cleared our iva told that we still have 5 debts

[simon_b]

Can anyone help me please. We entered into an iva in Mar 04. We cleared our iva in Dec 05 with a remortgage on our house using the equity we had to reach agreement with our creditors. I went to open a bank account this week and was told that we still have 5 outstanding debts! Does anyone have any idea how this could be possible and if there is anything I can do about it.

[ianmillington]

Perhaps 5 of your creditors have not told the credit reference agencies about the conclusion of your IVA. If you can find out who they are then you can get confirmation from the Supervisor that they received dividends then you can either ask the creditors concerned to notify the credit reference agencies or you can do so yourself.

However, the IVA itself will only be removed from your credit file 6 years after its approval.

Ian

[simon_b]

Thanks
I have applied for my creidt file so I should be able to determine who the creditors are, however my only concern is getting proof off my supervisor. They weren't particularly helpful at the time and didn't want to enter our bid to clear the IVA with our creditors when we had the equity. (We got the feeling it was due to the lost revenue they would suffer as we weren't going to be within the IVA for the full 5 yrs). If they are not forthcoming are there any avenues I can go down?

[ianmillington]

I assume the Supervisor gave you a certificate of completion when you finished your IVA?

I suspect you will find when you get the credit file that it's simply a case of the creditors not bothering to notify the credit reference agencies of the completion of the IVA. So long as you notified the IP of all your creditors and they were joined in the process I expect you'll be able to get this sorted by giving a copy of the certificate of completion to the Credit Reference Agency.

ian

[Adam Davies]

Hi
Your credit file will be impaired until MARCH 2010,six years from the start of your IVA.Settling early doesn't mean that yor credit rating is no longer bad.
You can write to each of your creditors and ask them to mark your debt as satisfied but this may still not be enough to satisfy banks that you are a good risk.
Once the six years are up and the IVA is off your credit file you should find that things get better.
Regards

[ianmillington]

I must confess Andy that I had interpreted the question a little differently although I can definitely see where you are coming from. The inference I had drawn was that the credit file made no reference to the IVA and that there were simply 5 unresolved creditor accounts.

The record of the IVA, of course, will not be expunged until it is 6 years old. However, the debts due to the creditors themselves have, I assume, been satisfied. I would have hoped that the credit file would reflect that, but recognise that that may not be how it all works.

ian

[simon_b]

Hi
I'm sorry if I wasn't clear on my earlier posts. I will put it down again and hope that someone can help.

We entered into the IVA in Mar 04 and remortgaged our house raising enough to reach an agreement with our creditors in Dec O5.
The IVA had all our debts in it, there were none who were not involved.
I went for a bank account last week to be told that we had 5 outstanding debts. The bank have said they will open me an account once I produce evidence that the IVA was completed and all creditors were paid.
I understand the debts will show on my credit file but I was under the impression that they would all be listed as satisfied and cannot understand how there can still be some showing outstanding.

[Adam Davies]

Hi
Well if you take in your certificate of completion then that is proof that our IVA is completed,otherwise ask them to check the insolvency register.
Send off,or go online for your credit report,when you have identified the creditors concerned write to the credit reference agencies with a copy of your completion certificate and ask them to contact the creditors and get them to mark the debts as satisfied.
The point that I am really making is that even if you settle an IVA early your credit rating is damaged for six years from when you took out the IVA.
Regards

[simon_b]

Thanks Andy
I was aware of the credit report being affected. I just couldn't understand how I could still be showing as having outstanding debts.
The credit report has been ordered and once it arrives I shall set about getting it sorted.

[johnt]

I was under the impression that even if you clear your remaining debts early, that the six year impairment still stands. My IP made this very clear when I went through with the IVA. Not great news I'm afraid.

simon_b, unless your planning to open a bank with overdraught or credit facilities, you'd be better of getting a simple debit account. You will not be credit reference checked for this.

After going through an IVA, this would be the most sensible option.

Taking out an IVA is a big commitment, and I'm certain your life should be credit or debt free. Don't get drawn into using bank overdraughts and loans again.

[simon_b]

We understood that the 6 year rule would apply. We have no intention of using credit ever again. The bank are happy to open the account they just want proof the IVA was satisfied