How to Compare IVA Companies and Insolvency Practitioners
An IVA must be set up by a licensed Insolvency Practitioner (IP) regulated under the Insolvency Act 1986. Choosing the right IVA company affects your fees, service quality, and likelihood of successful completion. This guide explains how to verify an IP is legitimate and what to look for when comparing providers.
How to Verify an IVA Company is Legitimate
Before engaging any IVA provider, verify their credentials through official registers:
1. Check the Insolvency Practitioner Register
Use the GOV.UK insolvency practitioner search to check the named practitioner and their authorising body. A licensed practitioner should appear with their:
- Full name and licence number
- Authorising body (IPA, ICAEW, ACCA, etc.)
- Registered business address
- Current licence status
If an IP isn’t on this register, do not proceed.
2. Verify FCA Authorisation for Debt Advice
IVA companies providing debt advice must be authorised by the Financial Conduct Authority. Check the FCA Register for:
- Firm reference number (FRN)
- Permitted activities (debt counselling, debt adjusting)
- Any restrictions or warnings
Example: A legitimate IVA firm might show FRN 123456 with permissions for “debt counselling” and “debt adjusting” under the Consumer Credit Act.
3. Check Professional Body Membership
IPs are licensed by one of these recognised professional bodies under s.391 of the Insolvency Act 1986:
| Authorising Body | Abbreviation | Register Link |
|---|---|---|
| Insolvency Practitioners Association | IPA | GOV.UK practitioner search |
| Institute of Chartered Accountants in England & Wales | ICAEW | ICAEW insolvency regulation |
| Association of Chartered Certified Accountants | ACCA | accaglobal.com |
| Other recognised authorising bodies | - | GOV.UK practitioner search |
IVA Fees: What You Should Pay
IVA fees vary by proposal and creditor agreement. The Consumer IVA Protocol key facts say fees are included in monthly payments rather than charged upfront, and the practitioner must explain them before you agree.
Typical Fee Structure
| Fee Type | What to Check |
|---|---|
| Nominee fee | The fixed or time-cost amount for preparing and proposing the IVA |
| Supervisor fee | The fixed amount, percentage or time-cost basis for supervising the IVA |
| Expenses and disbursements | Which third-party costs may be deducted and when |
What This Means in Practice
Ask for the proposal to show total expected contributions, each fee category and the estimated dividend to creditors in pounds. Do not assume that every provider uses a 15% supervisor fee or the same nominee fee.
Red Flags: Fees to Avoid
Watch for these warning signs:
- Unexplained upfront charges - Protocol IVA key facts say fees are included in monthly payments, not charged upfront
- Referral fees - The FCA’s debt-packager referral-fee ban restricts the referral-fee model for debt packagers
- Fees described only as a percentage - Ask for the expected total in pounds and how changes affect it
- Hidden disbursements - All costs should be disclosed upfront in the proposal
What Makes a Good IVA Company?
Essential Requirements
- Licensed Insolvency Practitioner - Verified on the official register
- Correct regulatory permissions - FCA permissions where regulated debt-advice activities require them
- Recognised authorising body - Shown for the named practitioner on the official search
- Clear fee disclosure - No hidden charges
- Realistic affordability assessment - Uses Standard Financial Statement methodology
- Post-approval support - Ongoing help throughout the 5-6 year term
Questions to Ask Before Signing
- “What is your IP licence number and authorising body?”
- “What is your firm’s FCA reference number?”
- “What are your total fees in pounds over the full IVA term?”
- “What is your IVA completion success rate?”
- “Who will handle my case day-to-day?”
- “What happens if my circumstances change?”
How to Assess Completion Claims
The Insolvency Service’s IVA outcomes statistics show that outcomes depend on the year an IVA started and how long it has been running. A single overall “success rate” can be misleading while newer cases are still open.
If a provider quotes a completion rate, ask which start-year cohorts it covers, whether cancellations and full-and-final completions are separated, how long the cases were observed, and whether the figure can be checked against published Insolvency Service data.
