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Will my credit score be affected after an IVA?



credit score after IVA

An IVA is a form of debt solution that was designed to reduce monthly repayments into one payment plan that can be paid off over an extended term. They’re typically a great solution for escaping debt that has the potential to lead to bankruptcy, but also have the side effect of adversely affecting your credit score after IVA.

Your credit score after IVA

Your credit rating is your personal financial footprint, which holds a record of all of your past credit and payments, which can help to assess your eligibility to borrow from lenders in the future. However, if your credit score is riddled with missed payments for bills or loans, then it will be noted against you – adversely, any payments that are made on time can help to improve it.

Your credit score is most affected by the amount of loans or credit cards you have had over time – your rating would be weak if you’ve never had any kind of credit in the past, but would be strong if you had credit cards and loans that you never missed any payment on.

Unfortunately, having an IVA does leave a negative mark on your credit rating, but it isn’t permanent! In most situations where someone needs an IVA their credit rating isn’t particularly good anyway, as it will usually involve missed or late payments, while using an IVA will be able to improve your credit score in the long run. Through this you will have the chance to pay off debts you owe and you can start fresh with a new score to your name.

Your credit during your IVA

While you are a part of an IVA you will find it particularly difficult to take out any new credit (and this can even last for a short while after the agreement). However, there are always certain exceptions to situations like this, including:

  • If you own a company, or you’re self-employed and you need access to credit for your business
  • If you’re using credit for any of your living essentials or for specific purposes that relate to your families wellbeing.

However, you’ll usually find that your credit rating is worse than it typically is during the IVA, which means that if you are able to take out any new credit then the interest you’ll be charged will be much higher than usual.

If you’re hoping to take out any credit that exceeds £500 during your IVA then you will have to get written permission from your IP, unless you need the credit to pay utility bills.

What long term effects will be left on my credit score after IVA?

There will be a record of your IVA on the Insolvency Register until your agreement is finished, and it will remain as a mark on your credit rating for six years after the date of the beginning of the agreement. You should always keep these aspects in mind when applying for credit in the future, as even once your IVA is done you’ll find it more difficult to receive reasonably-priced credit.

If you need help managing your debt and are aware that an IVA could be helpful to you, then you should get in touch with one of our agents at Consumer Rights to ensure that you’re managing your debt with a reliable solution. A member of our team will be happy to contact you to talk through the aspects of an IVA with you and determine your eligibility for an agreement – so don’t wait to get in touch.


Flight Delay Entitlement



flight delay entitlement

Having your outbound or return flight delayed can really put a dampener on your trip, as well as potentially being highly disruptive to your business plans. This is not something you need to simply accept and you may well be entitled to compensation depending on the circumstances surrounding your delayed flight such as the causes and the length of the delay. Flight delay entitlement is something which is well worth looking into if you have been the victim of a delayed flight in the past six years, and can go some way to perhaps covering the costs incurred as a result of your delay or simply making up for the inconvenience you have suffered.


Flight delay entitlement doesn’t exclusively apply to delayed flights. You are also well within your rights to claim for a cancelled or even overbooked flight should that match your situation, and the claims process is very much the same.


Flight Delay Entitlement Explained

Here we are going to discuss in more depth your flight delay entitlement. Even if you have suffered a significant delay, you may not always necessarily be entitled to be compensated in the form of money. Your airline will, however, be required to help you out in other ways such as food vouchers to account for the additional time spent in the airport, as well as arranging and paying for overnight stays in hotels should the situation require it. All of this depends on the length of extra time you will need to stay in the airport as well as the reasons for which your flight got delayed.


Your flight delay entitlement may also be impacted by the actual length of your delayed flight itself, but all of this will become more clear as we explain the flight delay entitlement process.


