If you are in the last few months of your IVA, you will be looking forward to making that last payment. It may feel a lot like getting to the finishing line of a marathon…
But when should you cancel your standing order? How long does it take to get your completion certificate? And when exactly are your debts written off?
This article looks at what happens at the end of an IVA.
Are you sure that is your last payment?
With a simple five or six year IVA, possibly with a further twelve months added instead of a remortgage, you may know exactly when your 60th or 72nd payment is going to be made.
But sometimes it’s less clear:
- there may be some payments outstanding if you had a payment break or extra months were added because of additional income;
- a change of IVA firm won’t by itself change the end date, but admin problems could happen so there is more chance that payments are outstanding;
- if you have a house but your IVA firm hasn’t spoken to you about releasing equity, don’t assume an extra year isn’t needed.
So it’s always worth checking with your IVA firm a couple of months before “the end” that Oct 2018 or whenever really will be your last payment.
A final review by your IVA firm
Your IVA firm will do a final review. Most of the larger firms have a special Closure Team that deals with this. Some firms do the review in the last couple of months, others wait until after your final payment.
It’s a bit like your annual reviews. Some firms ask for bank statements, payslips or a P60. They want to check if you had a lot of overtime, a pay rise, a bonus or some other windfall that you haven’t told them about. If you have, you may have to make some additional payment.
Hopefully after this, the firm will confirm that no more payments are needed and you can cancel that STO or DD.
What if they don’t get in contact?
If you haven’t heard from your IVA firm a couple of weeks week after your last payment, I suggest phoning or emailing them. Ask what you need to provide for the final review. The more you are pro-active at this stage, the quicker this will be over.
If they still don’t talk to you, then send them a weekly email. After a month put in a formal complaint.
If you want to cancel your STO / DD, I suggest you put the money you would have transferred into a separate savings account, don’t spend it. That way if it turns out there is still some money owing, you have it right there.
Your IVA firm closes the IVA
Once the Closure team confirm that you have made all the payments, they will distribute the last money to your creditors.
If you haven’t already agreed to the firm collecting PPI after your IVA has finished, you will probably be asked to sign something. If you don’t, the firm may refuse to close your IVA until they are certain there isn’t any more PPI to come – this could be years.
This may feel unfair but they are allowed to do this. If you want your IVA closed, you are going to have to sign.
This closure procedure used to take 6-8 weeks, but sometimes there can be long delays. If your Completion Certificate hasn’t arrived after three months, I suggest asking every few weeks what is happening and whether you need to provide any more information.
If it gets to five months after your last payment, put in a formal complaint to your IVA firm. At six months put in a complaint to the Insolvency Service about the delay in closing your IVA.
At last you will get your Completion Certificate:
- Your IVA is over. The final dividend has been sent to your creditors and the remainder of your debts are written off.
- Your IVA firm will update the Insolvency Register. Your name stays on the register showing as “completed” for three months, then the entry is deleted.
- The Insolvency Register sends the information that you IVA has completed to the three Credit Reference Agencies. The IVA marker will remain on your credit records until 6 years from the start if your IVA. or uuntil it is completed, whichever is later.
- If you have a house, your IVA firm will remove the restriction placed at the Land Registry so you can sell it.
Check everything has been updated
You should check that all the has worked properly. Leave it a couple of weeks and then look up your details on:
- the Insolvency Register – if this isn’t correct, call your IVA firm and ask them to correct it:
- Experian, Equifax and Call Credit – you do need to check all three. If your IVA still shows as active, send a copy of your Completion Certificate to the credit reference agency and ask them to correct it;
- Land Registry – if the restriction is still showing, call your IVA firm.
After this, wait another month, to give your creditors time to update their records.
Then you can start the process of cleaning up your credit file, see How to improve your credit rating after an IVA for details. This will ensure that your defaulted debts disappear when they should and that you start getting positive ticks each month on your credit records.
The process of improving your credit score is exactly the same if you have settled your IVA early.
So that’s the end. Except…
After that, everything has finished. You shouldn’t hear from your IVA firm again. There are two exceptions here.
One is unusual, and if it happens to you it’s good news – see Why have I been sent a cheque for unclaimed dividends? for details.
The other one is PPI complaints. If your IVA has finished in the last few years, you have probably been asked to agree to your IVA firm collected PPI after the closure. If your IVA finished longer ago, your IVA firm may still claim any PPI refunds you apply for, see PPI after IVAs have finished.
How equity release works in an IVA
How long do IVAs last & how many fail
Debt free – what will you do now?
Trudi says
Can anyone help? My IVA finishes next month (yaaay!) But I have 14 months payments to clear additional income arrears after. The IVA company are requesting my P60 & wages slips (no problem) but my argument is that as the actual IVA payments finish next month & I’ll only be paying the additional income arrears after – why should I need to send more paperwork? I could possibly pay the arrears off in one payment as my Sister offered to pay it off to get rid of it. Also – I’m receiving at least 1 text message / 1 email daily! Is this right? Thanks :)
Sara (Debt Camel) says
See the “final review” section in the article above.
Fidelia says
If your sister offered to pay let her do it once cos the more months you stay with iva, the more they will keep requesting for your documents and possibly trying to hold you attached to them for as long as they can. Speak to your insolvency about your sister wanting to pay it off for and see what they say. Also make sure all your communications with them are documented especially emails cos they will try to hold you back when you about to finish.
Sara (Debt Camel) says
Whatever your sister offers, there will have to be a final review.
Sue turner says
Hi. Successfully completed Iva nearly 5 years ago. In the past few weeks have received letter from aperture about ppi and today got a letter from a company called Wilson tarquin. I understand where aperture will have got my details from as my Iva was with debt free direct but I don’t know where this company Wilson tarquin have got my details from. They obviously know about the iva as they reference it. After the completion of the Iva I meticulously spent months making sure that all evidence of the Iva was removed, even to the point of contacting companies to get information removed that they should have done themselves. I now have an extremely good credit score and thought all this was behind me. Is there somewhere Iva information is stored or can it be sold by companies.? Worried that all my hard work might now be undermined if anybody and everybody can use this information. Thanks
Sara (Debt Camel) says
What does this letter from WT say?
