How long does an IVA last?

An IVA typically lasts for 5 years (60 months), although there is actually no set length written into the Insolvency Act 1986.

In some circumstances, if you are able to offer your creditors a lump sum in settlement of your debts, an IVA can last for less than 5 years. This can either be via a windfall, third party assistance or more commonly by sale or remortgage of a property.

Full and Final Settlement IVAs are where a lump sum is offered to creditors in settlement of a debt upfront. These tend to last no more than three months.

An IVA can last longer than five years if you need to make up for missed or reduced payments or if your proposal states that the IVA must be extended if you are unable to release any equity at the end of the fifth year.

You can read more about IVAs and whether they are suitable for your situation in our IVA section.

Debt Advice Foundation is a registered UK charity offering free, confidential support and advice on any aspect of debt, including IVAs. If you need to talk to someone about debt, please call the charity's helpline on 0800 043 40 50 to speak to an adviser.