An IVA is completed after you have finished making all the agreed payments and you have received your Completion Certificate.
When does your IVA finish?
Your IVA finishes after you have made all of your payments and complied with all the other requirements as agreed. For example if you are a home owner you will have to try and release equity from your property.
Given all your obligations have been satisfied your IVA company will issue you with a Completion Certificate. After you have received this the arrangement is finally over.
Any debt included in the agreement which remains unpaid is then written off. Within three months your details are deleted from the Insolvency Register
Although your payments may have ended your IVA remains in place until you have got a Completion Certificate. If you receive a windfall in the meantime it still has to be paid into the Arrangement.
What is an IVA Completion Certificate?
An IVA Completion Certificate is an important document. It confirms you are no longer in an IVA. Until it has been issued you are still bound by the terms of the Arrangement and your name remains on the Insolvency Register.
Your Insolvency Practitioner (IP) should issue your Certificate 4-8 weeks after you have made your last payment. During this time they may ask to carry out a final review of your circumstances.
The document you receive from your IP can take various forms. It may simply be a letter from them confirming that your IVA is completed. It will state that all your obligations under the Arrangement have been met and they are no longer acting as your Supervisor.
When will your Credit Rating start to improve?
Your credit rating may continue to be affected after your IVA is completed. This is because the record always remains on your credit file for 6 years from the date it started.
This is the case regardless of the date you receive your Completion Certificate. Even if you finish your IVA early your credit rating will not significantly improve until the 6th year anniversary when the record is removed.
Having said that as soon as it is finished there are things you can do to improve your credit rating. These include checking for errors on your credit file and using a “credit repair” credit card.