Struggling with unsecured debts like credit cards, personal loans, or overdrafts? An Individual Voluntary Arrangement (IVA) could help you write off a significant portion of what you owe—while making the rest manageable. Our IVA calculator provides a quick, confidential estimate of your potential debt write-off based on your financial situation.
Whether you’re a homeowner, renter, or tenant, this tool helps you explore debt relief options without commitment. Try the online IVA calculator below to see how much you might save.
IVACalc
How Much Debt Could You Write Off?
Enter your financial details below for an instant IVA estimate. Takes under 2 minutes.
🔒 100% Free⚡ Instant Results🇬🇧 England, Wales & N. Ireland
1Your Debts
2Income
3Expenses
4Results
Your Unsecured Debts
Include credit cards, personal loans, overdrafts, store cards, catalogues, HMRC arrears. Do NOT include mortgage, rent, or secured loans.
£
IVAs are generally suitable for debts of £5,000+IVAs require at least 2 creditors for standard approval
Homeowners with equity may need to extend IVA to 6 years
Your Monthly Income
Enter all sources of monthly income after tax (take-home pay).
£
Monthly take-home after tax & NI£
UC, child benefit, DLA/PIP (now included since IVA Protocol Apr 2025)£
£
Rental, child maintenance, etc.Total Monthly Income:£0
Your Monthly Expenses
Enter your essential living costs. These are assessed against Standard Financial Statement (SFS) guidelines. Only reasonable amounts are accepted by Insolvency Practitioners.
£
£
£
£
£
£
£
£
£
£
Total Monthly Expenses:£0
Estimated Disposable Income:£0 / month
Estimated Monthly Payment
—
Based on your disposable income
Estimated Debt Written Off
—
At end of IVA term
Total Amount Repaid
—
Over full IVA term
Estimated IVA Duration
—
Standard term
📊 Detailed Financial Breakdown
📉 Debt Reduction Visualisation
RepaidWritten Off
⚠️ Important Disclaimer: This calculator provides estimates only, based on publicly available IVA guidance and industry data. Actual IVA payments, write-off amounts, and eligibility are determined by a licensed Insolvency Practitioner (IP) after a thorough assessment of your individual circumstances. This tool is not financial, legal, or debt advice. Always consult a qualified debt professional before making any decisions. IVAs are available to residents of England, Wales, and Northern Ireland only. Scottish residents should enquire about Protected Trust Deeds instead.
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What Is an IVA Calculator?
An IVA calculator is a financial tool designed to estimate how much unsecured debt you could write off through an Individual Voluntary Arrangement (IVA). IVAs are legally binding agreements between you and your creditors, allowing you to repay a portion of your debts over a fixed period (usually 5–6 years) and have the rest written off.
This IVA estimator is especially useful for:
- Individuals with £5,000+ in unsecured debt (e.g., credit cards, loans, catalogues).
- Those facing high monthly payments they can no longer afford.
- UK residents (England, Wales, and Northern Ireland) seeking a debt-free fresh start.
IVAs are regulated by the Insolvency Service and must be set up by a licensed Insolvency Practitioner (IP). Our calculator uses industry-standard formulas to provide a realistic estimate, but for precise figures, consult a professional.
How Does the IVA Calculator Work?
The IVA payment calculator uses a structured formula to estimate your potential debt write-off. Here’s how it works:
IVA Formula Simplified
- Total Unsecured Debt: Sum of all eligible debts (e.g., £25,000).
- Monthly Affordable Payment: Based on your income, expenses, and disposable income.
- IVA Term: Typically 60 months (5 years) or 72 months (6 years) for homeowners.
- Total Repayable: Monthly Payment × Term (in months).
- Debt Write-Off: Total Unsecured Debt – Total Repayable.
Worked Example
Variable | Value |
Total Unsecured Debt | £30,000 |
Monthly Disposable Income | £300 |
IVA Term | 60 months |
Total Repayable | £18,000 |
Estimated Write-Off | £12,000 |
In this case, you’d repay £18,000 over 5 years, and the remaining £12,000 would be written off.
