What if I find a debt for a creditor that isn’t included in the IVA?

Always check on Appendix D of your proposal for all creditors that are included in the IVA. If a new creditor comes to light, check that you agree with the amount of the debt and forward the letter onto us. Please also include a covering letter telling us why this debt wasn’t originally included. We can almost always include overlooked creditors.

Note that new debts added into the IVA can decrease the dividend payable to your creditors. Each case is reviewed individually and your Supervisor will tell you what needs to happen next.

How can I settle my IVA early?

Remortgage: There may be more equity in your property than you realise, and a re-mortgage can be a realistic way of ending your IVA early. You may even be able to make a proposal to introduce equity early in full and final settlement of your IVA.

Sale of Property: As with a re-mortgage, there may be equity in your property that would allow you to settle early. Selling your home may seem drastic, but it can mean a fresh start in life. If you are fortunate, you may be able to retain a sum of equity to enable you to start over.

Third-Party Funds: Sometimes a family member or friend will offer a lump sum so you can suggest early settlement to your Supervisor. Most creditors will accept a reasonable offer from your Supervisor, in order to conclude your IVA early.

How will my credit rating be affected whilst in the IVA?

Once you have defaulted on your contractual payments, and received a default notice, this can be registered on your credit file. The default will show for a minimum of six years, so your credit rating is affected during the IVA and for a year after. The IVA is also registered on your credit file. Note that if someone checks your credit rating for another reason, such as a potential landlord, your credit rating may become an issue.

What if I change my mind about choosing an IVA?

Please note that an IVA is a legally binding arrangement and cannot be cancelled once a meeting of creditors has been accepted. Failure to maintain payments towards your IVA could result in a termination of your IVA.

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