Getting a Mortgage After Bankruptcy, an IVA or a DMP

This guide provides general information and is not a substitute for personalised mortgage, tax or legal advice.

Written and reviewed by the Highhouse Money mortgage team · Last reviewed: 25 August 2026

Bankruptcy, an Individual Voluntary Arrangement (IVA) and a debt management plan (DMP) are three different routes people take when debts become unmanageable, and they are treated differently by mortgage lenders. All three can affect your ability to borrow for a period, but none of them permanently rules out a mortgage.

This guide explains how these events typically affect a mortgage application, what discharge and waiting periods usually involve, and what you can do in the meantime. It is general information, not a promise of any outcome — individual lender policies vary and change, and every case is assessed on its own facts.

Steps to take if you have been through bankruptcy, an IVA or a DMP

Confirm the exact dates: order, discharge, completion or plan start and end
Get copies of your credit reports from Experian, Equifax and TransUnion
Check the event is recorded accurately, including discharge status
Gather documentation explaining what caused the event
Build a track record of on-time payments since the event
Register on the electoral roll at your current address
Save towards as large a deposit as realistically possible
Get whole-of-market advice before making any application

The three routes, and how they differ

Route	What it involves	Typical file duration
Debt management plan (DMP)	Informal arrangement to repay debts at a reduced rate, agreed with creditors	Visible while active and via related markers
Individual Voluntary Arrangement (IVA)	Formal, legally binding agreement to repay a proportion of debts, usually over five to six years	Recorded for six years from the start date, and on the Insolvency Register while active
Bankruptcy	Formal insolvency process; most debts are written off but assets may be used to repay creditors	Recorded for six years from the order date, discharge is usually around 12 months in

General patterns only — exact terms depend on individual circumstances and current insolvency rules.

Discharge is not the same as being 'clear'

Discharge from bankruptcy, or completion of an IVA, ends the formal legal restrictions of the process — but it does not immediately erase the record from your credit file, and it does not automatically make you an attractive prospect to every lender. Most lenders that consider these histories still expect a further period to have passed since discharge or completion, alongside a period of good conduct.

Waiting periods and requirements vary significantly between lenders and are reviewed and changed over time, so figures should always be checked directly and are not something a guide can guarantee.

What lenders tend to look for afterwards

How long ago the event was discharged or completed
The cause of the original financial difficulty, and whether it was a one-off
Conduct on any credit used since — on-time payments matter a great deal
Current income and affordability, assessed under today's rules
Deposit size — often expected to be larger for these cases
Whether any new credit problems have arisen since discharge or completion

Rebuilding a case over time

There is no shortcut, but there are constructive steps. Using a small amount of mainstream credit responsibly and repaying it fully and on time helps build a positive, recent track record. Registering on the electoral roll, keeping addresses consistent across accounts, and checking your credit reports regularly for errors all support a stronger application when the time comes.

Saving towards a larger deposit is also worth prioritising, since many lenders willing to consider post-insolvency applications ask for more than they would from a mainstream borrower, reflecting the higher perceived risk.

Honesty on the application form

Application forms typically ask whether you have ever been subject to bankruptcy, an IVA or similar arrangements — not only whether it currently appears on your credit file. Public registers, such as the Insolvency Register, can also be checked by lenders. Answer these questions accurately every time; a declined application on the facts is far easier to work with than one declined for inconsistency or omission.

Your home may be repossessed if you do not keep up repayments on your mortgage.

If you are still in a DMP or IVA

If you are currently managing a DMP or are still within an IVA, a new mortgage is unlikely to be the immediate priority — most lenders want to see the arrangement completed first. Continuing to meet the plan's terms in full is usually the best preparation for a future application. Speaking to the organisation managing your plan, and separately to a mortgage advisor about timing, can help you understand what completion will mean for your options.

