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MRT2: 50 practice questions

Mock format: 40 questions, 60 minutes, pass 28/40 (70%). Answer key on the last page. From cemapexam.co.uk · independent study aid, not an official test. Contains public sector information licensed under the Open Government Licence v3.0. FCA Handbook material is quoted for reference and remains © Financial Conduct Authority.

1. Grace, 78, already has a lifetime mortgage and wants £15,000 more. Which alternative must an adviser consider under MCOB 8.5A.6R?
1. A. A twelve-month regulated bridging loan
2. B. A further advance under her existing plan
3. C. A consumer buy-to-let mortgage
4. D. A regulated sale and rent back
2. Mia's tracker is Bank Rate plus 1.0% with a collar of 4.5%. If Bank Rate fell from 3.75% to 3.0%, what rate would she pay?
1. A. 5.5%
2. B. 4.0%
3. C. 4.5%
4. D. 3.0%
3. Kofi wants to enter an Individual Voluntary Arrangement. Who must he use to set it up and run it?
1. A. A county court bailiff
2. B. An insolvency practitioner
3. C. The Financial Ombudsman Service
4. D. His mortgage lender
4. After Asha's overpayment, her lender lowers her monthly payment at her request. What does MCOB 7.6.28R require before the change takes effect?
1. A. A new mortgage offer with a cooling-off period
2. B. A new full affordability assessment
3. C. A fresh valuation of her home
4. D. Information including the new payment and frequency
5. A shortfall of £14,000 principal and £3,000 interest arose on a sale in England nine years ago. Ignoring any acknowledgement or part payment, what could the lender still sue for?
1. A. The full £17,000
2. B. Nothing at all
3. C. The £3,000 interest only
4. D. The £14,000 principal only
6. When Jack moves his mortgage to a new lender, which step will the new lender normally require?
1. A. A full application with affordability checks
2. B. Proof of his original deposit
3. C. Only a signed switching form
4. D. Written consent from his old lender
7. Seven years ago Ali took a 20% Help to Buy equity loan. Under the 2021-23 scheme, how does the interest fee change each April after year six?
1. A. It rises by RPI plus 1%
2. B. It falls by 1.75% a year
3. C. It rises by CPI plus 2%
4. D. It is fixed and never rises
8. In the law of mortgages, what is meant by the borrower's 'equity of redemption' over the mortgaged property?
1. A. The borrower's right to a refund of fees on early repayment
2. B. The difference between the property's value and the mortgage debt
3. C. The lender's right to sell if the borrower defaults on payments
4. D. The right to recover the property free of the charge by repaying the debt
9. Tom pays 40% tax on savings interest. His offset mortgage rate is 5%. Ignoring allowances, what gross savings rate would match the benefit of offsetting?
1. A. 5.00%
2. B. 8.33%
3. C. 7.00%
4. D. 3.00%
10. Zahid has a diminishing musharaka plan and falls behind with payments. Which MCOB rules on payment difficulties apply?
1. A. MCOB 13, which covers home purchase plans as well as mortgages
2. B. Only the consumer credit rules, not MCOB
3. C. Only the rules on business loans in MCOB 13.7
4. D. None, because home purchase plans are outside the FCA's remit
11. What is the main financial benefit of making a lump sum overpayment on a repayment mortgage?
1. A. The lender waives future arrangement fees
2. B. The property's value increases
3. C. Less interest is paid over the remaining term
4. D. The interest rate is cut permanently
12. After recommending a consolidation remortgage, what must the adviser explain about the suitability assessment under MCOB 4.7A.19R?
1. A. It guarantees the loan stays affordable
2. B. It is based on current and foreseeable circumstances
3. C. It covers income for the full 25 years
4. D. It has been approved by the FCA
13. Hilda has a £60,000 drawdown facility and has drawn £20,000 at 6% a year, compounded annually, with nothing repaid. What will she owe after two years?
1. A. £22,400
2. B. £21,200
3. C. £22,472
4. D. £67,416
14. Erin's debt on repossession was £215,000 including costs. The home sold for £180,000. The indemnity insurer paid the lender £22,000. How much could the insurer seek from Erin?
1. A. £22,000
2. B. £215,000
3. C. £35,000
4. D. £13,000
15. Foreclosure remains one of a mortgagee's remedies. Why is it seldom used against residential borrowers in England and Wales today?
