Are you in the last few months of your IVA? If yes, you may be feeling like getting to the finish line of a long marathon. You will finally be debt-free. Now that your IVA is completed and the IP has finalized your last payment, you don’t have to worry about debt anymore. However, it is crucial for you to understand what will happen once your IVA is completed. This blog looks at what happens after you make your final IVA payment.
The final review by the IVA firm
Before the IVA gets concluded, the IP (Insolvency Practitioner) will check if your repayments are made or not. If not, the IVA may be extended. When you apply for an IVA online or offline, you agree upon paying a specific amount of money. If the IVA extends, you need to complete further payments until you have successfully paid the amount you agreed upon. Besides, they will check if you have complied with all the obligations, like equity release, asset sales, etc.
If the IVA firm doesn’t get in contact
If you don’t hear from your IVA firm a couple of weeks after your last payment, you can call or email them and ask what you need to provide for the final review. If they don’t get back to you, send them a weekly mail. Still don’t find any response? In that case, it is advised to put in a formal complaint. Want to cancel your STO/DD? Put the money into a different savings account.
The IVA firm will close the IVA
After the closure team confirms that all the payments have been completed, they will distribute the money to the creditors. In case you haven’t agreed to the firm collecting PPI once the IVA is finished, you may be asked to sign something. If you deny, they may refuse to close the IVA until they are confident that there is no more PPI to come.
The IVA completion certificate
Now that the IVA is closed, you will receive an IVA completion certificate to prove that you have completed all the payments. Your name should be removed from the insolvency register within three months of closure. But, make sure to double-check as it is not always done automatically.
Check if everything has been updated
The next step is to check if all the work has been done properly. You can wait for a couple of weeks and then check the following details-
- Look upon your details in the Insolvency register. If the details are not correct, call your IVA firm.
- Check the Experian, Equifax, and Call Credit. If the IVA is still active, share a copy of IVA completion certificate for reference, and get it rectified.
- If the land registry still shows a restriction, ask your IVA firm to sort things out.
Once you have checked all these things, give at least one month time to your creditors to update the records.
Enjoy a debt-free life
Now your IVA is completed, you get a sigh of relief. The debts are completely settled, and you don’t have to make monthly payments now. You can save or invest this money or spend it as or when you like. Not only do you have the peace of mind that you are free from debt, but you also have more finances to manage your living.
Are you coming to an end of an IVA and have questions about what more does the process involve, get in touch with us.
