There is nothing to stop you saving money during an IVA.
In fact in many cases it is necessary to put aside some of your agreed living expenses each month.
As long as any savings you make come out of your agreed living expenses budget you are allowed to keep them.
Can I go on holiday while on IVA?
Although there’s no official section on an individual voluntary arrangement budget labelled ‘holiday fund’ a break away may still be possible if you’re living on an IVA. And importantly, there are no rules or obligations as part of your IVA which means you’re not able to go on holiday.
Can I keep my bank account with an IVA?
The only way to protect yourself is to start using a different bank which is not involved in your IVA. If you do not owe your bank money there is no issue. They will not be informed about your IVA and you can continue using your account throughout the Arrangement.
How does an IVA affect your life?
An IVA should be carefully considered because of the possible consequences for your personal, professional and financial life. Your credit rating will be affected for six years, starting from the date the arrangement is agreed. You’ll have to keep to a budget for the full term of your IVA, usually 60 or 72 months.
Can I pay my IVA off early?
Once a monthly payment IVA starts it usually continues for at least 5 years. It is however possible to reduce this period. The Arrangement can be settled early with a lump sum. While the Arrangement is running you can offer to pay your creditors a one off cash payment.