If your current mortgage deal ends while your individual voluntary arrangement (IVA) is still running, you generally have the same choices as anyone else: a product transfer with your existing lender, a remortgage to a new one, or letting the deal lapse onto the standard variable rate (SVR), which is usually higher. An IVA does not stop the clock on your mortgage deal, so it is worth planning the renewal well before your fix ends.
This page focuses on a straightforward like-for-like renewal rather than raising extra money. For other reasons to remortgage part way through an IVA, see remortgaging while your IVA is still running. To use a remortgage to meet an equity release clause, see remortgaging to pay off an IVA.
On this page
This page covers
- Credit issue
- Individual voluntary arrangements (IVAs)Usually stays on your credit file for 6 years from the start date.
In short
- Doing nothing when your deal ends usually moves you to the lender’s standard variable rate.
- A product transfer with your current lender often needs a lighter check than borrowing from a new lender.
- Many IVA terms still expect you to tell your supervisor, even for a like-for-like renewal.
- Starting the process a few months before your deal ends gives you and your supervisor more time.
What happens if you do nothing when your fixed deal ends?
When a fixed or tracker deal ends, most mortgages move automatically to the lender’s standard variable rate, which is usually higher, whether or not you are in an IVA. If your budget within the IVA was set around your current payment, a jump to the SVR can make your contribution harder to maintain. Many lenders write to remind customers a few months ahead, but check your own dates rather than relying on that letter arriving in time.
Is a product transfer different from remortgaging to a new lender during an IVA?
| Point to consider | Product transfer (same lender) | Remortgage (new lender) |
|---|---|---|
| Affordability check | Where you are not borrowing more, lenders can often switch existing customers without a full assessment (MCOB 11.6.3R) | A new lender usually carries out a full affordability assessment |
| Credit search | Often a lighter check, though this varies by lender | A full credit search is typical |
| Choice of deals | Limited to what your current lender offers | Wider in theory, but fewer lenders may consider an active IVA |
| Supervisor involvement | Still usually expected under many IVA terms | Usually expected, and often with more detail requested |
A general comparison, not a guarantee either route will be offered. Every lender sets its own criteria for existing and new customers.
Because a product transfer does not raise new money, it is often the simpler option during an IVA, but your current lender still decides what to offer, and it may take your IVA and payment record into account.
Do you still need your supervisor’s agreement for a like-for-like renewal?
Often, yes, even though you are not borrowing more. Many IVA terms ask you to tell your supervisor about any change to your mortgage, and a change in monthly payment, whether it rises or falls, can affect the budget set out in your arrangement. Check your own IVA terms or ask your supervisor how a renewal should be handled.
If a new deal reduces your mortgage payment, some supervisors may want to review your contribution to creditors, since the saving could otherwise sit outside the IVA’s intended balance. Ask before assuming a lower payment is entirely yours to keep.
When should you start looking at your renewal?
Many people can arrange a new deal a few months before their current one ends, often 3 to 6 months ahead depending on the lender. Starting early during an IVA gives extra time for your supervisor to consider the request and, if needed, for an adviser to compare product transfer and new-lender options.
- Check your current deal’s end date and any early repayment charges for leaving before it.
- Ask your current lender what product transfer options may be available to you, and tell your supervisor what you are planning.
- If a new lender is also worth exploring, speak to an adviser who understands IVAs before applying.
- Confirm everything in writing before your existing deal ends, to avoid slipping onto the SVR.
What if your current lender will not offer you a new deal?
Some lenders may be reluctant if you have missed mortgage payments, even if the IVA itself is being managed well. Options can then include staying on the SVR while you look elsewhere, or approaching a specialist lender that considers an active IVA, usually at a rate higher than the high street. If the SVR is not affordable, contact your lender early, as they must treat struggling borrowers fairly, and consider free advice from MoneyHelper or National Debtline.
What may affect a mortgage renewal during an IVA
| Factor | Why it matters |
|---|---|
| Whether you are borrowing more | A like-for-like renewal is usually simpler than one that raises extra money against the home. |
| Timing before your deal ends | Starting a few months ahead gives more room for supervisor agreement and lender comparison. |
| Supervisor agreement | Many IVA terms expect notice of any mortgage change, even one that lowers your payment. |
| Current lender’s policy | Product transfer availability and any checks applied to existing customers vary by lender. |
| Mortgage payment history | A clean record with your current lender supports a smoother product transfer. |
| Stage of the IVA | A renewal close to an equity review may be considered together with that review rather than separately. |
| Loan to value | A lower LTV can widen the choice of deals, whether staying put or moving lender. |
| Income and affordability | A new lender is likely to stress test the payment against your income and IVA contribution. |
These are general points, not lender rules. Each lender sets and changes its own criteria.
Information an adviser may ask for
You don’t need all of this to make an enquiry. It helps to know where to find it, because an adviser is likely to ask about most of it.
- Your current deal’s end date and any early repayment charges
- A copy of your IVA terms on changes to your mortgage
- Your supervisor’s contact details and any written agreement
- Your mortgage statement showing balance and payment history
- Proof of income and your current monthly outgoings
- An estimate of your property’s value
Frequently asked questions
Will my mortgage automatically move to the standard variable rate if I do nothing?
Usually, yes. Most mortgages move to the lender’s standard variable rate when a fixed or tracker deal ends, unless you arrange a new deal beforehand. This can happen regardless of your IVA, so it is worth acting before your current deal expires.
Does a product transfer during my IVA need a full affordability check?
Where you are not borrowing more, FCA rules allow lenders to switch existing customers without a full affordability assessment. Your lender can still decide what it offers you, and may look at your mortgage payment record.
What if my current lender declines to offer me a new deal?
You may be able to stay on the standard variable rate while you look at other options, including a specialist lender that considers an active IVA. If affordability is a concern, speak to your lender and to a free debt adviser as early as possible.
Can I remortgage to a different lender instead of a product transfer during my IVA?
It can be possible, though usually with a smaller pool of lenders willing to consider an active IVA, and a full affordability assessment. Compare this against a product transfer with your current lender, and tell your supervisor about either route before applying.