If your delayed flight totals anything under 2 hours you are not eligible to receive any form of compensation, however anything above this means that you may be able to claim reimbursement. For those who’s flight delay was between 2-3 hours you will not be entitled to a financial reimbursement, but you must receive food and drink from your airline, access to a phone or at least some mode of communication and even overnight accommodation if necessary. If your flight is delayed by more than 3 hours you are legally entitled to everything we have already mentioned, as well as actual financial compensation provided that the delay was caused by a fault of the airline. Circumstances such as inclement weather conditions or security issues will mean that compensation will be unlikely. The amount you are likely to gain in compensation typically varies depending on factors such as flight distance, how long your flight was delayed for and whether or not your destination falls within the European Union. You can find out more about the precise amounts which you are entitled to depending on your circumstances here.


If your flight delay totals more than five hours then you are faced with a number of options. You can choose whether or not you wish to still board the plane, and if you choose to do this then you could claim as much as £600 as well as all of the additional benefits we have touched on for flights with a sub-five hour delay. If you decide against taking the flight, which you are also well within your rights to do, then you are entitled to a full refund for your ticket as well as any other flights on your trip which may have been affected as a result.

If you would like more information about the flight delay claims process click here for our comprehensive guide to flight delays and how you can go about claiming what you are owed.

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Were You Mis-sold Your Home?



mis-sold house

Were You Mis-sold Your Home?

Moving house is a testing but exciting time in your life and it comes with its own list of challenges that can be difficult to overcome. The last thing you want to happen is for further unnecessary complications to make the process more difficult than it already is, but unfortunately this is often the case for a number of people and being the victim of a mis-sold house is becoming more and more common.

A mis-sold house might be a concept that you are unfamiliar with, but it affects more new homeowners than you might imagine. Thankfully there are specific requirements which must be adhered to when selling a house and if you are misled in any way during the process of buying a new house then you may be entitled to make a claim.

What Does A Mis-sold House Mean?

An instance which could be classed as a mis-sold house could be when you purchase a new-build leasehold home only to find out further down the line that there are clauses within your lease that you were not made comprehensively aware of. The ramifications of a lease must be made explicitly clear to the individual concerned as it can leave buyers unable to sell their home further down the line due to what they have been tied into.

It can be difficult to prove that any wrongdoing has been made by the organisation that sold you the lease and so it is important to keep a log of any misrepresentation you have been subjected to in order to be able to form a valid and winnable case.

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Was I Mis-sold An Endowment Policy?



mis-sold endowment policy

What Is An Endowment Policy?

An endowment policy is essentially a life insurance policy which is obligated to pay out after a set time period or upon the death of the policy holder. The time frames can vary depending on the age of the individual and the policy itself, and in some cases these policies may pay out upon diagnosis of a terminal illness.

You may be entitled to claim if at any point the terms of the policy weren’t clearly articulated to you when you took it out or if the information you received was inaccurate in any way. Your advisor is obliged to make a full assessment of your financial situation and the levels of risk involved in taking out an endowment policy of this nature, and they must also make the fees and charges involved clear to you as well.

Mis-sold Endowment Policy Claim Time Limit

It is important to note that there are often time limits to consider when attempting to lodge a claim for a mis-sold endowment policy. Typically you will receive a warning letter informing you that there is a significant risk of shortfall, and from this point you will have three years with which to officially make your complaint. You will also receive a letter six months before your end date, and any complaints submitted after this date will be dismissed as being simply too late.

The first step is to contact the company who sold you the endowment policy themselves. There are some scenarios whereby the company who mis-sold the endowment policy actually no longer exist, and if this is the case then the best option is to get in touch with the Financial Services Compensation Scheme to discuss your options in further detail.

Once you have submitted your complaint the company should respond to your query within approximately eight weeks. You may be offered compensation within this response, and if that is the case then you will be able to personally determine whether or not you feel that this is sufficient. If you are not satisfied with what is being offered then you are within your rights to complain to the FOS (Financial Ombudsman Service) in a further 6 month time frame for an independent review.

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