How to Compare IVA Companies
Step 1: Get Multiple Assessments
Contact at least 3 different IVA providers. Each should offer a free, no-obligation assessment. Compare:
- Proposed monthly payment
- Total fees quoted
- Estimated debt write-off percentage
- Communication style and responsiveness
Step 2: Compare Like-for-Like
Ensure each provider uses the same income and expenditure figures. Differences in proposed payments usually come from:
- Different allowances for living costs
- Different interpretations of surplus income
- Varying fee structures
Step 3: Check Reviews Carefully
Look for reviews on:
- Trustpilot - But verify the reviewer completed their IVA (not just started)
- Google Reviews - Local firm reviews
- FCA website - Regulatory action history
Red flag: IVA companies offering incentives for positive reviews or removing negative ones.
IVA Protocol Standards
All IVA companies should follow the IVA Protocol, which sets minimum standards including:
- Standard creditor terms to streamline approval
- Consistent income and expenditure assessment
- Fair treatment of surplus income
- Clear modification procedures if circumstances change
Tip: Ask if the provider follows the IVA Protocol. Most mainstream creditors expect Protocol-compliant proposals.
Free Debt Advice Alternatives
Before committing to a commercial IVA provider, consider free advice from:
- StepChange Debt Charity - 0800 138 1111 - Offers IVAs directly
- National Debtline - 0808 808 4000 - Free advice, can refer to IPs
- Citizens Advice - Local offices - Impartial guidance on all debt solutions
- MoneyHelper - Government-backed free advice service
Common IVA Company Scams to Avoid
1. Upfront Fee Demands
For a protocol IVA, the official key facts say practitioner fees are included in monthly payments and are not charged upfront. Ask for written clarification of any charge before paying, especially for work outside a protocol IVA.
2. Guaranteed Approval Claims
No company can guarantee IVA approval. The required majority is calculated from creditors who vote by debt value, and guaranteed-approval claims are unreliable.
3. Pressure Tactics
Statements like “you must sign today” or “this offer expires” are red flags. A legitimate IP will give you time to consider your options.
4. Unlicensed Operators
Some companies pretend to be IPs but are actually lead generators who sell your details. Always verify the IP licence independently.
Taking the Next Step
Once you’ve verified credentials and compared providers:
- Use our IVA calculator - Get an indicative assessment of your eligibility
- Understand IVA pros and cons - Make sure an IVA suits your situation
- Learn about IVA costs in detail - Full fee breakdown
- Read the complete IVA guide - Understand the process from start to finish
Related Information
- IVA early settlement options - Paying off your IVA sooner
- Mortgage after IVA - Rebuilding credit post-completion
- Debt collectors guide - Your rights if being chased for payment
- IVA vs bankruptcy - Compare formal insolvency options
- Can creditors reject an IVA? - Understand voting, rejection and modifications
- IVA annual review - Know what happens after approval
- What happens if an IVA fails - Check failure risks before choosing a provider
Compare an IVA Provider Carefully
Check your eligibility and compare whether an IVA may fit your circumstances with a free assessment.
Check eligibilityThis guide was checked against Insolvency Service, FCA and practitioner-regulation sources on 11 July 2026.
Reviewed by IVA Online’s editorial team. Always verify IP credentials independently before proceeding.
Frequently Asked Questions
How do I check if an IVA company is legitimate?
Check the named Insolvency Practitioner on the Insolvency Service register and check the firm on the FCA Register where debt advice or debt adjusting permissions apply.
Should I choose the first IVA company I speak to?
No. Compare fees, service, success evidence, risks, alternatives and whether the affordability assessment feels realistic before proceeding.
Can an IVA company guarantee approval?
No. Creditors must approve the IVA proposal by the required voting threshold, so guaranteed approval claims should be treated as a warning sign.
Sources checked
- GOV.UK IVA protocol key facts for IVA risks, fees and completion rules.
- GOV.UK options for dealing with your debts for debt solution context.
- MoneyHelper debt guidance for free, independent debt advice signposting.
- FCA Register and GOV.UK insolvency practitioner search for provider verification.