Sue turner says
Says that it understand I had an iva and that I might be due to a refund that I might not have been eligible for whilst in the Iva. I presume that they are referring to ppi as they also mention qualifying times. I’m not interested in ppi only in where they could have got this information about me having once had an iva. One thing I did notice is that Wilson tarquin has a Manchester telephone number and so does the letter I received from aperture
Thanks
Sara (Debt Camel) says
You could send WT a Subject Access Request to customer.services@wilsontarquin.co.uk asking for a copy of all information they hold about you. That might give some clue about where they got it from.
Chris Johnson says
We have completed our IVA and have our certificate and all debts are cleared.
However, in the case of my wife we received a letter from a catalogue company and it seems back in the late 90’s she was paying PPI to the company. Something we all overlooked.
She has been awarded £6000 which is great news. However, in the letter it states that we are in an IVA and all money will be forwarded to Creditfix although the IVA has been completed for over 5 months. Can they do this to us?
Sara (Debt Camel) says
You will have to ask Creditfix if the money can come to you, it will depend on the details of your IVA completion and Creditfix’s policy.
Chris Johnson says
I really do not understand this. After all these years of hard work even now they can carry on taking money!
This is really REALLY harsh.
Sara (Debt Camel) says
That is IVAs for you. Although not all IVA firms do this, you need to ask Creditfix.
On the plus side you did have a chunk of your debts written off in the IVA.
Lee says
Can anybody help?
We have just completed a 5 yr IVA, we where told originally that at the end we would have to pay a further 12 months as nobody would re-mortgage us due to having the IVA.
At the end Grant Thornton have told us that we ‘should’be able to re-mortgage and that they have passed our details on to a specialist mortgage provider who specialise in helping people with poor credit history.
They have managed to secure a second mortgage of £5k over the remaining 15 yrs of our resisting mortgage meaning we will actually repay about £14k.
The only other option is if a family member gifts us the £5k.
Is this allowed? It seems wrong that a scheme set up to help people out of debt willingly puts people in to even more debt??
Thanks.
Sara (Debt Camel) says
Hi Lee,
that sounds like a secured loan at about 17% … as you say, not what anyone would expect from a scheme to get people out of debt.
Can you give details about your house and mortgage:
– how large is the mortgage, on interest only or repayment? fixed rate, if yes, when does the fix end?
– how much is the house worth?
– do you both have an IVA? is the house in both your names?
– what are the IVA monthly repayments? have you been managing to make these OK or have you been struggling? would another year cause you difficulty?
Sue says
When my iva dropped off my credit record (6 years we had to wait from start of iva) we went to the bank. Secured a remortgage no problem, at a rate of 3%. If you can hold out until Iva is off your credit history I would.
Darren says
Sue, did you not have to inform them of your iva?
Sara (Debt Camel) says
You have to answer any questions honestly. Almost all lenders will ask about previous insolvency. But some, including some high street lenders, don’t mind once your bankruptcy/IVA/DRO is off your credit record.
Always go through a good broker, don’t just pick a good looking deal and find that lender will reject you!
Stacey says
My IVA was due to be completed on 18th July. I sent all the requested documents. One month on they are now saying we are in breach. This is because my husband started a self employed business last year and they are requesting a tax return form. The business has not been going long enough to do a tax return so has not done one. We have provided bank statements to prove incomings and outgoings. We have made every payment they have asked and have no arrears. What will happen as we cannot provide the document they ask, they say we are in breach and I’m worried what will happen next. Thank you for any help you can offer.
Sara (Debt Camel) says
I suggest you reply to them saying that no tax return has yet been made and ask them what alternative infomration they would like instead.
Stacey says
I have done this and they have not been helpful. They just reiterated that without that the IVA cannot be completed and we are in breach. We have not had a good experience with our IVA company for the duration and were looking forward to finalising it and putting it behind us. We have done everything to the book but because of this one issue I am worried it may all be for nothing. What would happen if we are unable to provide this, will we have to keep paying or go bankrupt etc? Thank you for your reply
Sara (Debt Camel) says
Who is your IVA firm? When did your husband start his business? Does he have an accountant?
Stacey says
It is Vanguard Insolvency. He started 10 months ago. He does not yet have an accountant but will do soon for his first tax return
Sara (Debt Camel) says
It sounds as though they are behaving unreasonably.
Send them a formal written complaint saying they are behaving unreasonably by threatening that you are in breach of your IVA because you have not sent them a document that does not exist and where there is no legal reason why it should exist. Say you are happy to send them any details about the new self employed business instead of a tax form.
Send the complaint to the Insolvency Service gateway if they reject your complaint or do not reply within 8 weeks.
Stacey says
Thank you, I thought they were being unfair but wasn’t sure where I stood so thank you for your help.
Michelle says
My Iva is due to finish in November my circumstances haven’t changed I’ve not got my own house so what should I be preparing to do my Iva is with Varden Nuttal all advice welcome thanks.
Sara (Debt Camel) says
They will probably ask to see bank statements, your last P60 and payslips since the P60.
Michelle says
Would that be my bank statements from now until nov as my last review has just gone through
I’ve never had to provide any bank statements while on Iva so was just wondering if they ask for them for final review
Sara (Debt Camel) says
It’s up to your IVA firm. It is common to be asked for statements.
Michelle says
Ok thanxs.
Claire O'Rourke says
Go bankrupt then save yourself all the stress ,if I did not own house I would of gone bankrupt ages ago .
Sara (Debt Camel) says
That sounds like a very poor suggestion to someone almost at the end of her IVA.
Virginia Gibson says
If you are getting attendance allowance
Which is non means tested should it
Be put as an income on your Iva thanks
Sara (Debt Camel) says
Yes it’s income – but most people also have had additional costs that AA was intended to cover, so they should have been included as expenses.
Jules says
Hi my iva is finished in November, well I think it is, I have received a letter saying that there is no realisable equity in my property and that my iva want be extended to recover any equity, it says that iva will come to an end once all other terms have been met,
I’m with freeman Jones, thay have also sent a letter stating that all my ppi has been claimed,
Just want to know am I finally finished
Sara (Debt Camel) says
As the article above says, there will be a final review by your IVA firm after your last payment.
