For free and impartial money advice and guidance, visit MoneyHelper, to help you make the most of your money.


IVA Fees 2022 Complete Analysis

IVA Fees 2022

For free and impartial money advice and guidance, visit MoneyHelper, to help you make the most of your money.

Determining whether or not you’ll be able to afford an IVA is crucial in deciding if it’s suitable for you or not.

For that, you’re going to have to be aware of all the fees, costs and expenses that go into effectively setting up an IVA. 

In all cases, the cost of your IVA is completely laid out in your IVA proposal when you first draw it up.

Not to mention you’ll discuss it thoroughly with your insolvency practitioner before you set it up as well. 

That being said, the large-scale nature of an IVA and all the payments involved with it can definitely be overwhelming at first.

Hence, it’s a good idea to take a step back and review all the payments you’ll have to make before you apply for one. 

Don’t worry, here’s what to do!

There are several debt solutions in the UK that can be used to improve your finances. Choosing the right way to tackle your debt could save you time and money, but the wrong one could cause even more harm

It’s always best to find out about all your options from a professional before you take action.

Fill out the 5 step form to get started. 

What are IVA Fees? Are they Fixed or Can they Vary?

There are a number of fees involved in an IVA such as the Nominee fee, Supervisor fee and disbursements. Depending on the parties involved in your IVA as well as the amount of debt you owe to your creditors, the cost can vary. 

For example, your insolvency practitioner will have a fee, of course, but if you’ve decided to take advice from a debt management company, then you’ll have to pay them in addition to your IP. 

Note that for all IVAs, all of the fees will be covered within your monthly IVA payments. For example, let us take your IP’s fees; When you make a monthly repayment, your IP will distribute this payment among your creditors but will also keep a portion of it for themselves as part of their fee. 

If you’re confused about IVA fees, you can opt to contact an independent charity such as Payplan for advice.

There are normally three different categories of IVA costs. These are described in detail below: 

Nominee Fee

The Nominee fee refers to the initial fee that is needed to consult with you, determine your income and spending and help you develop your IVA proposal.

Depending on the amount of debt you owe to your creditors, this fee can normally vary from £1,000 to £2,220. As mentioned earlier, you will pay this amount as part of your agreed-upon monthly IVA repayments. This fee is normally completely covered within the first year of your IVA.

Supervisor Fee

The Supervisor fee refers to the on-going work that would be needed throughout the course of your entire IVA period (which typically lasts five years).

The Supervisor fee is typically 15% of any further realisations. It can never be larger than 18% of the total payments you make over the course of your entire IVA period. It covers a number of things like the cost of managing your IVA and ensuring that all of the parties involved are being treated fairly and ethically. Your IP also takes care of all the dealings between you and your creditors. They also conduct an annual review to assess your financial situation and tweak your monthly repayments accordingly.

Note that just like the Nominee fee, this fee is also covered in your regular monthly repayments.  

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Disbursements are miscellaneous payments or any additional expenses that may occur due to the involvement of certain third parties in your IVA. System maintenance fees as well as the registration fee needed to register your IVA with the Individual Insolvency Service are also considered a part of disbursements.

Any fees you may have due to legal advice you may have sought from debt management companies may also be charged as disbursements. 

iva fees

Are IVA Calculators Useful? How can I Use them Properly?

If you’re considering an IVA and are looking up information about it online, you must have come across websites that have an IVA payment calculator available. These IVA calculators often ask information from you such as your income, spending, amount of debt, etc. After that, they use this information to estimate how much your monthly IVA payments would be. They can also determine how much debt you would be able to write off.

While these IVA calculators definitely seem like handy tools to use, you should definitely be careful when using them. A lot of IVA calculators are affiliated with debt management companies and oftentimes, these calculators are just a sneaky way of extracting your contact details. Definitely be wary of IVA calculators that ask you for your contact details.

This obviously isn’t something that’s needed to estimate your monthly payments. Only enter your contact details if the IVA calculator is from a company you trust. You can also enter your contact details if it’s from a company that you intend on enlisting services from.

IVA calculators can definitely be a useful tool in estimating what your IVA will look like. It can help paint a semi-accurate picture for you so you can determine whether or not an IVA would be right for you. That being said, it must be stressed that IVA calculators are not completely accurate, they only provide an estimated picture. You may find that once you actually start talking to your IP, your monthly payments may look quite different from what you had estimated using an online IVA calculator.

They’re a good tool to get some information from but you should keep in mind that the estimates they make are definitely not set in stone. 


IVA fees definitely seem overwhelming from the outside looking in. Most people who are considering an IVA get discouraged when they look up the fees involved and question how this could possibly be worth it for anyone.

However, with careful planning and research, you can definitely manage your expenses throughout your IVA period in a way that is stress-free and cost-efficient. Tools such as online IVA payment calculators are definitely something that can help with that. 

The fact that the additional fees are included within your monthly IVA payments actually make them much more manageable than you would expect.

Are you struggling with debt?

Affordable repayments

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Are you struggling with debt?
Are you struggling with debt?
  • Affordable repayments
  • Reduce pressure from people you owe money to
  • Stop interest and charges from soaring