Iva

msm1981

Hi I have an IVA which ends in 3 years and I have some money saved. Should I pay off some of the IVA with this money or am I better off putting it into a savings account and earning interest?


Many thanks.

longtermplanner

Do not just pay it off the IVA.

As IVA is not an agreement to pay a fixed amount - if you pay more now, you will still be bound to your normal monthly payments unless you propose a full & final settlement. You could ask you IP about a F&F to end the IVA early, but in these circumstances it's pretty unlikely unless you can pay off the whole amount. And even then if you have a house with equity there would be a question of releasing some of that.

Unless you have a LOT saved, I would just keep it. If your finances get more difficult, then you will have this reserve to help let you finish the IVA.