Julie says
Thankyou, iv also had a payment go in my bank off HMRC for back payments, do I pay this to them as its a tax thing,
And iv starting having child tax credit each week should this be counted in with my income
Sara (Debt Camel) says
It all goes into the “final review” as income. There may also be some extra expenses you have had that weren’t in your previous annual review? Mention these now so they are taken into account.
Lynne Mctaggart says
Hi, I have been reclaiming missold Ppi with the help of a claims firm.One of the companies concerned is stating that that the account was included in an IVA and they are requesting further information about the type of IVA. I have tried to contact the company that handled the IVA and found they no longer exist. They were eventually taken over by Creditfix.. I have spoken to Creditfix and they confirmed that they had taken on none of the firms previous cases. Does this mean that I should be paid back by the bank as the company no longer exists?
Sara (Debt Camel) says
Possibly, but the refund may be set off against the debt that was written off at the end of the IVA.
Martin says
We finished our Iva in April 2019 but have not received our certificate of completion, I have rang on numerous occasions but only get the same answer it’s with our completions team. Do we definitely need this???
Sara (Debt Camel) says
Yes you do need it. It’s not the certificate itself that matters so much, but if your IVA firm hasn’t issued that, then it hasn’t closed your IVA. It will still stay on your credit record and the Insolvency Register forever if they don’t…
See https://debtcamel.co.uk/iva-completion-certificate/ for what to do.
Sally says
I am just coming to the end of my 5th year in my IVA and, because my husband’s income has increased over the 5 years, I have reached the stage where I have actually paid in more than the original agreed debt. What I am paying now is interest and charges. I will be going into my 6th year in the next 2 months as I was unable to re-mortgage to release the equity, my question is at what point is it considered that I have completed my IVA and how much do I have to pay in interest to reach completion? I am aware of the charges that my insolvency practitioner make but they have told me that I am expected to pay 8% per day interest to my creditors, is this correct?
Sara (Debt Camel) says
That would be 8% simple interest per year, not per day. This clause is in some IVAs not all. You could ask your IVA firm (who is it?) where it says in your IVA that this has to be paid.
Sally says
The company is Payplan, they referred me to this passage in the small print: –
“The claims of secured creditors, foreign currency debts, debts payable at a future time, and interest on debts will be dealt with in accordance with the Bankruptcy Rules” and said that “The creditors can make a claim for 100% of the debt plus the 8% statutory interest daily as previously explained. If you are not in your IVA please take into account that creditors would be able to apply their own percentage of interest ( Their APR ) which is likely to be higher than the 8%”
When I asked why this hadn’t been made clear to me at the beginning they said “It is not something we discuss at length when you come into the IVA as it is not normally relevant as few clients come close to this, during the term of the IVA”
I realise that without the IVA I would never have got myself out of debt but still think they should be making people aware of these clauses, whether or not they are likely to reach that stage or not. I have now resigned myself to having to pay for another full year and hope that it will all end smoothly.
Sally says
I am now 7 payments from finishing the IVA and so far have paid over 6k more than the original debt. This amounts to just under 20% over and above the original debt. My IVA company do not seem to want to talk about how much more I need to pay and just keep saying they will let me know when I am getting close to settling the IVA. My husband was not included in the IVA but has made regular payments to one of the creditors as it was the only one that his name was on, they have written to him saying they do not require any further payments from him. My husband says I should just resign myself to paying right up to the end of the year, December is the last payment. However, as we are currently paying just over £700 a month into the IVA that would mean another £4,900 +. I just feel that at this stage and without the IVA my creditors would, by now, have made me offers of paying it off by reducing the debt, so I feel slightly penalised by going down the IVA route. I also notice that when I get individual statements from creditors that I don’t seem to have paid off as much as I would expect to see and that the amount owing is probably still in the region of 25% of the debt. When I have questioned Payplan about this they have said that they haven’t disbursed all of the money yet.
What would be your advise at this stage?
Sara (Debt Camel) says
what was the total debt in your IVA?
and the joint debt – how large was that and how much has your husband paid to it?
Sally says
The original confirmed debt was £32,267.84 which includes a joint debt of £2,800.00, the rest is just in my name.
My husband has paid approximately £630 of this and the IVA payments amount to £38,659.79 to date.
Annabel says
I have just finished my IVA after 5 years of paying it and thinking I was going to
Get my certificate now they are saying I owe an extra 15 percent to my creditors I think this is unfair as I thought it had finished any one else experienced this please
Sara (Debt Camel) says
Why do they say you owe the extra money?
Lisa says
Our IVA completed with Aperture in December 2019!!! Harray! After 7 and a half years.But that is 49k of debt gone,so we feel relieved and happy to be entering a new decade without this over our shoulders. We managed to keep our house and without releasing equity (don’t know how as we have around 100k equity currently in our home. Our house is a tiny two up, two down, and with two children a son aged 9 and a daughter aged 3 we are desperate to move; due to lack of space and bedrooms for each child.I have checked Experian and our credit score has gone up to 999 (excellent max mark is 999) Exquifax only 360 (out of 700) Transunion is 589 (Fair). It says that the IVA has been removed from Exquifax (Clearscore) however it has only gone up a little?? Whereas Experian has shot to the top. We would really like to find out about a new mortgage; if it is possible (desperately hope so) and how much we can borrow, so we can finally start planning for our families future, especially as I am 46 this year and my husband will be 47. Do you think these differing credit ratings will effect our application, or do we need to wait? Also have checked the Land Registry and our house is no longer listed! The Insolvency Register still has our names there but says we have completed our IVA; should our names disappear completely? Will this effect us applying for a mortgage if still on insolvency register even if says ‘completed’? Also we have no missed payments for over a year now.
Sara (Debt Camel) says
Well done!
As this pages says, your IVA will go from the register 3 months after your completion certificate. I suggest not applying for a mortgage before that has happened.
BUT you will have to answer any questions about IVAs or insolvency accurately on a mortgage application – I strongly suggest you go through a broker not direct to a bank.
What is on the Clearscore & Transunion/Credit Karma reports that looks like a problem? All the debts in your IVA should have had a default date of the start of the IVA marked and so should have dropped off years ago – are any still on there? If there are, these need to be resolved before you apply for a mortgage.
Anette says
Hello,
I started my first payment of my 5 year iva on 1st feb 2015. They have reviewed my income and expenditures every year and have increased my iva.
