Individual Voluntary Arrangement or IVA

• An IVA in England or Individual Voluntary Arrangement is a formal agreement to make reduced repayments towards your debts between you and your creditors (people you owe money to).
• An IVA allows you to pay off a percentage of what you owe and is normally classed as settled after five years.
• An IVA has to be set up by a licensed insolvency practitioner.

Why would anyone want to get tied into an IVA?

You may be requested to release some equity from your home if you own one.  This would usually be in the last 24 months of the IVA and would depend on how much equity was available.  This would increase your total contribution back to your creditors. If no equity is available it can extend the period of the IVA.

A total of 75% of your creditors must agree to the IVA proposal for it to proceed.

• The reason an IVA is so effective is because it is a formal agreement between you and your creditors.
• You agree to pay an agreed amount every month for the duration of the Individual Voluntary Arrangement.
• All outstanding debts will be written off forever and your creditors cannot legally pursue you any more over these debts.
• Some people say that they liked the idea of an Individual Voluntary Arrangement or IVA in England because of how discreet it is.
• Many professionals use an IVA.

If an Individual Voluntary Arrangement is something that you feel you would suit you to clear debtor you just think you need more information before going down that route, please get in touch.

• Our lines are open 24 hrs for anyone who needs confidential help to deal with an IVA or debt.