Individual Voluntary Arrangement (IVA)
IVAs are an alternative to bankruptcy for the seriously indebted. Introduced by the Government as part of the Insolvency Act (1986), the process is managed by an Insolvency Practitioner (IP).
They enable a debtor to make a financial proposal, in line with their income & expenditure, to their creditors to reach a final settlement on their debts. If the proposal is approved by the majority of creditors, the IVA stands as a formal contract that binds all parties & prevents further action.
The IVA will then pay what is affordable monthly (at a fixed, agreed figure) into a fund over a 5 year period. After this period the debt is then cleared.
IVAs are not suitable for everyone. Ourselves & our partners can provide clear advice and guidance as to whether an IVA may be right for you.
IVA Pros
- Debt Free in 5 Years
- Telephone Calls and Payment Demands Stopped
- Interest and Late Payment Charges Frozen
- Single Monthly Payment
- Repaired Credit Rating
- Fixed, Legally Binding Agreement
- Protection from Court Action
- A Private Agreement
- Professional Status Unaffected
IVA CONs
- Possible Release of Home Equity
- Minimum Level of Debt
- No Unsecured Borrowing During the Arrangement
- Stick to a regimented regime for 5 years
- Damaged Credit Rating
- Longer than Bankruptcy
- You will pay back more than you will in bankruptcy
You must include all creditors.
For more information call: 0845 658 8830
One Debt Solution
PO Box 15125
Halesowen
West Midlands
B62 2GE
Website: www.onedebtsolution.co.uk
Email: info@onedebtsolution.co.uk
Consumer Credit License Number: 597146/2
Data Protection License Number: Z995138X
Ministry of Justice License