I never missed a payment and no extensions were asked for.
My 60th/last payment was on the 1st of jan 2010. As i have not heard anything from creditfix i have cancelled my standing order.
I have no equity. I dont own a house so it was only loans and credit cards i had. I appreciate bankrupcy would have been better but this wasnt explained to me properly, so i have now made my peace with it.
Is there anything i should be careful in regards to creditfix trying something? Or anything i should look.out for?
Thank you
Sara (Debt Camel) says
I suggest you email them and ask when you will be getting your completion certificate.
And I would always suggest is that you try to save up the IVA payments you would have been making in a separate account until you get your completion certificate. Then if they pop up and say after your last review you owe £x, you may be cross but at least you have the money to hand. And if it’s all fine, then you have a nice little pot of savings.
Suchona says
Hi,
I am deciding to go through IVA, i do struggle a lot to pay it off but just have to work hard for it to pay it off, however i am kind of scared if it is good idea to take IVA as in future i might want to have house or something but was not sure if it will affect me.
I would be very greatfull if any one could direct me int he right path.
Thanks
Sara (Debt Camel) says
This is the time to think about all the implications of an IVA. They are very long formal legal contracts that are pretty inflexible. Once you have started one, you cant Change your mind, it’s on your credit record for 6 years even if your IVA fails – and more than a quarter of IVAs collapse when people can’t manage the payments for such a long time.
An IVA has the same effect on your chance of getting a mortgage in future as going bankrupt. It’s possible, but you always have to tell the mortgage lender you have been in an IVA even many years later.
Can you say a bit about your situation – how large are your debts? What does your IVA firm say you would pay each month? Do you own a house or are you renting? Are you in a good, secure job? Might you need to move or have a child or split up with your partner in the next 5 years?
Then I could suggest what it would be most useful for you to read.
Joe says
Hi, my Iva was competed last year and has now dropped off my credit file, with all but one of the accounts included on it showing as closed and satisfied/settled. What is my best course of action to have the other account that should be set as closed sorted? Do I contact barclaycard the creditor? My Iva company said it would just update but it’s the only one that never has.
Sara (Debt Camel) says
See https://debtcamel.co.uk/repair-credit-record-iva/ which explains what to do.
Mandi says
My husband and I completed our IVA and were discharged January 2020. Today I received a letter from a collection company telling me they’d bought one of our original loans and they’re asking me to contact them to arrange a payment plan with them. What do I do I’m really worried.
Sara (Debt Camel) says
Send them a copy of your completion certificate and tell them any questions should addressed to your IVA firm.
Also check your credit records https://debtcamel.co.uk/repair-credit-record-iva/ – you want all default dates to be correct and all debts to be marked as satisfied/partially satisfied.
Chris says
Yes Mandi, as long as it was included in your IVA, you are secure. When we actually started ours many years ago MANY companies tried to pull a fast one.
DO NOT BE INTIMIDATED BY THESE PEOPLE!
They are just trying to scare you.
Lucy says
So my IVA was with credit fix, just received my completion certificate from them yesterday (last payment was on the 10th March). Just before Christmas I received an email from them saying my annual review was due, so I emailed back asking if I needed an annual review seeing as my end date was so close, the guy sent me over the list of payments I had left and said I need to complete 4 annual reviews otherwise I would fail my IVA. So I said that I have already completed 4 annual reviews during my IVA, then my email was passed onto another member of staff who then threatened that my IVA would fail if I didn’t cooperate, at no point throughout this email exchange I was acting ‘uncooperative’ I was merely asking questions. Anyway I hear nothing from them since before Christmas, my last payment comes around and I’m expecting an email/correspondence/phonecall. Nothing. A few days later my completion certificate turns up.
Don’t get me wrong I am happy that it has finally come to an end, I just can’t believe the lack of customer service and threats they dish out. They also threatened to fail my IVA over not using their bank account checker, I’ve always don’t it via paperwork (I was transferred over from Knightsbridge and I was happy to provide photographic copies of my wages/statements- I don’t use online banking!) for some reason creditfix could not understand this concept! Anyway in light of what’s happening at the minute, I am finally happy that I’m debt free 😊
guy says
Hello.. So I have just made my final payment in a 6 year + 1 year (for no equity in my property). Thats 84 monthly payments. I have submitted my last months bank details and last 3 payslips and income and expenditure forecasts. I have heard nothing from my I.V.A. company (Aperture) but have cancelled my standing order, my account online shows that I have no payments outstanding or due in the future. Would anyone know how long a completion certificate might take to come through and I can finish this long and stressful process ?
Thanks
Guy
Sara (Debt Camel) says
normally it should just be a few months. However it’s hard to say at the moment as many IVA firms will be receiving a lot of requests for payment breaks because of Coronavirus and will – understandably – be giving them top priority.
Mian says
Hi,
I have started my IVA in Aug 2015 and it is based on 60 months plan. Last year after review, they (Creditfix) increased the amount as my earnings gone up. In coming Aug (2020), according to creditfix, that would be my last payment. So in this case, what and when should I expect from them? They usually asked me to login to my bank accounts and then they are retrieving my bank statements directly from there. I actually saved some money for an upcoming event (approximately £800) so will it cause any problem in my final review?
Sara (Debt Camel) says
have your earnings gone up since your last review? Saving £800 in an IVA is unusual, how have you managed to do this?
gman says
I have checked my credit file after my iva has been completed. It looks like one of the companies obtained a ccj the year following the start of my iva is this allowed?
Sara (Debt Camel) says
That shouldn’t have happened if the debt was listed in your IVA. Did you not get the court papers?
How long after the start of the IVA was this? Have you ever heard from the creditor since?
Terry says
Hi.. I started an IVA in June 2007 and made my last payment in June 2012. I pestered and pestered for up to 19 months to get my completion certificate and after hunting my home I’m beginning to believe I gave up.. My IVA was with Varden Nuttall and now 8 years later I am getting firms ringing me about PPI claims that were made with my IVA and they are acting on behalf of Varden Nuttall (who apparently went into administration in 2016). The main question I have is… I am currently at the last stages of a mis-sold pension claim spanning from 28 years ago. The claim has been expertly dealt with by [a claims company] and they have calculated I have been mis-sold up to £125,000 although the maximum compensation can get is £50,000.. The claim is now with the FSCS and they are now questioning the IVA that I told them I had in their questionnaire. I am now desperately trying to get this completion certificate in some form as I feel after 8 years I might still have to pay money to whoever and get nothing?
