IVA
Individual Voluntary Arrangement
If you are struggling with your existing debts and need a solution which is more permanent than a debt management plan then an IVA could help.
An IVA uses government legislation to help people struggling with debts reduce their financial commitments to a more sustainable level.
What is an IVA (Individual Voluntary Arrangement)
An IVA or Individual Voluntary Arrangement is a way to help reduce payments to creditors for those who genuinely can not afford their current creditor arrangements. An IVA is a legally binding contract between you and your creditors and can only be arranges through a licensed insolvency practitioner.
How does an IVA (Individual Voluntary Arrangement) work?
An IVA works through government legislation and, as long as you meet certain criteria, your creditors will have to agree to any new payment arrangements made within the IVA agreement. You make one monthly affordable payment throughout the IVA term, typically 5 years. As long as 
the IVA has been satisfactorily conducted (all payments being made when due), at the end of the IVA term any remaining debt is wiped clean meaning you would then be debt free. This effectively means an IVA can potentially write off up to 75% of your debts.
The terms of the IVA agreement that lay out the new payment arrangement will state that you will be willing to pay as much as possible to the IVA - so an IVA allows you the opportunity to repay your debts in a way that is affordable to you.
How do I know if I qualify for an IVA (Individual Voluntary Arrangement)?
The criteria for qualifying for an IVA is fairly straightforward and generally consist of the following:
- At least £15,000 of debt
- At least £200 per month for payment of the IVA
- Have 3 or more creditors
- A regular income
- Be struggling with your existing debt
The last item in the list above, whilst not a condition of an IVA is obvious as it is very unlikely any creditors would agree to an IVA if all creditor payments are up to date and you can afford your existing payments.
I do meet the IVA (Individual Voluntary Arrangement) criteria above, what should I do next?
Simply complete the enquiry form at the top of this page and we will call you back to discuss you personal financial circumstances in person.
Once we have the required information, and after discussing your needs, requirements and budget we will either pass your details onto a licensed insolvency practitioner or we may be able to recommend an alternative solution which you may not of thought of such as a debt management plan, bad credit remortgage or secured loan.
- contact us today
