www.iva.co.uk

Hi All
I am in the very early stages of entering into an IVA, and I have been advised to open a new bank account, which I have done.
I'm due to be paid towards the end of the month, so do I have this paid into my new account and have my direct debits taken from there (minus the creditors that will be in the IVA) or do I wait until the IVA has been accepted?

I had this last month, our IVA got accepted today. Open your new account straight away and move all your DD over minus the ones you are including in your IVA.

Get your new wages paid into the new account otherwise your current bank will freeze your account and keep your wages if you owe them money

Have you wages paid into the new account immediately and cancel all your direct debits to creditors. Make sure you have enough money in your current account to pay your important bills and then set up direct debits for these in your new account as soon as possible. Don't forget to cancel your old direct debits and any money that you save by not paying your creditors you should put in your new account as a contingency fund for when your IVA starts. Hope this helps x

I understand what you're saying, but what happens if my IVA doesn't get accepted?

mitch - if your current bank is not one of your creditors then it may well stay open - we were with both Barclays and Nationwide (Barclaycard was a creditor of the wife) and they are both still fine.

You should try and move to a none creditor though - I presume Barclays was kept open as they are not one of my creditors.

Don't touch HSBC or First Direct though!!

I would get your new bank account operating as quickly as possible. In the unlikely event that your IVA is not acceptable to creditors, the new account can remain as your main account.

We owed £14000 to Halifax and that was my bank so no chance we could stay with them. We went with Natwest, had no problem with them they been brilliant so far

I have opened a basic account with the Nationwide

You have no debts with them no?

No Mitch, never banked with them before

You will be fine with Nationwide - we have an account with them and have no problems.

Hi, just wondering why not HSBC or First Direct? I am trying for an IVA and my current account is with HSBC, Im not in my overdraft and they are not one of my creditors. Do you think it would still be a good idea to open a new account? Forrest Gump - a new bank account will probably make you feel better anyway - it will be like a fresh start and as you won't have an overdraft will be nice that you will be always in credit! X

Do not touch either of them!!!

They are well know for trawling the insolvency register and will shut down accounts of people who are either BR or in an IVA even they are not one of your creditors.

HSBC and First Direct will close your account if you are in an IVA whether or not they are a creditor I believe.

HSBC / First Direct have a reputation of closing peoples accounts when they appear on the insolvency register regardless of whether you owe them money or not.

I recall 1 poster saying they still have their account with them but only 1 out of many who had their account closed without notice.