Sara (Debt Camel) says
“after hunting my home I’m beginning to believe I gave up.”
do you mean you have looked for it and can’t find it? And you aren’t sure if you ever got one?
Jo says
Hello,
I finished my IVA 5+1 year (no equity on a house). I was told that they are going to issue me with completion certificate on 18/5 and i was told as passed my total 6 years I do not have to wait a year until its cleared from my credit file. I was advise to wait a month from receiving certificate and my credit history will be cleared. Is that correct? Also in that case do I still have to wait for months before my name is removed from the Insolvency Register and Land Register or is there any way to speed this up? I want to buy a new house as managed to fi d a great deal but not sure whether it will be possible to proceed within a month from receiving certificate as they were saying? Any thoughts on this please??
Sara (Debt Camel) says
I was advise to wait a month from receiving certificate and my credit history will be cleared. Is that correct?
That is what should happen.
“do I still have to wait for months before my name is removed from the Insolvency Register”
yes. For 3 months your IVA will show as completed before it disappears. this cannot be speeded up.
and Land Register
That can be done straight away by your IVA firm. You will have to ask them how long it will take.
have you checked all the debts in your IVA had already dropped off your credit record or have default dates on or before the start date of your IVA?
Jo says
Hi, thank you for reply. I checked debts on credit record and not sure why only shows one with a default date after my iva started. I started it on 27 dec 2013 and default date on this one thing shows as 2nd August 2014. That mesns is incorrect? Is there anything that I can do about it?
Sara (Debt Camel) says
That debt will drop off on 2 August this year. About the same time as your details will go from the insolvency Service register. You can ask the creditors to correct the default date but that usually takes at least a month or two, so it hardly seems worth bothering now.
Kelly says
Hi my mum has done 5 years on IVA and rang company to see what happens next. They told her she will have to pay another 12 months. Due to equity in her house. She has to sell the house has her interests only mortgage comes to a end and needs to pay the bank £40 k back. The bank want there money in next few months and will take further action if she do not pay back.
Can she still sale house if the IVA has been extended. Or can I take a loan out to pay IVA off. Thank you
Sara (Debt Camel) says
What did her IVA company say would happen at the end of 5 years when the IVA was set up? With an IO mortgage ending in the 6th year, this should have been discussed.
Sarah says
Hello could some please help.
I have a Iva
I have cancelled a lot I have booked on three cards I have.
Therefore I am being refunded to them card that have been cancelled.
What is it that I can do?
Does the money go to them?
Or do I have to chase it?
I’m paying them back so surely that should be deducted from my bill or refunded?
Any advice would be appreciated. Thank you x
Sara (Debt Camel) says
when was your IVA set up and how much is being refunded? Is this a cancellation because of Coronavirus?
were the balances on these card included in your IVA
Anette Haber says
It will go to them but doesnt mean that you will pay less. You signed to have a monthly payment for 5 years and that still stands so you might pay more then you owe.
It happened to me in the second year they put my payments up and i ended up paying more then i actually owed
John says
Hi I taken my iva out in 2012, and since lost my wife and had to take over the mortgage to keep the house’ my iva is due to end in the next 8 weeks so I haven’t informed them I’m now without choice on the mortgage as I would of lost the home I live in where do I now stand as it’s coming to an end and already had the iva for 8 years and dont really want it dragging on any longer as I also wanted to eventually move home now the house is full of sad memories.ive been too scared to say anything and really don’t know where I stand and how much I can afford to pay as I’m now having to pay mortgage payments on my own and they also show up on my bank statements too please help.
Sara (Debt Camel) says
I’m very sorry to hear this – was your wife’s death recent?
Was the IVA just in your name?
Steve says
My iva comes to an end in Aug, the company has written to me with regard to arranging a mortgage to clear the balance, my mortgage was cleared last year, I am retired and I am 70, unlikely I would get a mortgage, if so what happens next
Sara (Debt Camel) says
was your IVA 5 or 6 years?
Jack Jones says
Hi.
I had a failed IVA in 2008. I never heard from the company again and the company no longer exists. I have a restriction on my property and I am unable to transfer the property to another person. There is a name stating that written confirmation is required by this person before the property can be transferred. Is there something I can do after 12 years, given that the IVA failed and was not finalized?? Any information on this extremely stressful circumstances would be gratefully appreciated.
I have looked at my credit file and can not see the IVA. Is there anything I can do regarding this as the company no longer exists?
Sara (Debt Camel) says
you can apply to the Land Registry to remove the restriction. Ask your solicitor for help with this.
Jack Jones says
What about the failed IVA? I started the IVA, which failed on my part and I never heard anything again. I had no contact since 2008.
So will the IVA start over Again? Am I able to deal with this myself or do I need a solicitor? Would I need to contact the original debtors seeing as my IVA failed? I never heard from anybody again but I know I never paid the full amount, in fact hardly anything.
Sara (Debt Camel) says
That is the reason you are applying for the restriction to be removed.
Your IVA has failed – nothing is going to reopen it.
The debts in your IVA will have become statute barred 6 years after your IVA failed. If you are chased for any of them talk to a debt adviser who will explain what you should say to them.
The IVA firm should have lifted the restriction on your house but they failed to do this. It would have been easier if you had challenged them about it 6 months or a year after your IVA failed, but where you are now you need to ask the land registry to remove the restriction. I can’t see how lifting this restriction should result in any of the creditors being contacted.
Jack Jones says
Although I understood the IVA failed I was unsure of what to do next. I never heard anything from 2009. I was never aware until this week that a restriction was put on my house. I never heard anything from my debtors either. Does this mean I have to pay the original debit before I can transfer my house? I’m so concerned about this. Your information has been most helpful.
Sara (Debt Camel) says
To sell your house you need the restriction lifted. Talk to your solicitor about how to do this. So far as I knew it will have no impact on your very old failed IVA.
Jack says
OK are you a solicitor?
or could you represent me on this with the Land Registry? Or is it just excellent advice you give?
