Being in an IVA doesn’t mean that you cannot get approved for car or van finance. Understanding what an IVA is and how one can affect your ability to be approved for finance, are the first steps to consider. Moneybarn’s IVA guide is here to help.
An individual voluntary agreement (IVA) is a formal agreement to repay your creditors at an amount you can afford. This can be a one-off payment known as a lump sum IVA or over a longer period to spread payments which usually lasts five or six years.
If you are currently in an IVA it can make it difficult to take out a new credit agreement, such as car finance. However, it’s not impossible.
Being in an IVA shows that you are committed to resolving historical credit issues, but you may still find it hard to get finance. You may need to use a specialist lender such as Moneybarn, who understands how being in an IVA can impact your credit profile.
Moneybarn has expert knowledge in providing finance to customers who have bad credit or a poor credit score. Our team will ensure that the new finance agreement is completely affordable for you by matching the repayment amount and term to suit you. The APR will also be calculated to reflect your credit profile.
Representative example: £9,810 repayable over 57 months. 56 monthly payments of £315.69. Representative 31.9% APR. Total amount payable is £17,678.64.
Subject to affordability and you could risk losing your vehicle if you do not keep up payments.