1. A. It may only be used against buy-to-let landlords
2. B. It was abolished for all mortgages by the 1925 Act
3. C. It needs the borrower's written consent to proceed
4. D. Courts usually order a sale instead, protecting any equity
16. Joe has a £90,000 interest-only mortgage and has paid all the interest due. What must he repay at the end of the term?
1. A. Nothing, as interest covered the debt
2. B. Only the final month's interest
3. C. The full £90,000 capital
4. D. Half the capital, with the rest written off
17. Under the ESIS rules, when must a borrower with a mortgage in a currency other than their national currency receive a regular warning?
1. A. At least when the exchange rate moves by more than 5%
2. B. At least when the exchange rate moves by more than 20%
3. C. Only at the end of any fixed or discounted rate period
4. D. Only when the loan balance exceeds the property value
18. Why should an adviser question adding a £1,500 arrangement fee to a 25-year consolidation remortgage?
1. A. Interest will be charged on the fee for 25 years
2. B. Adding fees removes the lender's ERC
3. C. Added fees are not secured on the home
4. D. Fees cannot legally be added to loans
19. Under MCOB 11.6.16R, for a first charge mortgage that is partly for debt consolidation, when must the lender take steps to ensure the debts are repaid?
1. A. If credit-impaired and affordability depends on it
2. B. In every case, whatever the credit record
3. C. Never, as this is the borrower's job
4. D. Only where the debts exceed £10,000
20. Anya buys a 40% share of a £300,000 shared ownership home with a deposit of 10% of her share. How much mortgage does she need?
1. A. £270,000
2. B. £108,000
3. C. £90,000
4. D. £120,000
21. Joan has a drawdown lifetime mortgage with a cash reserve. When she later takes a further drawdown, what is the usual position?
1. A. The rate is set at the date of that drawdown
2. B. No interest is charged on later drawdowns
3. C. Each drawdown must be repaid within a year
4. D. The original rate applies to every drawdown
22. Under MCOB 7.5.3R, what must Jan's annual mortgage statement show about early repayment charges?
1. A. Nothing, unless she asks for it
2. B. The lender's costs of arranging the loan
3. C. The date they end and their cash amount
4. D. Only the percentage rate of the ERC
23. Two loans of £150,000 at the same rate run for 25 years, one interest-only and one repayment. Which statement about total interest is correct?
1. A. Both cost the same interest, because the rate and the term are identical
2. B. The repayment loan costs more interest, because monthly payments are higher
3. C. The interest-only loan costs more interest, because the balance never falls
4. D. The interest-only loan costs less interest, because it has lower payments
24. Ken took out a second charge loan on his home in 2014 and now wants to settle it early. Which rules govern his early settlement charge?
1. A. The CCA early settlement regulations of 2004
2. B. No rules, as the loan is unregulated
3. C. The Equity Release Council standards
4. D. MCOB 12.3, as for any new mortgage
25. A repossessed home sells for more than is owed to the first lender. There is also a second charge. What must the first lender do with the surplus?
1. A. Pay it straight to the borrower and ignore the second charge entirely
2. B. Hold it for six years in case a shortfall arises on another account
3. C. Tell the borrower and pay it out, subject to the second charge holder's rights
4. D. Keep it as a reserve against any future claims made by the borrower
26. Once a repossessed home has been sold, what is the status of any shortfall that a lender or subrogated insurer pursues?
1. A. It is cancelled automatically under the Limitation Act
2. B. It is an unsecured debt owed by the former borrower
3. C. It transfers to the buyer of the repossessed property
4. D. It remains secured on the home now owned by the buyer
27. Under a typical flexible mortgage, when can a borrower usually underpay or take a payment holiday?
1. A. Whenever they wish, with no limits or conditions at all
2. B. Only after the mortgage has been in arrears for 3 months
3. C. Only in the final year of the mortgage term
4. D. When they have built up a reserve of earlier overpayments
28. Some deals are described as 'fee-assisted'. What does this usually mean for the borrower?
1. A. The government pays the first year's mortgage interest
2. B. The borrower's broker fee is added to the interest rate
3. C. The lender pays some costs, such as valuation or legal fees
4. D. The arrangement fee is charged twice over the deal period
29. Which body sets Bank Rate, the reference rate most UK tracker mortgages follow?
1. A. The Financial Conduct Authority's main board
2. B. HM Treasury, through the annual Budget
3. C. The Bank of England's Monetary Policy Committee
4. D. The Prudential Regulation Authority
30. Sunil, of working age, receives SMI. His mortgage is £260,000 and the SMI rate is 3.66%. Ignoring other deductions, how much SMI is paid each year?