Sara (Debt Camel) says
no sorry, I am just signposting you to someone that can help. A solicitor is best, that is not me, you could see if there is a Law Centre near you? Or talk to your local Citizens Advice?
You are surely planning on using a solicitor if you are selling/transferring a property?
Jack Jones says
Yes but I honestly can’t thank you enough for the advice. I’ve been tortured all week with this. Your advice has given me hope. I’ve often thought about the IVA and had sleepless nights about it. Even after all these years expecting a knock at the door. It still concerns me that the IVA failed and I never paid all the money and then this block on my home. I’ll speak to my solicitor and find away forward. I appreciate all your advice and for your replays to my questions. You’re an angel. Thank you.
Guy says
Hello. After 7 years I finally completed my I.V.A. I have a completion notice dated from 17th June 2020. I have just checked the insolvency register and my name is still on it with no mention of “completed” on it. I have checked the land registry and can see nothing to do with an I.V.A. on there. MSE credit check show that I have court data on my record, but not what it is. Clear score states that my I.V.A. has been set aside and will be seen on my credit file until 25 July. Credit karma states no judgement against my name. Is all this within what should be expected or do I need to contact the I.V.A. to remove my name from the insolvency registry? My credit score remains between fair and poor, but I have no missed payments, only using 68% on credit cards and on the electoral roll and have only 6 years left on my 25 year mortgage. Will my credit score change accordingly? with many thanks
Guy Argent
Sara (Debt Camel) says
See the “Your IVA firm closes the IVA” section in the article above.
Guy says
Thank you. I just wanted to check everything was in order. I was a little concerned as to the fact that my name on the insolvency register did not have “completed” next to it.
Thanks again
Guy Argent
Sara (Debt Camel) says
I would give it a couple of weeks and then ask your IVA firm why it hasn’t been updated.
Ian says
Hi. I am in month 70 of my IVA. yesterday my IVA company called and said I owed an extra £909 from extra income that I have received. The only problem I have with this is that I was not informed of this on my last review over a year ago. I have already been paying an extra £30 since 2017. Can the IVA company demand another £909?
Sara (Debt Camel) says
this 909 relates to extra income over the last year? or over the last 6 years?
Ian says
Hi. The lady on the phone couldn’t tell when the extra income was from. The only time I was informed of extra income was in 2017 and I have paid an extra £30 from that point on. I am still waiting for a manager to call me back.
Sara (Debt Camel) says
That is the first question you need to ask. Before the manager calls, you should also think if your expenses have increased as well and, if they have, ask for that to be taken into account.
Ian says
Ok I will confirm this when they call. Thank you.
Von says
Hello,
I have been in IVA from November 2013 to November 2019 (6 years). I had to wait 6more months to get my IVA Closure Certificate which I received in June 2020. Taking IVA is the BIGGEST MISTAKE of my life, I feel this product was wrongly sold and Debt Free staff stitched me considering the fact that my debts were not much (just under £10k).
Could someone please help me on what I need to do to regain a good CREDIT SCORE so I can move on with life? At the moment my bank refused me even an overdraft even though my IVA is finished. Help me please someone
Sara (Debt Camel) says
What still shows on your credit record?
Anette says
You still need another 6 months for it to be removed from your credit score. But in the mean time send a copy of the finished certificate to all the major credit agencies and also check that all the accounts in the IVA have been sent a copy. And eventually your credit score will improve.
If you can try and get a credit card to help you along
Farhad says
Hi There,
My husband and me started IVA July 2014, after 5 years of regular payment we were told to pay another 12 months to protect our home. As we were very much looking to end this debt sentence, we were told by our IP to increase our monthly payments. When we challenged this as why at this almost final month, they said I haven’t made enough contribution. My argument is that they (IP, payplan) calculated our monthly payment and they should have set the right amount to make that required contribution. They are saying they don’t make the final review until few months before end of the 6 years. This doesn’t make sense to me at all. Plus I want to know if I am entitle to see documentation which shows what has been agreed with my creditors. All I know almost half of my yearly contribution goes to payplan for various fees. Is this normal and legal?
Sara (Debt Camel) says
How much more do they say you have to pay?
It is unfortunately common that your IVA firms fees can be 50% of what you pay.
Skelly says
Hi Sara I’ve been on my Iva for 2 years , I’m reading all these horrible story’s on this site and I’m sorry I went on an Iva , I rent my house and my debt were just over £10,000 I really feel I was badly advised on this , as it stand I’ve already paid £9,000 into my plan , it didn’t realise the fees they charge if I did I would never agreed to the Iva , I still have to pay into it for another 3 years , I feel I was misold this what advice can you give me I feel in a worse position than before the Iva
Sara (Debt Camel) says
Are the IVA payments affordable for you?
Elisa says
I have just finished my IVA I have received a letter from Payplan telling me to get indpendent legal advice what is this for.
Sara (Debt Camel) says
can you say more about what is in the letter?
elisa Brady says
it mentions the PPI claims I may have to come back. Then theses an agreement in relation to the outstanding claims. that I have to read.
Section 11 of the agreement is a acknowledgement whethter I have sought legal advice or not.
Louise says
I had IVA I have now been discharged and got my Completion certificate! However included in this iVA was an CCJ what can I do about this ? As the court saying they can’t update it and the Credit company won’t change the Status status of this, I have offered to pay the CCJ off in full but they said they can’t accept payments as I was in an IVA
However I was discharged after 2 & half years from the Iva as I was gifted the money to settled it etc, but whiles in the IVA the company was letting me make payments Direct to them, which did cover the cost of the CCJ then they stop the payment and won’t update my file or let me get this completed?
Sara (Debt Camel) says
When an IVA completes, it is normal that a CCJ continues to show as unsettled.
It’s annoying but it doesn’t really matter – the IVA on your credit record is more damaaging than the CCJ.
whiles in the IVA the company was letting me make payments Direct to them,
That shouldn’t have happened.
Sally john says
Hiya! My iva started in 2014, i paid a lump sum to end it early in 2017. It is due to come off my record and end on 7th october 2020. Once this ends will my credit score go up at all? Or will i have to start building it from where it is now?
Many thanks
Sara (Debt Camel) says
Have all the debts in your IVA been marked with a default date That is on or before the start date of your IVA? If you don’t know, you need to check.
Do you have any new credit that you are repaying with no problems?
