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Can I get car finance in an IVA

Yes, Premium Plan offers Hire Purchase (HP) car finance to those in an IVA (Individual Voluntary Agreement) from 19.9% APR representative. If you are in an IVA or Trust Deed, your Insolvency Practitioner must have provided consent for you to take finance for a car.

What is Hire Purchase car finance?

You will borrow the money to purchase the car and pay the amount back with interest over 3–5 years. Until you have completed all payments due under the agreement, we will own the vehicle. Once the final payment has been made, you will own the vehicle.

How does an IVA work?

An IVA is an agreement arranged between a person and their creditors, which is legally binding, to repay debt in fixed sums that can be afforded over a set amount of time.

What car can I finance?

Whether it’s a 4x4, city car or convertible, we’ll help you find your perfect car through our partner dealership, or if you’ve already found a car, we can assess finance options with your chosen dealer. Use our instant Finance Calculator to evaluate your payments.

Will applying for car finance affect my credit score?

At Premium Plan we perform a soft credit search to determine your eligibility for an affordable car finance agreement. This does not leave a footprint on your credit file or affect your credit score.

What do I need to apply for car finance whilst in an IVA?

In order to apply, we will need your latest full months’ bank statement, a month’s worth of payslips (or your most recent tax return if you are self-employed). You will also need a full UK driving licence and consent from your Insolvency Practitioner to take car finance.

My finance is due to end and I have a lump sum payment?

If you’re coming to the end of your car finance agreement and have a final lump sum payment to make on your car, Premium Plan can help. We offer balloon payment finance to help make your outstanding balance more affordable.

Financing your balloon payment

Many people get to the end of their car finance term and don’t have the funds to make the final payment. If you find yourself in this situation then one option you have, is to finance your balloon payment.

Balloon finance can provide you with a cost-effective option to paying the remaining balance on your car. Instead of paying off this amount at once, the cost is broken up into affordable monthly payments.


Read about our customers’ journeys:

Laura* is in an IVA and pays £85 per month, with a credit score of 586. She wanted to finance a car that’d allow her growing family more comfort. Premium Plan approved to lend her £11,500 over 5 years. Permission was granted by her IVA provider for Laura to borrow up to £9,784. Our friendly customer service team helped Laura find the perfect car and she signed her HP finance for £9,773 at 19.9% APR and drove her car away the next day.

Matthew* had completed his previous HP with Premium Plan but was worried he wouldn’t be able to get car finance again now he was in an active IVA. He had a perfect payment history previously and was approved for £15,000 over 5 years at 19.9% APR. With permission from his IVA provider, Matthew drove away in his dream car the same week.

Read our clients reviews here.

*Names have been changed.

Finance Calculator


Enable you to keep your car.

Representative APR 19.9%

A finance option for a less than perfect credit history.

Affordable monthly payments

Representative 19.9% APR

Complete the online enquiry form today or call 0800 197 9758 to speak to Premium Plan trading as Red Potato.

Representative Example: Borrowing £5,500 over 48 months with a representative APR of 19.9%, the amount payable would be £162.34 a month, option to purchase fee £10.00, with a total cost of credit of £2,302.32 and a total amount payable of £7,802.32

We perform a soft credit search which will not leave a footprint on your credit file or affect your credit score.

We specialise in providing finance for customers in a DMP or IVA

Those who are self-employed or ex-bankrupt can still apply