1. A. £7,320
2. B. £2,196
3. C. £9,516
4. D. £3,660
31. Marek asks his lender to switch his repayment mortgage to interest-only. What must the lender's written confirmation of the change include?
1. A. A notice that the switch is automatically reversed after twelve months
2. B. A prominent reminder that he should have arrangements to repay the capital
3. C. A guarantee that the change will not affect his monthly payments later on
4. D. A statement that the lender will repay the capital if his plans fall short
32. Ravi's current lender offers him a further advance. Which feature of his situation would most strongly favour this over remortgaging elsewhere?
1. A. His current fixed rate carries a large ERC
2. B. His lender's further advance rate is very high
3. C. He wants another lender's offset product
4. D. His fixed rate ends next month with no ERC
33. In the early years of a 25-year repayment mortgage, what does most of each monthly payment go towards?
1. A. Repaying the original capital
2. B. Building up a separate savings fund
3. C. Interest on the outstanding balance
4. D. The lender's arrangement fee
34. When dealing with a borrower who has or may have payment difficulties, what must a lender tell them about debt advice, where appropriate?
1. A. That only the lender's own team can advise on mortgage arrears
2. B. That free, impartial debt advice is available, and signpost them to it
3. C. That paid debt management firms must be used before forbearance
4. D. That debt advice is only available once possession is ordered
35. Under MCOB 4.7A.6R, which factor must the adviser consider about a product fee when recommending a remortgage?
1. A. Whether the lender's fee is tax-deductible
2. B. Whether to pay it upfront or add it to the loan
3. C. Whether the fee is larger than the broker fee
4. D. Whether the fee can be paid in cash
36. In a murabaha plan the provider buys a home for £200,000 and sells it to Amira for £260,000, payable over 15 years with no deposit. What is her monthly payment?
1. A. £1,444.44
2. B. £333.33
3. C. £1,111.11
4. D. £1,733.33
37. Compared with the lender, what rights does a mortgage indemnity insurer have when it pursues a borrower through subrogation?
1. A. Wider rights, including a fresh 12-year time limit
2. B. The right to re-enter and repossess the property
3. C. Only the rights the lender had against the borrower
4. D. The right to charge a penalty rate on the debt
38. Before issuing possession proceedings, what does the pre-action protocol expect a lender to find out about the property?
1. A. How much the borrower paid for the property originally
2. B. Whether the property is in a conservation area
3. C. Whether the property has a current gas safety record
4. D. Who is living in the property, including any tenants
39. Ewan's lender has a policy of not offering new interest-only mortgages. Ewan is in arrears after losing overtime. Can the lender let him pay interest only for a while?
1. A. Yes, as a temporary concession for a customer in payment difficulty
2. B. Yes, but only after a court has made a possession order
3. C. No, because MCOB bans interest-only for anyone in arrears
4. D. No, unless he first provides a credible repayment vehicle
40. Tom wants an execution-only mortgage to fund his statutory Right to Buy purchase. Can the lender agree?
1. A. Yes, because Right to Buy loans are not regulated mortgages
2. B. No, MCOB bars execution-only sales for a right to buy purchase
3. C. No, unless the discount is more than half the property value
4. D. Yes, provided Tom names the lender and the product himself
41. Which cost is most likely to make remortgaging part-way through a fixed-rate period uneconomic?
1. A. The new lender's buildings insurance requirement
2. B. The early repayment charge on the current deal
3. C. The cost of a new repayment vehicle
4. D. The fee for the annual mortgage statement
42. An adviser identifies a regulated bridging loan as suitable for Lena. What must the adviser make sure she is aware of under MCOB 4.7A.12R?