Sally john says
Hi
Yes they have been marked are settled
I havent missed a payment on anything since, i have a credit card with a small amount on which i pay and hasnt missed payment or anything
Sara (Debt Camel) says
were all of them settled more than a year ago?
Sally john says
Hi
Yes they was
Thanks
Sara (Debt Camel) says
Then all the old defaulted debts will go with the IVA so your credit score should get a LOT better.
The credit card you are paying will help your score rebuild. The best thing is to pay the card off in full every month automatically – this maximises the boost to your credit score.
Sally john says
Amazing thanks so so much for your help!
Jack Jones says
Is this the same for all IVA? If the IVA is finished or incomplete, the company appears to no longer exist and nothing was ever sent to confirm the IVA completion?. There is nothing on the credit file. Is insolvency different to credit file? How could you get a certificate issued if there has been no contact and the firm no longer exists?
Sara (Debt Camel) says
Did your IVA fail or complete properly? You can check the Insolvency register here: https://www.insolvencydirect.bis.gov.uk/eiir/ – that is separate from your credit record.
Why do you need the certificate now?
Jack Jones says
There is nothing on the insolvency register. There is nothing on credit karma or experian either. Does this mean there is no record of it and I don’t need to declare it? It finished 5 years ago and I never heard again. I have two credit cards but no proof of completion and concerned I’m on a register but unaware of it. Can they still penalise me after 5 years? I thought all records were deleted after 3 years and I no longer need to declare it as there shouldn’t be a record anywhere.
Sara (Debt Camel) says
So this is just some concern that something may pop up in the future?
You should always answer questions honestly. eg on a mortgage application you may be asked if you have ever been insolvent – the answer is yes. There are plenty of mortgage lenders that won’t care about your old IVA as it completed successfully – make sure you ALWAYS go through a mortgage broker and tell them about this old historical problem.
Also if you apply for credit to a lender where you has a debt in your IVA, they may be able to see that from their internal records – so avoid applying to them.
Jack Jones says
So there will always be a record of the debt somewhere regardless of how long ago the IVA completed. Seems a little unfair that records can be kept and used against you. I appreciate some of the debt was cleared but worked hard to clear it. Now, although there doesn’t appear to be any record of it, companies have internal records that can penalise you.
Sara (Debt Camel) says
I didn’t say there will always be a record. I said some companies may have kept old records. You haven’t had any problem so far and many people never do. It is just common sense to avoid these creditors in future.
Jack Jones says
I understand. So for example Halifax were included in my IVA. This finished 5 years ago would I not be able to apply for anything with them ever again? It kind of limits the options for a mortgage in the big names were included in the IVA. When is the official, legal time that all records of insolvency are cleared 3, 6 or 7 years? Without any repucussions so people can get mortgages without hindrance.
Sara (Debt Camel) says
This is why you need to always apply for a mortgage through a broker. This doesn’t have to be a “bad credit broker” that will charge a fortune, just a good mortgage broker who will be able to tell you if *this* lender will care about your old IVA. Many won’t. But it’s silly to just apply to one at random and risk choosing a lender who does care. So go to a broker and tell him about your IVA & what debts were in it.
You ALWAYS have to reply yes when you are asked “if you have ever been insolvent”? No time limits.
Lots of people get mortgages after bankruptcy, IVAs and DROs – this isn’t an impossible task, you just need to be a bit careful.
Wendy Corbett says
I’ve recently completed my IVA. Which is great and I feel like a weight has been lifted. I did the full six years and my IVA is marked as completed on the Insolvency Register. I’ve checked the three credit reference agencies and there is now nothing showing on Credit Karma and Experian and my credit rating has improved dramatically. Not that I’m planning on taking any credit out! On Equifax, however, the IVA is showing as a “previous”. My question is, will this be removed once my IVA is deleted from the Insolvency Register or will it stay on Equifax forever?
Sara (Debt Camel) says
I think it should come off when you are off the Insolvency Register. If it doesn’t, complain!
Can I ask how much your Experian & Trans Union scores went up? Other people reading this love to know real-life examples!
Wendy says
OK thank you. Equifax are not the easiest company to get to update records. TransUnion went up from 530 to 617 out of 710. I can’t really raise this anymore without having credit which I don’t want to do. Also only been in my current address 18 months so it says electoral role needs work. Not sure what my previous Experian score was but it’s now 984 which is excellent apparently. I’m just happy this is finally over, it’s been a hard slog. Just one further question, do I complain to Experian direct? I shall be checking once my IVA is deleted from the register.
Many thanks, Wendy
Sara (Debt Camel) says
do I complain to Experian direct?
to Equifax? yes.
Wendy says
Sorry! Senior moment. Many thanks for your advice and also that provided in your blog. It has been invaluable
gary davenport says
I am 8 years into my IVA and they say that I owe £11000 because of wage rises but when I go onto there website I says no payments outstanding. Freeman Jones they have been awful to deal with, now called Financial Wellness Group calling me at work and i request a call at home which they never do. they have had all my p60s and wage slips and ive not missed payments. sick of having no money to fix the house up
Sara (Debt Camel) says
Why has your IVA gone on for 8 years if you haven’t had any payment breaks? Have you had annual reviews?
harriet says
I have just finished 5 years of an IVA with Freeman Jones (now Financial Wellness Group). Despite never missing a payment the whole time I have been sent a number of breach letters- always call them up and do exactly what they ask (provide statements for mortgage and secured loan on the house). They even sent a breach letter with the letter I received today saying there is realisable equity in my property. I am reluctant to release equity because it feels like saddling myself with additional debt which is why I have been in the IVA in the first place. I know I can pay a further year to end the IVA but how can I get a certificate from the bank saying they won’t remortgage me?
Sara (Debt Camel) says
Just ask your bank to confirm that they will not give you a larger mortgage. An email should be fine.
Jim says
I have just been approved to end my IVA early with a Sprout Loan I have 16 payments left (4,800).
Sprout approved me for £4200, will there be any reason for Creditfix to reject this offer in the variation meeting in the next few weeks?
Just curious to what happens next. Is there anything I should be worried about?
Sara (Debt Camel) says
Creditfix don’t get a vote, your creditors do.
Jacqui says
I have just finished my 6 year IVA originally grant Thornton, then Aperture, now Jarvis.
