Life after IVA

What happens after an IVA has reached it's term is a very common question that we get asked. As with Bankruptcy, the simplest answer is you become debt free and are able to learn the lessons of what not to do and rebuild your life.

After your IVA ends your debt history will be cleared. You are freed of all of the restrictions placed on you by your creditors.

Credit after IVA

Once your IVA has ended you are able to rebuild your credit file. Don't be fooled though, it is not as easy to get credit after being in an IVA. It is not impossible but you have to understand you are a higher risk to lenders as you have previously been in an IVA.

Don't despair though there are lenders available that can help. You generally have to pay a higher interest rate or pay a larger deposit to get a mortgage but there are still options available.

Homes and Assets after IVA

Any new assets you buy will be owned by you. This includes a home, car or any other new assets you acquire.

Bank Accounts

If you don't have an existing bank account you can get an account depending on what you require. Don't think about getting an overdraft in the short term as you have to rebuild your credit. This is something you can request afetr a while to see if you are eligable.

You may have to pay to have a bank account set up fee to get an account. You should have access to online banking, telephone banking, set up direct debits etc.

Pre-paid cards

The latest facilities can offer pre-paid cards which can help re-build your credit file. They may cost a monthly fee like the MASTERCARD XXXX where there is guaranteed acceptance, no credit checks, no bank account required, wages can be paid into it and you can also set up standing orders.

The key thing to remember is life really does continue after an IVA, don't be embaressed, make the most of having a fresh start.