Please contact us as soon as possible. We know these conversations can feel difficult – but you’re not alone, and our dedicated Vulnerability Team is here to support you with care and practical guidance.
Your Insolvency Practitioner (IP) may speak to your creditors and request early completion of your IVA on compassionate grounds.
If you receive a financial windfall – such as inheritance, compensation or lottery winnings – you'll usually need to pay all of it into your IVA.
Because your creditors have agreed to write off part of your debt at the end of your IVA, any extra funds must be considered.
If the amount's large, you may be able to offer an early Full and Final settlement.
If friends or family want to help with a lump sum, creditors may accept it as a settlement offer. It doesn’t have to cover everything you owe, but it must be fair and reasonable.
Yes - you can ask to offer a lump sum as a Full and Final settlement.
- Your creditors will vote on the offer at a Variation Meeting.
- Even if accepted, your IVA stays on your credit file for six years from the original start date.
- It remains on the Insolvency Register for three months after completion or termination.
Early settlement can give flexibility, but you'll still need to rebuild your credit after it completes.
- Forgotten debts: If a debt was missed at the start, it may still be possible to add it. Sometimes a second Creditors’ Meeting is required if the debt is significant.
- New debts: If you’ve taken on new borrowing since your IVA began, contact us immediately. We’ll explain your options and what this means for your arrangement.
No. Creditors included in your IVA must stop:
- chasing you for payment
- adding charges
- starting legal action
Your essential assets, like your home and car, are protected as long as you maintain your arrangement.
An IVA may fail if:
- payments stop and you don’t get in touch
- you don’t follow the agreed terms
If it does fail, creditors may restart contact and reapply interest and charges. Talking to us early gives us the best chance of keeping your IVA active.
You can help keep your IVA on track by:
- making payments on time
- letting us know about changes in your income or circumstances
- completing each annual review
Your IVA could be rejected if:
- creditors don’t accept your offer of repayment
- income or budget information is incomplete or unclear
If this happens, we’ll explain your options and support you with next steps.
Creditors representing at least 75% of your total debt value (of those who vote) must approve your proposal.
Being open and accurate about your finances helps us create a strong proposal. If creditors request changes, you’ll have a chance to review and agree before anything is finalised.
If you’re struggling, contact us straightaway. We may be able to:
- temporarily reduce your payments · give you a payment break
- explore other options
It’s important to note that if we reduce your payments or give you a payment break, the term of the IVA may be extended.
If you stop paying without speaking to us, your IVA could fail and creditors may resume contact – so reaching out early is always the best approach.
- If everything stays the same, your payment is likely to stay the same.
- If things change, your payment may be adjusted to keep your IVA affordable and fair.
An IVA will appear on your credit file for six years from the date it begins. It will be added to the Insolvency Register and removed three months after completion of the IVA.
- If your partner isn’t named on any debts, they aren’t responsible for them.
- Payments are based on your income, not theirs (unless your partner agrees to contribute to your IVA payments).
- Your essential household assets, such as your home and car, are protected if you follow the terms of your arrangement.
Standard IVA
- Typically lasts five to six years.
- If you own property with more than £10,000 equity, your IVA may be extended for 12 months.
- If you don’t own property or have less than £10,000 equity, your IVA usually ends after five years.
Full and Final IVA
- If you have access to a lump sum (for example, from a property sale or family contribution), you may be able to settle your IVA early.
- These arrangements usually complete within 12 months.
Most unsecured debts can be included, such as:
- Credit cards
- Loans and overdrafts
- Payday loans
- Store cards
- Council tax arrears
You can’t include secured debts (e.g. mortgages), student loans, child maintenance or court fines. These are treated separately to your IVA payment in your budget so you can keep making payments to them as normal.
An Individual Voluntary Arrangement (IVA) is a formal, legally binding agreement between you and your creditors. It helps you repay your debts in a structured and affordable way.
Here's how it works:
Protection from creditors
- Once your IVA is approved, interest and charges on your included debts are frozen.
- Creditors included in the IVA can’t chase you for payment or take legal action.
Affordable payments
- Your monthly payment is based on what you can afford after essential living costs.
- We’ll work with you to complete a detailed budget review to find your surplus income.
- If you’re a homeowner, your IVA may be extended by 12 months, depending on how much equity you have.
Communication handled for you
- We prepare and submit your IVA proposal to your creditors.
Once approved, we manage ongoing creditor communication and distribute your monthly payments.
Debt written off at completion
- When you successfully complete your IVA, any remaining unsecured debt included in the arrangement will be written off.