1. A. She must keep the loan for at least 12 months
2. B. She must make monthly capital repayments
3. C. She must show the lender a credible repayment strategy
4. D. She must take independent legal advice
43. What is the basic eligibility requirement for Right to Buy in England?
1. A. Being a secure tenant with 3 years as a public sector tenant
2. B. Being an assured shorthold tenant of a private landlord
3. C. Being aged 55 or over and living in sheltered housing
4. D. Being a first-time buyer with income under £80,000 a year
44. Which basis must a lender use when setting a charge for administering an account with a payment shortfall?
1. A. A fixed sum matching what other lenders charge for similar accounts
2. B. A reasonable calculation of the extra administration the shortfall causes
3. C. The cost of funding the missed payments at the lender's wholesale rate
4. D. A percentage of the arrears, set to deter customers from missing payments
45. Dan is in arrears and would not meet criteria for a new loan if seen as a new transaction. Under MCOB 4.7A.20G, may an adviser still recommend a mortgage?
1. A. No, unless his arrears are cleared first
2. B. Yes, but only on an execution-only basis
3. C. Yes, if it is more suitable than his current one
4. D. No, advice to customers in arrears is banned
46. What is the main advantage of a fixed-rate mortgage for the borrower?
1. A. The borrower can change the term without the lender's agreement
2. B. Payments stay the same for the fixed period, whatever happens to rates
3. C. There is never a charge for repaying the loan during the fixed period
4. D. Payments fall automatically whenever Bank Rate is reduced
47. Before 21 March 2016, which legislation mainly governed second charge loans to consumers secured on their homes?
1. A. The Law of Property Act 1925
2. B. The Mortgage Credit Directive Order 2015
3. C. The Financial Services Act 2012
4. D. The Consumer Credit Act 1974
48. Grace has a £200,000 offset mortgage at 5% and £30,000 in her linked savings account. How much mortgage interest does she save each year?
1. A. £3,000
2. B. £8,500
3. C. £10,000
4. D. £1,500
49. Leon has a 1.75% discount off an SVR of 7.24%. The SVR then rises by 0.5%. What rate does he now pay?
1. A. 5.99%
2. B. 7.74%
3. C. 6.24%
4. D. 5.49%
50. Where is Kate's Individual Voluntary Arrangement recorded publicly, and when is the entry removed?
1. A. Electoral roll, 6 years after it starts
2. B. Land Registry, when the mortgage ends
3. C. Insolvency Register, 3 months after it ends
4. D. FCA Register, 12 months after it ends

Answer key

1. B — MCOB 8.5A.6R(2) requires the adviser to consider alternative ways of raising funds, including a local authority grant and a further advance under an existing regulated mortgage contract, including a lifetime mortgage.
2. C — Bank Rate plus 1.0% would be 4.0%, but the collar sets a minimum of 4.5%. A collar stops the rate falling below that level, so Mia pays 4.5% and gets less benefit from the cut.
3. B — An IVA is an agreement with creditors in which the debtor makes regular payments to an insolvency practitioner, who divides the money between creditors. The practitioner works out what is affordable and how long the IVA lasts.
4. D — MCOB 7.6.28R says that when a customer requests or agrees to a change altering the amount of each payment, the firm must give, before it takes effect, information including the amount outstanding and the new payment and its frequency.
5. D — Under the Limitation Act 1980 s20(1) the lender has 12 years for the principal, so the £14,000 is still within time after nine years. Under s20(5) arrears of interest must be sued for within 6 years, so the £3,000 interest is time-barred. MCOB 13.6.4R separately required notice of intention within six years.
6. A — A new lender is entering into a new regulated mortgage contract, so it must assess whether the customer can afford it under MCOB 11.6.2R, taking full account of income and expenditure (MCOB 11.6.5R). The exemption in MCOB 11.6.3R does not apply to a new lender.
7. C — Under the 2021-23 Help to Buy scheme the 1.75% fee rises each April by CPI plus 2%. The earlier 2013-21 scheme used RPI plus 1%. In both cases the fee is charged on the original loan amount.
8. D — The equity of redemption is the borrower's right to redeem, that is, to have the property freed from the mortgage by repaying what is owed, even after the contractual date has passed. Foreclosure is the remedy that ends it. In everyday use 'equity' also means value less debt, but that is a different idea.
9. B — Offsetting saves 5% with no tax to pay. A taxed savings account would need to pay a gross rate that leaves 5% after 40% tax: 5% ÷ (1 − 0.40) = 5% ÷ 0.6 = 8.33%. This is why offset mortgages suit higher-rate taxpayers with large savings.
10. A — MCOB 13.3.1R applies to customers with payment difficulties on a regulated mortgage contract or home purchase plan, and to those otherwise in breach of a home purchase plan. The pre-action protocol for possession claims also covers home purchase plans.
