If your credit file is currently fine you should open a new account immediately if you have debts to your current bank. You would then be able to get more facilities including a cheque book but do not request an overdraft.
Michael Peoples wrote:
If your credit file is currently fine you should open a new account immediately if you have debts to your current bank. You would then be able to get more facilities including a cheque book but do not request an overdraft.
I have successfully set up a 'neutral' bank account, but gave in to a bit of pressure to take out a £200 overdraft. Should I cancel it, or just be a good boy and never use it?
It would be pointless to cancel it. You can obtain small amounts of credit in an IVA but it would be better to keep it as a buffer. With no overdraft facility the slightest mistake could lead to interest and charges whereas if you went into your buffer you would be fine.
Sort of answers a question I have been puzzled with to be honest, I opened a new account with the Co-op (anyone needing to get a new bank in the process of an IVA proposal try them out, they are really nice compared to most other "international" banking operations)
I did not ask, want or expect an overdraft and am not intending or going to use it but when the paperwork came through it came with a £200 one and have been fretting about it since, do I cancel it or just leave it and never use it? (it did go up to £500 at one point which I was concerned over but went back to £200 pretty quickly)
I am with your firm Michael so any guidance would be appreciated, I do not want to mess up the IVA after getting here.
Leave it as it is and just don't use it. As Michael says, it can be used a buffer if you do have a little mishap one month.
As for a cheque book, if you can find a bank to give a cheque book, then go for it.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
