Yes I would follow their formal process first. You can also make a formal complaint to the Financial Ombudsman if that doesn't get you anywhere. Your final option is to actually sue them. It depends on your exact circumstances but, basically, if you had no significant assets to protect (e.g. a house) and do not work in a profession who are affected by bankruptcy then bankruptcy may have been a better option. In such a case you would claim the excess monies you paid in the IVA over what you would have paid in bankruptcy back from them. PM if you want any further advice and I will let you have my phone number.

I am a solicitor dealing with a claim against Spectrum for negligence. One of the allegations is that they advised him he was entering into an IVA when in fact it was an informal plan as well as the fact that he should have been advised to go bankrupt. I would be interested in hearing from anyone else with similar problems as you may be able to help in my case and, similarly we might be able to help you also claim back money from these guys.