. However, in my mind, it is sheer hypocrisy to exclude those of us with financial difficulties --- the banks themselves have been bailed out big time. Pot calling the kettle black methinks!

Perhaps there needs to be a co- operative bank set up for iva customers by iva customers?

The whole issue over the co-op Bank was discussed in an earlier thread:

http://www.iva.co.uk/forum/topic.asp?TOPIC_ID=53314

I think the consensus was that if you are going for the 'Cashminder' account you are OK (still best to apply pre-IVA I suppose). It is only customers like me with their 'Current Account' that may be at risk. Even then, I doubt they will do anything unless I abuse the account in any way.

With regards to the Insolvency Register: I recall reading a forum post somewhere in which the IVA customer was told by his bank that the Insolvency Service had notified them of his IVA.

I appreciate that that is hearsay, but: Does anyone know if this is true? If so, the banks clearly don't need to trawl anything.

Hmmm Doesn't seem lawful to me. We will see what happens.

Hi,

About the Co-Op, I opened a Co-Op Cashminder account around two weeks ago. I did it in the branch with the manager who I told I will be entering an IVA very soon. She said they did not care about the IVA & my account is now up & running with my direct debits changed over. I recommend the Cashminder, was quite an easy process to open.

Yes but! How do the insolvency service know who you bank with? Surely that would mean they would have to check your credit file to find out that information? & if that was the case they'd have to gain our permission to do that.

Oh & sorry what I mean by co-operative bank is to get a buch people who are in an iva ( or bankrupt) to form their own " co-operative" bank. (In an ideal world!)