will the IVA affect my renting a house

[andy.t]

i have an IVA at the moment and i am looking to rent a house, will the IVA affect this and is an IVA classed as an administration order, court decree or CCJ

[Sadsack]

Hi andy.t and welcome to the forum
As you are in an IVA, this is a legal and binding undertaking. Initially, your IP would have applied to the court, your local one, for an Interim Order to stop all creditors bothering you, adding interest to your debt etc. So, yes, in effect, this is a court order. If I am mistaken, I am sure that Mel or one of the other experts will correct me.

As for wanting to rent a property, credit checks will be made and as your IVA will be noted on your credit file, it is up to the agents/landlords if they want to rent to you. In some cases, estate agents have asked for up to 6 months rental up-front, some have asked for a guarantor to step up to the plate for you for the same amount of time.

Hope this helps

Sue

Ho Hum! Think I'll bang my drum!

[Oliver]

Andy, what is your current residential status?!!

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[andy.t]

i'm renting at the moment

andy

Andy, what is your current residential status?!!

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[Oliver]

Ok so I am guessing that the question is will there be any problems if you want to move?

The IVA will show on your credit file for a period of six years which will mean that if any one completes a credit search on you they will see this. This will not necessarily preclude you from being able to rent somewhere else but some landlords may look negatively on this. I think the best thing to do would be to be completely honest with any prospective land llord and explain your situation (i.e. that you have entered an agreement to pay your debts back to your creditors). You may find that offering two months rent in advance or a bigger deposit may also sweeten the deal for future landlords, although I realise that this might require the IP giving you a payment break to fund this which is quite usual and would be made up at the back of your IVA. One thing to note is the fact that you must keep your IP informed of your plans at all times and the fact that your creditors may not agree to you moving it it means that you can pay less to them each month because of a higher rent payment.


Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[MelanieGiles]

Just a quick point on Interim Orders, Sadsack, they have not really been used in IVAs since 2003. Notwithstanding this, an IVA is still deemed to be a process of Court.

Ollie is right about landlords. Each one will make their own decision as to whether you are a credit risk. Expect to pay up to six months rent as a deposit if you have an adverse credit rating.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Sadsack]

Hi Mel
I think my IP is backwards in going forwards then!!! I have an Interim Order!!!!! Boy am I lucky to have found her!

Sue

Ho Hum! Think I'll bang my drum!

[MelanieGiles]

Was this because you had looming legal action against you pending - ie charging order, bankruptcy petition at the time you proposed the IVA?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Sadsack]

No not at all. I had never missed a payment to any of my creditors until the IP told me not to make anymore payments to them which was August last year.

Sue

Ho Hum! Think I'll bang my drum!

[MelanieGiles]

Stranger and stranger!!!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Sadsack]

You got it in two words!!! Don't you ever sleep?????

Sue

Ho Hum! Think I'll bang my drum!