Can store card debts be included in an IVA?

An Individual Voluntary Arrangement can include unsecured debts like credit and store cards. It can include overdrafts and personal loans too. However, you can only apply for an IVA if you can't afford to repay those debts in full within a reasonable timeframe.

If you're in trouble with debts, you might even have more than one store card. Don't worry, speak to one of our advisers and we will tell you whether an IVA could help.


An IVA is a form of insolvency and an alternative to bankruptcy. It can write off unsecured debts that you can't afford after five years, as long as you repay as much as you can in that time - and doesn't have some of the financial restrictions of bankruptcy.

If you're a homeowner, you might be asked to release some equity from your home during those five years, which means you'd have a smaller deposit when it comes to remortgaging.

You can include any unsecured debt, including store cards, credit cards, catalogue debts, personal loans and overdrafts in an IVA. While you can't include other debts like a mortgage, rent arrears or utility debts, IVA payments are set at an affordable level so you would still be able to pay for all your essential costs.

An IVA freezes interest and charges and writes them off if you complete your IVA successfully. You need lenders that are responsible for one third of your total unsecured debt value to agree to an IVA before it can go ahead.

How Freeman Jones can help you

Speak to one of our debt advisers if you have problems with store card debts or any other unsecured debts, because we can offer advice and tell you more about your options.

An Individual Voluntary Arrangement is only one of the options for a debt problem. If you can afford to repay your debts in full but you can't keep up with your existing repayments, we might recommend debt management or debt consolidation as an alternative to an IVA. Or, if an IVA could help, we would help you to apply and manage the process for you.

If you choose an IVA with Freeman Jones, we negotiate with your lenders for you - so you don't have to - and we could help make sure that your payments are affordable, leaving you enough for the other things you need.

Bear in mind that any debt solution that involves reducing your monthly payments will affect your credit rating for up to six years.

Speak to a Freeman Jones adviser about the debt help that's available in your area.

By Matthew Plant.

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Subject to eligibility and acceptance. Fees Payable. Debt write off applies to unsecured debts only and on completion of an IVA, alternative solutions may be offered. If your IVA fails, it could lead to Bankruptcy. Your ability to obtain credit will be affected for at least 6 years. Homeowners may be required to release the equity in their property.