11. C — An overpayment reduces the balance on which interest is charged, so total interest falls. MCOB 4.7A.6R(6) requires advisers to consider whether it is appropriate for the customer to make early repayments when choosing a product.
12. B — MCOB 4.7A.19R requires the firm to explain that the suitability assessment is based only on the customer's current circumstances and any reasonably foreseeable changes. The customer should know the advice may not hold if things change.
13. C — Interest applies only to the £20,000 drawn. After year 1: £20,000 × 1.06 = £21,200. After year 2: £21,200 × 1.06 = £22,472, as interest compounds on interest already added.
14. A — The total shortfall is £215,000 − £180,000 = £35,000. The insurer paid £22,000 and may use subrogation to recover that amount from Erin. The lender may pursue the remaining £13,000 itself. Her total liability is still £35,000, split between the two creditors.
15. D — Foreclosure could give the lender the whole property even if it is worth more than the debt. Under LPA 1925 s91 the court can direct a sale instead, so the borrower receives any surplus. Lenders therefore normally rely on possession and sale.
16. C — On an interest-only mortgage the capital is not reduced during the term, so the full amount is due at the end. This is why MCOB 11.6.41R requires evidence of a clearly understood and credible repayment strategy.
17. B — MCOB 5A Annex 2, 5.2R requires the ESIS for a foreign currency loan to state that the consumer will receive a regular warning at least when the exchange rate fluctuates by more than 20%. It must also state any right to convert the loan or renegotiate, and any other ways to limit exchange rate risk.
18. A — MCOB 4.7A.6R(9) requires the adviser to consider whether fees should be paid up front rather than added to the loan. An added fee is secured and accrues interest for the whole term.
19. A — For a first charge mortgage, MCOB 11.6.16R applies where a purpose is debt consolidation and the customer is credit-impaired. If the loan would be unaffordable without the debts being cleared, the lender must take reasonable steps to ensure they are repaid.
20. B — Her share costs 40% × £300,000 = £120,000. A 10% deposit on the share is £12,000, so the mortgage is £120,000 − £12,000 = £108,000. Deposits are usually 5% to 10% of the share bought, not of the full value.
21. A — Each further drawdown is usually a new advance priced at the provider's rate at that time, and the reserve is not normally guaranteed. MCOB 8.1.4R treats taking a further advance as a variation to which the equity release disclosure requirements apply.
22. C — MCOB 7.5.3R(4) requires the annual statement to show the date at which any ERCs cease to apply and, where applicable, the ERC expressed as a monetary amount, as well as the cost of redeeming the mortgage.
23. C — Interest is charged on the outstanding balance. On interest-only the balance stays at £150,000 for the whole term, while on repayment it falls each month. The interest-only loan therefore incurs more total interest, even though its monthly payments are lower.
24. A — MCOB 12.3.5G explains that the Consumer Credit (Early Settlement) Regulations 2004 continue to apply to a second charge regulated mortgage contract entered into before 21 March 2016.
25. C — MCOB 13.6.6R requires the firm, as soon as possible after the sale, to take reasonable steps to tell the customer about any surplus in a durable medium and pay it to them, subject to the rights of any subsequent chargeholders. LPA 1925 s105 likewise passes the residue to those entitled in order.
26. B — After the sale the charge is discharged, so the remaining shortfall is an unsecured debt of the former borrower. The lender, or an insurer using subrogated rights, can pursue it as an ordinary debt, subject to time limits and MCOB 13.6.4R.
27. D — Lenders usually allow underpayments and payment holidays only within limits, often where the borrower has built up a reserve by overpaying earlier, so the account stays ahead of the contractual balance.
28. C — Fee-assisted, or 'free legals and valuation', deals mean the lender meets some of the usual costs of arranging the loan. They lower upfront costs but may come with a higher rate, so the overall cost should be compared.
29. C — Bank Rate is set by the Bank of England's Monetary Policy Committee, which meets regularly to decide the rate in line with its inflation target. Tracker mortgages linked to Bank Rate change when the MPC changes it.
30. A — For working-age claimants SMI helps with interest on up to £200,000 of the mortgage. At the SMI rate of 3.66% that is £200,000 × 3.66% = £7,320 a year, paid as a loan, normally direct to the lender. The interest on the remaining £60,000 is not covered.
