Find the right debt solution with IndividualVoluntaryArrangements.net
Choosing between an IVA, a Debt Management Plan, a Debt Relief Order and bankruptcy can feel overwhelming. IndividualVoluntaryArrangements.net helps you narrow it down. In a free, confidential conversation we look at your debts, income, assets and where you live, then explain which solutions are realistic for you and how they compare.
Our focus is IVAs, but we'll always tell you if another option looks better, including free ones. What counts is choosing the option that fits you.
What you can expect from us
- A side-by-side explanation of the options that fit your circumstances
- Clear information on cost, length and the effect on your home and credit
- No obligation and no pressure to choose an IVA
The right debt solution depends on how much you owe, what you can afford, whether you own a home and where in the UK you live. Below is an overview of every main option.
Debt solutions at a glance
| Solution | Best for | Length | Debt written off? | Where |
|---|---|---|---|---|
| IVA | Larger debts, regular income, homeowners | Usually 5 years | Yes, remaining balance | England, Wales, NI |
| Debt Management Plan | People who can repay in full over time | Until repaid | No | UK-wide |
| Debt Relief Order | Low income, few assets, debts under £50,000 | 12 months | Yes | England & Wales (NI has its own scheme) |
| Bankruptcy | Can't repay debts in any reasonable time | Usually 12 months | Yes, most debts | England, Wales, NI |
| Protected Trust Deed | Scottish residents with larger debts | Usually around 4 years | Yes, remaining balance | Scotland |
| Breathing Space | Short-term protection while you get advice | 60 days (standard) | No | England & Wales |
| Debt consolidation loan | Good credit, manageable debts | Loan term | No | UK-wide |
Formal and informal solutions
Formal solutions such as IVAs, Debt Relief Orders and bankruptcy are legally binding. They give you protection from creditors and write off some or all of your debt, but they're recorded on the Insolvency Register and have a significant impact on your credit file.
Informal solutions such as Debt Management Plans and consolidation loans aren't legally binding. They have a lighter footprint but offer no legal protection, and creditors don't have to accept them.
Explore each solution
Free advice first. Free, impartial debt advice is available from MoneyHelper. Whoever you speak to, they should explain all suitable options, including free ones, before recommending a solution.
How we help you compare debt solutions
We look at your full picture
We go through what you owe, who you owe it to, your income, your essential costs and whether you own or rent your home.
We check the criteria
Each solution has its own rules. We check your figures against them, so you only consider options that are actually open to you.
We compare the realistic options
We explain how long each would last, what it would cost, and what it would mean for your home, credit file and job.
You decide
You choose in your own time. If an IVA is right, we explain the next steps. If another option fits better, we tell you where to get it.
Which debt solution is best for my situation?
There's no single best solution, but some patterns are common. These are a starting point rather than a recommendation, and your own figures may point somewhere else.
If you rent and have very little spare income
A Debt Relief Order is often the best fit if your debts are under £50,000 and you have less than £75 a month left after essential costs.
If you own your home and have a steady income
An IVA is often chosen because it protects your home in a way bankruptcy doesn't, while writing off what you can't afford to repay.
If you could repay in full with more time
A Debt Management Plan may be enough. It avoids formal insolvency and free providers are available.
If creditors are taking action right now
Breathing Space can pause most enforcement for up to 60 days while you put a long-term solution in place.
Free alternatives you should know about
Some debt solutions cost nothing to arrange. Debt Relief Orders have no fee, debt charities offer free Debt Management Plans, and free, impartial advice is available from Citizens Advice and MoneyHelper. We'll always mention these where they're relevant to you, because the right solution is what counts.
Options for self-employed people
If you're self-employed, your choice of solution can affect your business. An IVA usually lets you keep trading and keep the tools and equipment you need. Bankruptcy can mean your business has to close, and a Debt Relief Order has limits on assets that may not suit a trading business. If you trade through a limited company, the company's debts are separate from your personal debts and need different advice.
What about Scotland and Northern Ireland?
Northern Ireland has IVAs, bankruptcy and its own Debt Relief Order scheme with different limits from England and Wales. Scotland has a different system altogether, including Protected Trust Deeds, the Debt Arrangement Scheme, sequestration and the Minimal Asset Process. Tell us where you live when you get in touch, and we'll explain the options that apply.
Start your free comparison
If you'd like help working out which option suits you, fill in the form at the top of the page. We'll contact you at a time that suits you and talk through your options, with no cost and no obligation.
If you'd prefer to read more first, start with what an IVA is, then compare it with the option you're considering using our IVA vs bankruptcy and IVA vs DMP guides. Bring any questions with you when we speak.