IVA Benefits

What is an IVA?

An IVA is a repayment plan, usually over 60 months, that is negotiated between you and your creditors.
It is a formal legal agreement between all parties and both yourself and your creditors are bound by this.
The benefit of an IVA is that the debts you have not repaid at the end of the term are completely written off. Also, the original debt will not incur any further interest and charges.
All you need to do is make continued monthly repayments as set out in your IVA agreement. This will ensure that your creditors can take no further legal action against you.

Who is an IVA Suitable for?

AN IVA may be suitable if you have serious debt problems, generally where you have more than £12,000 of unsecured debt, have several creditors and are unable to keep up on your minimum repayments to them.
IVA's are a less drastic alternative to bankruptcy. It is a legally binding agreement between you and your creditors, where you make affordable repayments for 5 years (60 months) and after this period your remaining debt is written off and you are free of your debt.

How Do I Arrange an IVA

An IVA can only be arranged through a licensed Insolvency Practitioner.
They will look at your circumstances, your outgoings and will then establish what you can reasonably afford to repay each month, after your essential living expenses have been considered.
The Insolvency Practitioner will then negotiate with your creditors on your behalf, overseeing the whole IVA process.
As part of the IVA all charges and interest are frozen, meaning that your debt will not increase. Your creditors and any debt collectors will also no longer chase you for money, as all such letters and phone calls will be dealt with for you. Any legal action that may be underway against you will also be stopped, including any bankruptcy proceedings.

To see if you qualify for an IVA, please contact us today without obligation.