31. B — MCOB 7.6.28R(5) requires that, when a customer requests or agrees to a change to an interest-only mortgage, the firm gives a prominent reminder that the customer should have arrangements in place to repay the capital at the end of the term. This warning targets the risk of a capital shortfall.
32. A — A further advance keeps the existing loan in place, so a large early repayment charge on the current fixed rate is avoided. Where there is no ERC, a remortgage may give a better overall deal.
33. C — Interest is charged on the outstanding balance, which is highest at the start, so in the early years most of each payment is interest and only a small part repays capital. As the balance falls, the capital share of each payment grows.
34. B — Since the 2024 changes, MCOB 13.3.2AR(-1) requires the firm, where appropriate, to tell the customer that free and impartial money guidance and debt advice is available, explain its potential benefits and the channels available, and signpost or refer them to suitable sources.
35. B — MCOB 4.7A.6R(9) requires the adviser to consider whether it is appropriate for the customer to pay fees or charges up front rather than adding them to the sum advanced. Adding a fee means paying interest on it over the term.
36. A — Amira owes the fixed resale price of £260,000. Over 15 years there are 15 × 12 = 180 payments, so each is £260,000 ÷ 180 = £1,444.44. The provider's profit is the fixed £60,000 mark-up rather than interest.
37. C — A subrogated insurer stands in the shoes of the insured lender, so it can enforce only the rights the lender had and is subject to the same defences. It gains no new or wider rights against the borrower and, once the property has been sold, has no security to enforce.
38. D — One of the protocol's aims is that lenders check who occupies the property before starting proceedings, including asking whether an authorised tenant is in occupation. The court may then give directions, adjourn or make a conditional order to protect occupiers.
39. A — MCOB 11.6.43R says the interest-only rules do not stop a lender making a temporary concession, accepting interest only, with a customer who is in arrears or at risk of a payment shortfall. MCOB 11.6.44G adds that whether this is appropriate depends on the circumstances, Principle 6, the Consumer Duty and MCOB 13.
40. B — MCOB 4.8A.7R bars execution-only sales where the purpose is to fund a statutory right to buy, where the main purpose is debt consolidation, or for a shared equity credit agreement. Tom must receive advice unless an exception, such as being a high net worth customer, applies.
41. B — An early repayment charge is payable when the loan is repaid in full or in part before a date in the contract, which includes during a fixed rate. It must be a reasonable pre-estimate of the lender's costs (MCOB 12.3.1R) but can still outweigh the saving from a lower rate.
42. C — MCOB 4.7A.12R requires the firm to make sure the customer knows they must demonstrate to the lender that they have a clearly understood and credible repayment strategy. The exit is central to bridging finance.
43. A — Right to Buy lets most council tenants buy their home at a discount. The home must be the tenant's only or main home and self-contained, the tenant must be a secure tenant, and they need 3 years with a public sector landlord, not necessarily unbroken.
44. B — MCOB 12.4.1R allows a payment shortfall charge only if the firm can objectively justify that it is equal to or lower than a reasonable calculation of the cost of the additional administration caused by the shortfall. Charges cannot be used as a penalty or a profit source.
45. C — MCOB 4.7A.20G says different considerations apply when advising a customer with a payment shortfall. Advice may still be given where the recommended contract is more suitable than the customer's existing one.
46. B — A fixed rate gives certainty: the rate and so the monthly payment do not change for the fixed period, which helps budgeting. The trade-off is no benefit if rates fall and, usually, early repayment charges if the borrower leaves during the period.
47. D — Second charge loans were consumer credit agreements under the Consumer Credit Act 1974 until 21 March 2016. The MCD Order keeps some CCA provisions for these 'consumer credit back book mortgage contracts' (MCOB 12.3.5G).
48. D — Without the offset she would pay £200,000 × 5% = £10,000 a year. With £30,000 offset she pays interest on £170,000: £170,000 × 5% = £8,500. The saving is £10,000 − £8,500 = £1,500.
49. A — Before the change he paid 7.24% − 1.75% = 5.49%. The discount is fixed, so when the SVR rises to 7.74% his rate becomes 7.74% − 1.75% = 5.99%.
50. C — GOV.UK says an IVA is added to the Individual Insolvency Register and removed 3 months after the IVA ends. Lenders will see it when assessing future credit.

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