Specialist lenders and realistic expectations

A number of specialist lenders focus specifically on borrowers with more complex credit histories, including past insolvency. They assess cases individually and are often accessible only through mortgage intermediaries. Pricing and deposit requirements in this part of the market tend to reflect higher perceived risk, so it is worth weighing the numbers carefully alongside the alternative of waiting longer and applying to a wider range of lenders later.

What lenders may assess

The type of event — DMP, IVA or bankruptcy — and its exact dates
Discharge or completion status and how long ago it occurred
The circumstances that led to the event, with supporting evidence where possible
Conduct on any credit taken out since
Current income, outgoings and affordability
Deposit size and resulting loan-to-value
Results of checks against public insolvency registers

Every lender sets its own criteria, which change regularly. The points above are common themes, not a guarantee of how any individual lender will treat an application.

Frequently asked questions

How long after bankruptcy can I get a mortgage?

There is no single answer. Bankruptcy is usually discharged after around 12 months, but many lenders require a further period to pass after discharge before they will consider an application — often several years, though this varies significantly by lender. Some specialist lenders consider cases sooner than others. The record itself typically remains visible on your credit file for six years from the date of the bankruptcy order.

Can I get a mortgage while still in an IVA?

It is uncommon but not automatically impossible with certain specialist lenders, though most require the IVA to have been completed and often expect a further period afterwards. Because an IVA involves an ongoing formal agreement with creditors, most lenders prefer to see it fully discharged first, with a track record of managing finances well since.

Does a debt management plan (DMP) affect a mortgage application in the same way as an IVA?

A DMP is an informal, non-binding arrangement rather than a formal insolvency procedure, so some lenders treat it more leniently than an IVA or bankruptcy — but it still shows on your credit file and reflects a period of financial difficulty, so lenders will still want to understand it and see it resolved or well managed.

How long does bankruptcy stay on my credit file?

Typically six years from the date of the bankruptcy order, regardless of how quickly you were discharged. Lenders can see this record for the full six years even after discharge, though its weight in a decision usually reduces the longer ago it was and the stronger your conduct has been since.

Will I need a bigger deposit after bankruptcy or an IVA?

Often, yes. Lenders willing to consider these histories frequently ask for a larger deposit than they would for a mainstream applicant, reflecting the higher perceived risk. Deposit requirements vary considerably between lenders and cases, so this needs individual checking rather than assumption.

Can I rebuild my credit history after bankruptcy or an IVA?

Many people do, over time, by managing available credit responsibly, keeping up all payments, registering on the electoral roll, and avoiding further credit problems. There is no guaranteed timeline or method, but consistent, well-evidenced conduct since the event is generally viewed positively by lenders that consider such cases.

Should I disclose bankruptcy even if it's now more than six years old and off my file?

Application forms often ask directly whether you have ever been made bankrupt, not just whether it currently shows on your file, so read the question carefully and answer honestly. Lenders may also have access to public insolvency registers. Inaccurate answers can lead to a declined application or worse.

Where can I get free advice about debt or insolvency options?

MoneyHelper, StepChange, Citizens Advice and National Debtline all provide free, impartial guidance on debt solutions including DMPs, IVAs and bankruptcy. These are separate, regulated services from mortgage advice, and it is worth using both at the appropriate time — debt advice first if you are still managing a difficult situation, mortgage advice once you are looking ahead.

Does the reason for the bankruptcy or IVA matter to lenders?

It can. A one-off event such as a failed business, illness, divorce or redundancy, with clear evidence and a clean record since, is often viewed differently from a pattern of recurring financial difficulty. Being able to explain the circumstances, supported by documentation, can help when a lender is considering a case.

Sources and further reading

Where figures or rules can change, the position described is correct at the time of writing (25 August 2026) — always check the linked authoritative source for the latest position.

Bad credit mortgages explained

The wider picture of adverse credit and the specialist market.

Mortgages after a default, CCJ or missed payment

For less severe credit events short of formal insolvency.

Residential mortgages

Whole-of-market advice, including complex credit histories.

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