How to Use This IVA Calculator (Step-by-Step Guide)
Follow these steps to get your IVA debt estimate:
- Enter Your Unsecured Debts
- Input the total amount of unsecured debt (e.g., £25,000).
- Note: IVAs are typically suitable for debts of £5,000+.
- Select the Number of Creditors
- Choose from the dropdown (e.g., 3–5 creditors).
- Why it matters: IVAs require at least 2 creditors for standard approval.
- Specify Your Home Ownership Status
- Select “Homeowner” or “Renting/Tenant”.
- Homeowners may need to extend the IVA to 6 years to release equity.
- Click “Next: Your Income”
- Proceed to input your monthly income and expenses (not shown in this preview).
- Review Your Results
- The calculator will display:
- Estimated monthly payment.
- Total repayable amount.
- Potential debt write-off.
- The calculator will display:
IVA Calculator Results Explained
Your results will fall into one of three categories:
Result Range | Meaning | Recommended Action |
70%+ Write-Off | Excellent outcome | Proceed with an IVA proposal. |
40–70% Write-Off | Good outcome | Compare with other debt solutions. |
<40% Write-Off | Limited benefit | Explore alternatives like DMP or bankruptcy. |
- Good Result: A write-off of 50% or more is considered strong.
- Concerning Result: If the write-off is below 30%, an IVA may not be the best option.
Practical Tips & Expert Advice
- Be Honest with Your Figures: Underestimating debts or overestimating disposable income can lead to IVA rejection.
- Prioritise Essential Expenses: Ensure your monthly budget covers rent, utilities, and food before committing to an IVA.
- Check for Equity (Homeowners): If you own a home, creditors may require you to remortgage in Year 5 to release equity.
- Seek Professional Advice: Use this IVA tool as a guide, but consult a licensed Insolvency Practitioner for a formal assessment.
- Avoid New Credit During an IVA: Taking on new debt while in an IVA can void the agreement.
- Understand the Risks: Missed payments can lead to IVA failure and potential bankruptcy.
Common Mistakes to Avoid
- Including Secured Debts
- Mistake: Adding mortgages or secured loans.
- Why it matters: IVAs only cover unsecured debts.
- Ignoring Creditor Count
- Mistake: Assuming an IVA works with just 1 creditor.
- Why it matters: Most IPs require at least 2 creditors.
- Overlooking Homeownership Impact
- Mistake: Not disclosing homeownership.
- Why it matters: Homeowners may need a 6-year IVA to include equity.
- Misjudging Affordability
- Mistake: Committing to payments you can’t sustain.
- Why it matters: IVA failure can lead to bankruptcy.
Frequently Asked Questions
IVA payments are based on your disposable income—what’s left after essential expenses. Our IVA payment calculator automates this using your debt total, creditor count, and homeownership status.
The formula is:
(Monthly Disposable Income × IVA Term) – Fees = Total Repayable
The remaining debt is written off.
Our online IVA calculator provides estimates only. For precise figures, consult an Insolvency Practitioner.
No. IVAs only apply to unsecured debts (e.g., credit cards, loans). For mortgage arrears, seek specialist advice.
Typically 5 years, but 6 years for homeowners if equity release is required.
If you have £5,000+ in unsecured debt and struggle with repayments, an IVA may help. Use our IVA debt calculator to check eligibility.
An IVA can be a lifeline if you’re drowning in unsecured debt, offering a structured path to financial freedom. Our free IVA calculator gives you a clear, instant estimate of how much you could write off—no strings attached.
Ready to explore your options? Use the calculator above, then consult a licensed Insolvency Practitioner to take the next step. Bookmark this page for future reference or share it with someone who needs help.
reference list
- UK Government Guide to IVAs – Official information on IVAs from the Insolvency Service.
- Citizens Advice: Debt Solutions – Free, impartial advice on managing debt.
- StepChange Debt Charity – Non-profit debt support and IVA guidance.
- MoneyHelper: IVA Pros and Cons – Government-backed financial advice.
- The Insolvency Service – Regulatory body for IVAs in the UK.
Last Update: May 2026