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An Individual Voluntary Arrangement (IVA) is a formal solution used to resolve personal debt problems. It is an agreement with your creditors to repay as much of your debt as possible within a fixed period (normally 5 years).
At the end of the IVA, whatever debt has not been repaid is written off by the creditors allowing the you to make a fresh start, debt free.
To find out more about IVAs click on the video or continue reading below.
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Call 0800 077 6180 for Advice
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Where to start
• Choose the solution – Use the “Which way should I turn” form to get your FREE DEBT REPORT
• Ask the experts – use the IVA Forum
• Read expert articles about Individual Voluntary Arrangements
• Call us now – speak to one of our advisors in confidence to see if an IVA can work for you.
Government Advice
The Government's Insolvency Service has also produced a useful guide to personal debt solutions "In Debt - Dealing with your creditors". This and other useful debt solution resources can be viewed in the "Useful Links" box at the bottom of this page.
Take the first step to beating your debt NOW – Call us on 0800 077 6180
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FROM BEAT MY DEBT NEWS...
02 February 2012 -
Are IVA payments fixed?
Pay what you can afford
The amount that you repay creditors in an IVA will depend on the level of your disposable income calculated by taking away your reasonable monthly living expenses from your total monthly income. You will be asked to pay all of your disposable income each month into the arrangement for 5 years.
Interest Frozen and Debt Written Off
The IVA is a legally binding agreement. It is covered by the law within the Insolvency Act of 1986. This means that once agreed, your creditors are not allowed to change the terms of the arrangement and must stop adding interest and charges to your debts.
Your creditors are also required to agree that at the end of the arrangement, as long as you have made all of the payments you agreed to make, any outstanding debt will be written off.
Homeowners may have to release equity
If you are a home owner and have any available equity in your property, you will also be asked to release this through a re-mortgage. Any lump sum generated in this way will also have to be paid to your creditors.
More Information: Expert articles
To read articles about individual voluntary arrangements written by our experts please click on the expert articles and news link in the "Useful Links" box below.
HOW WE HELP...
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