Your credit score breakdown when an IVA ends

Are you approaching the end of your Individual Voluntary Arrangement (IVA), or have you recently completed one? If so, you might be wondering what comes next. When you check your credit report and score, you may wonder whether what you're seeing is right.

This guide will help you to understand your credit score breakdown for when an IVA ends if you live in England, Wales or Northern Ireland. This guide is for general education only and is not financial or debt advice. 

What’s the difference between a credit report and a credit score?

Your credit report is a record of your borrowing history. It contains information about credit you’ve had and how you’ve managed repayments. Your credit score is a number calculated using information from that history. It gives you a broad indication of your credit health.

There are three main credit reference agencies (CRAs) in the UK: Experian, Equifax and TransUnion. Each has its own scoring system, so you actually have three scores, and they can be different depending on which one you check.

But lenders don’t simply look at the credit score you see online and make their decision on that number alone. Instead, they look at information in your credit history alongside their own lending criteria and internal scoring systems.

So if your score isn’t where you hoped it would be after your IVA, just know that it should improve gradually if you’re careful with your repayments, and follow the tips we include in these guides. 

Does credit reporting work differently because I’ve had an IVA?

Your credit information continues to be reported in the same way as everyone else’s.

When you entered your IVA, it was recorded on your credit report. Your credit information continues to be reported while you’re in an IVA. The IVA itself will be recorded on your credit report and can negatively affect your credit score. Your report may also show missed payments or defaults on individual accounts included in your IVA, which can affect your score too. 

When you complete your IVA, your credit report will still show the IVA marker and defaulted accounts.

• If the defaulted accounts have been repaid for the full amount, they will show a zero balance and appear as "settled" or "satisfied".
• If the defaulted accounts have been repaid for less than the full amount, you may see them described as "partially settled" or "partially satisfied" instead.

As long as all balances are listed with nothing owing, the remaining debt has been written off. These accounts, along with the IVA marker, will leave your credit report after six years from when you entered your IVA.

How does an IVA affect my credit history?

Think of your credit report as a history, rather than a snapshot. 

Your IVA forms part of your credit history. Your credit report will show all your repayments from the last six years, and your financial information right now, like your bank accounts, utility accounts, and phone contracts.

While your IVA is active, the details are available on the relevant insolvency register. This is a public register lenders refer to when assessing new credit applications. 

While you’re in an IVA, your credit score will be low, which may reflect your limited ability to borrow more than £500 without permission from your Supervisor. It’s hard to build a history when you can’t borrow.

Once you complete your IVA, more ways to build your credit  history open up. But, it takes time to build up a new repayment record that lenders can see.

When my IVA is complete, what changes on my credit report?

Not everything changes on the day you make your final IVA payment. It takes time for your credit report to update. Different records can change at different points over the following weeks and months.

Here’s what to look out for.

The Insolvency Register updates your details

Once your Supervisor has notified the relevant register that your IVA has finished, your entry should show as completed for three months before being deleted.

For England and Wales, that means checking the Individual Insolvency Register. Northern Ireland has a separate IVA Register. A final payment leaving your account isn't the same as being removed from the register, so do take a moment to check.

The IVA disappears from your credit file

An IVA and the associated default credit accounts normally remain on your credit file for six years from their start date. That's the key detail: from the start date, not six years after you complete it.

Once the marker disappears, the accounts included in your IVA should show their updated status rather than appearing as being in an active IVA. Your credit score may begin to move upwards slowly around this point.

There’s also another date worth checking carefully. If an account included in your IVA has a default date that falls after your IVA started, that default could remain on your report for longer than the IVA marker itself. If you spot one and something doesn’t seem right, ask the lender to correct the date.

It’s a small detail but could make a difference to your credit history in the long run.

Why is my credit score still low after an IVA?

Because completing an IVA and rebuilding a credit history are two different things. Your score doesn’t automatically bounce back when your IVA finishes. It still reflects what has happened in the past and shows the recent limited borrowing history you’ve had.

There’s no single “normal” score you should have after an IVA either. That’s worth remembering when it’s tempting to compare your number with someone else’s.

Look beyond your credit score

Check your credit reports with the three main credit reference agencies (CRAs): Experian, Equifax and TransUnion. As each agency reflects your data slightly differently, it’s possible for there to be an error with one and not with the others.

You can access your statutory credit report for free. Alternatively, you can also access your credit score and additional reporting features with credit partners such as ClearScore (using Equifax data) and Credit Karma (using TransUnion data). Experian also has a free 30-day trial for you to access their full credit reporting features with CreditExpert. (Just remember to cancel before your subscription renews to avoid paying the £14.99 per month charge.) 

When you have your reports in front of you, look for:

• Personal information (e.g. current address) inconsistencies
• Accounts or details that haven’t been updated
• Balances that should now be zero
• Incorrect default dates
• Financial links to another person (like a partner or someone you used to share bills with) that should no longer exist

Found something wrong? Contact the lender and the relevant credit reference agency and ask for a correction.

What helps you build a healthier credit score after an IVA?

Small steps make a big difference. First step? Make sure you’re registered on the electoral roll. Then think about the information you add to your credit history from here.

A positive payment history helps. If you decide to use credit again, you may feel more comfortable starting small and showing that you can manage repayments consistently. How much of your available credit you use can matter, too.

There are also a few IVA-specific tasks worth ticking off. Check that:

• Your IVA has been updated and then removed from the relevant insolvency register approximately three months after your Supervisor informs the relevant register.
• Unsecured debts included in your IVA show as settled or satisfied, with zero outstanding balances.
• Any incorrect information has been raised with the lender and relevant CRA.
• If a restriction was placed on your property because of the IVA, your property title has been updated appropriately after completion.

This is less about chasing points and more about making sure your financial record tells the right story.

Why does your credit score matter after an IVA?

A stronger credit history can affect your chances of being approved when you apply for credit in the future. Whether you’re looking to rent a new place, get an affordable phone contract, insurance, car finance, or any other type of credit, having a good credit score and history matters.   

For most people, an IVA lasts for five years, but the IVA marker and defaulted credit accounts will stay on your credit report for six years. In the time between your IVA completing and these records eventually disappearing from your credit report, you will have an opportunity to rebuild your credit history.

When you’re ready to move on from your IVA and rebuild your financial life, take a look at our step-by-step guide to rebuilding your credit score after an IVA.