They want my 2020 tax return, as I am self employed, which isn’t due yet with HMRC..so they said last years return with the last 3 months bank statements.
In the last 3 months I have had low earnings, but was also granted the Government SEISS grant due to COVID19.
The grant plus the earnings will be more than the original income plan.
I was told that they allow a rise of 10% in earnings, but then the rest wasn’t clear, about how much they would take as a lump payment.
The reason my earnings are greater than usual is that I have been making up for lost time and trying to reclaim clients and income that was originally lost.
So if my final payment was closer to the end of year tax return that they originally asked for,and which I would be able to provide, it would , for the year 2020 ..be inline with what income they had for me on record.
Hope that makes sense.
So because my final payment is now, I am worried that they will only see that last 3 months and ask for a lump sum…( they didn’t say what % they would ask for.) instead of taking the whole year into account, which they would if my end payment was later!
Yes I know thatvthat sounds confusing!
Any advice would be gratefully received.
Sara (Debt Camel) says
An IVA dealing with the self employed should be good at making this sort of adjustment. You could perhaps help them by setting out what your income has been in each month for the whole year? And supply all your bank statements to back this up?
alexandra m says
Hi I have started a 6 years IVA in September 2016, I have paid the £75 a month religiously and all my PPI was paid in too. My debts were £9k I have paid in £11k so far. I also get the statement of my debt from my creditors and according to them what I owe them isn’t going down. Last December I ask my IVA how much was left hoping I could paid it back I was told £2k. My IVA company changed in August and I got a letter and a call to say my monthly payments will go up to £125 a months and I still owed £3k. How is this possible? I ask the lady to check all this, she said she could see the PPI but would have to call back to confirm. 1 month in nothing so I emailed twice 2 weeks apart and no response. Calling seems to go nowhere too.
Whatever the amount left I can’t afford to pay but the debt has been well pay and they don’t offer to review the end date even by a year, and put the price up on top. What can I do?
Sara (Debt Camel) says
Whatever the amount left I can’t afford to pay
Are you saying you can’t afford to make the current IVA payments? Is this because of Coronavirus?
Alexandra m says
No I can’t luckily but I have paid way over my IVA so why aren’t they offering to stop or shorten the IVA.
Sara (Debt Camel) says
No I can’t luckily
Sorry, I don’t want to misunderstand what you are saying. I will answer your question but the answer will be different depending on your situation.
Can you make the paymentS?
Or can’t you?
If you can’t, can you say a bit about your current situation please.
Alex m says
Yes I can. My question isn’t about wether I can make the payments more about having paid way over my debt already and still being ask to pay into September 2022 and being told the amount remaining is more now that a year ago.
Sara (Debt Camel) says
I assume the PPI was claimed by a claims firm for your IVA? In this case the claims firm will have pocketed a large percentage of it and your IVA firm will also have deducted its fees.
And those IVA fees are on top of the normal IVA fees. Which are usually more than £3500.
To complete your IVA early, you have to have paid off all your debts plus the IVA fees plus somtimes 8% statutory interest on your debts. It is pretty unlikely that you have done that I am afraid.
Until the IVA is paid off, the IVA firm will not offer to reduce your payments or shorten your IVA.
I suggest you ask the IVA firm for a statement of your account, showing how much has been paid in so far.
In case you are thinking that an IVA was meant to reduce your debt but it seems a complete rip off…. I agree.
Bev says
Hi, my husband and I completed our IVA in February this year after 8 very long years! We’re in the process of cleaning up our credit files but one of our creditors (Amigo) have marked our files with 6 years worth of missed payments instead of marking our debt as defaulted. We used the template letter from your site to write to them asking for a correction and they wrote back saying they were not going to change this as they had done everything correctly. This means the debt will be on our credit file for a further 6 years!! Does anyone know what we should do next??
Sara (Debt Camel) says
Send a complaint to the Financial Ombudsman – they are wrong!
What happened to your Amigo debt – did your guarantor repay it?
Bev says
My husband was the guarantor so the debt was included in our joint IVA. I’ve spoken to the financial ombudsman and they weren’t sure of the correct procedure but I’ve opened a complaint and they’ll pass it on to an investigator in 3-4 months as they’re so busy 🥴
John says
Hi Sarah thankyou just been reading your article on closure received letter from IVA company saying I can confirm that I have made final payment to my IVA and now to close standing order and direct debt did say was doing final creditors review ..they did income expenditure review in last month before final payment which went well but did say could take up to six months to close down.Got MOT To do during lockdown which will be quite expensive as garages seem to be charging more for repair sBut has budgeted for this .Any tips
Sara (Debt Camel) says
One tip is to start putting half of your IVA payment away into a savings account from now on. Don’t get back into debt!
Chris Johnson says
Well done John.
I am probably a year after finishing my IVA.
It seriously only gets better from here.
Jeanette says
Hello and thank you for being here,
I entered an IVA 27th November 2014 which started with my first payment being the 27th November 2014, my last being December 27th 2019. I received my completion certificate soon after and only recently sent copies off to all three, Credit fix, Equifax and Experian. I have almost reached the sixth year, last one being completed December 2019. I applied for a credit card to build my credit back up with Capital one and have been paying the full amount off each month. I tried for other cards and was refused. Am I a month too early or am I deluding myself that my credit is getting better? I have checked on the IVA register, I cannot be found. What do you think is wrong here?
Many thanks,
Jen
Sara (Debt Camel) says
Have you read https://debtcamel.co.uk/repair-credit-record-iva/? Have you checked all the debts in your IVA have default dates on if before the date your IVA started? If you gave, just wait for January and your score should have improved. Stop making credit applications until that happens!
Jeanette McKellar says
Hello Sara,
I tried the website but i you listed it really didn’t help. I am not showing up on the IVA website so, is this good? As I said, I now have a Capital one credit card to re-build my credit rating . Can you tell me what the score is for a good credit rating? As per your advice, I will not apply for another card until at least late January 2021.
Your advice will be much appreciated.
Kindest regards,
Jen
Sara (Debt Camel) says
So you are off the Insolvency Service register, that’s good. There isn’t really an absolute score that is “good” it depends what you want to do. Just sit back, pay the CapOne card in full every month and after 6 months you should see an improvement.