Your creditors can sometimes take a little time to update their records after your IVA has been approved. If you receive correspondence you are concerned about, such as court proceedings or bailiff action, please send it to us so we can check whether it relates to debts included in your IVA.
If a creditor contacts you, let them know you are in an active IVA, try to obtain their contact details, and let our team know so we can contact them on your behalf.
Creditors are legally required to issue a Notice of Sum in Arrears annually. This is a statement only and is not a demand for payment.
If a creditor sells your account to a debt purchaser, upload the Notice of Assignment letter to your client portal and we will take care of the rest
You can set up and manage your IVA payments through your client portal under “Manage my payments”.
You can set up a direct debit, update card details, or make payments by standing order. If paying by standing order, please quote your IVA reference.
Payments can be arranged monthly, fortnightly, weekly, on the last working day of the month, or the last Friday of the month.
The fees charged are documented and agreed at the start of your IVA.
IVA fees usually include the Nominee Fee, Supervisor Fee and related expenses, often called disbursements.
Fees are deducted from your IVA payments, third-party funds, or other assets recovered by your IVA Supervisor in line with the agreed IVA terms.
An annual review checks that your IVA remains affordable and that your income and expenditure are up to date.
Each year your Supervisor reviews your financial circumstances and reports to creditors on the progress of your IVA. You will also receive a copy of the report.
The review can usually be completed through your client portal. We will contact you before your IVA anniversary date to explain what documents are needed.
Depending on your circumstances, we may be able to offer a short-term payment break while you look for new employment.
If you receive redundancy pay, you may need to pay some of it into your IVA. Please contact our team so we can explain what applies to your situation.
If your circumstances change, please let us know as soon as possible.
This could include moving home, starting a new job, losing employment, illness, bereavement, or changes to your household.
You can update your income and expenditure through your client portal, and our team will review your circumstances to see what help may be available.
If you are struggling to make payments, please contact us as soon as possible.
If you miss the equivalent of three months’ payments, you may be in breach of your IVA and your IVA may be at risk of failing.
Depending on your circumstances, we may be able to agree a payment plan, add arrears to the end of the IVA, or consider a payment break.
If you receive a bonus, commission, or pay rise while in an IVA, you must notify your Supervisor within 14 days.
You may be required to pay some of the extra income into your IVA, depending on the terms of your arrangement.
For regular salary increases, your income and expenditure may be reviewed to check affordability going forward.
If you receive a windfall or become entitled to an asset during your IVA, you must let us know as soon as possible.
You may usually keep the first £500, but the remaining amount may need to be paid into your IVA.
This may not reduce the length of your IVA unless there is enough to pay your debts and IVA costs in full.
You may be able to get car finance during your IVA, but this must be authorised by your IVA Supervisor.
You will usually need to provide an agreement in principle, details of the repayment amount, insurance and tax costs, and updated income and expenditure information.
Your IVA may protect your property, and you will not normally need to sell your home unless this is specifically required by your IVA proposal.
A restriction may be placed with the Land Registry so that your Supervisor is notified if there is a remortgage or sale during the IVA.
Your IVA may require an equity review in the final six months of the arrangement.
A breach notice may be issued if you do not meet the terms of your IVA.
For example, this could happen if you miss payments, fail to provide information, do not complete your annual review, or fail to disclose a windfall or asset.
If a breach is not resolved, your IVA may be at risk of termination.
There are two main ways to complete an IVA early: full settlement or partial settlement.
A full settlement means paying creditors in full, including IVA costs.
A partial settlement usually involves offering a lump sum, often from a third party, to end the IVA early. This requires creditor approval and cannot be guaranteed.
A variation is a formal request to change the terms of your IVA.
This may be needed if your circumstances change, your payments need to reduce, arrears need to be addressed, you need further credit, or you want to offer a settlement.
Creditors are asked to vote on the proposed changes.
If you are told your IVA is at risk of failing, contact us immediately.
We will discuss the issue with you and explain what may be possible. Communication and cooperation are key to keeping your IVA on track.
If your IVA fails, you will receive a termination letter and failure report.
Your creditors and the Insolvency Service will also be notified.
Creditors may then contact you directly, add interest and charges, or take legal action to recover the debt.
When your IVA is successfully completed, you and your creditors will receive a certificate of completion and final report.
You may be able to access credit again, although you will usually need to rebuild your credit rating gradually.
An IVA will affect your credit rating.
Once approved, it is recorded on your credit file and usually remains there for six years from the date it starts.
After your IVA ends, your credit rating may begin to improve over time, but you may need to rebuild it gradually.