an Individual Voluntary Arrangement: The Best Way Out of your Debt Without
The IVA or Debt Relief Plan For Your Own Circumstances
Advice. No Bankruptcy. No loss of Dignity.
An IVA (Individual
Voluntary Arrangement) is a form of debt relief program set
up by H. M. Government to provide a solution to personal debt and deal
generally with the growing issue of personal insolvency. We are licenced
to give IVA advice and do so on the understanding that IVAs were never
designed to be one-size-fits-all cures to any money problem, as individual
circumstances can vary so much.
The needs of one
household or one individual may vary greatly from the needs of another
person. When you apply for an Individual Voluntary Arrangement any advice
given must reflect the uniqueness of the situation people find themselves
A normal IVA will
be set to run for sixty months and when this completes all the debts
are discharged from a person's credit record. During the time of the
IVA banks or debt collectors should not contact the debtor, although
this cannot be guaranteed. The IVA has all the benefits of bankruptcy
while having none of the drawbacks.
An IVA writes off
the bulk of your debt at the beginning of the programme (although beware
of the claims in some advertising: it is rarely much more than 60 or
65 percent of unsecured debt which can be cancelled in this way). All
good IVA advice will ensure that you get optimum results with the lowest
repayment options together with the greatest percentage of debt written
off at the outset.
So fill in the application
form below for impartial advice for your own situation.
If you have at least
two accounts in debt, and total debts of £2,000 or more, use the
form below to see if you qualify. (If you owe less than this, or are
on state benefits, then use this
link to apply.)
be aware that figures entered need to be accurate by law, and to give
the best service to you. It is extremely important that you budget
for all necessary expenditure including rent or mortgage, council
tax and utility bills, etc., and any other necessary outgoings related
to the upkeep of your household and inrelation to any specific circumstances
that may relate to you. This website only collects data on behalf
of debt management professionals, from which it will receive affiliate
remuneration for data collection only and does not itself engage in
any debt management services. Other debt management options are available
and may be more suitable. People entering into an IVA or debt management
will have this entered on their credit profile and this may affect
their ability to get credit in the short term or even in the long
term in some cases. It is free to apply from this website; you will
be given advice by debt management professionals and a 'cooling off'
period, by law, to decide whether or not the debt management plan
is suitable for you, and you should be aware that a fee will be chargeable
upon a successful arrangement, as with any commercial transaction.
Failure to meet the repayments on an IVA or any debt management programme
may result in serious consequences, including, but not limited to,
bankruptcy. Bankruptcies, CCJs and similar defaults will be entered
into a public register and will remain there for a statutory period
of not less than six (6) years.
Credit Licence number 633327.
For an Individual Voluntary Arrangement
An Individual Voluntary
Arrangement will generally be prepared by a specialist and qualified
insolvency practitioner and will be drafted specifically to match the
specific requirements. There is no typical approach to these processes
as each situation is different to the next, while some are considerably
different. The selected insolvency practitioner will now prepare the
optimum features according to the client's own individual circumstances
and ratify a programme of payments to creditors and this is usually
over 5 years, although in some cases this may change.
A distinct advantage
of an arrangement like this is that it will immediately reduce the debt
by a massive proportion. This reduction of debt makes a huge difference
and is one of the many things which distinguishes this from an otherwise
conventional management program. So folk seeking these debt reduction
programmes would be best advised to apply for this rather than a standard
debt relief program.
To apply for an
Individual Voluntary Arrangement is a useful legal measure and many
people would jump at the chance of getting one as it is sanctioned by
law and discharges the holder from this debt when the term has been
concluded. It is a much more gentle response to an individual's debt
problem than other sterner measures like bankruptcy and it carries none
of bankruptcy's stigma.
A number of disciplines
have emerged surrounding aspects of insolvency, and these encompass
the legal profession and newer professions including such diverse types
as IP consultants. Such experts have their own strengths. Each will
have their own area of knowledge and expertise which you should use
as appropriate. Making use of an Individual Voluntary Arrangement will
ensure the turnaround from insolvency is much easier.
In order to apply
for an Individual Voluntary Arrangement the applicant has to be able
to demonstrate a net income in excess of a certain minimum and have
arrears of more than a specified amount and not greater than a specified
maxima, and these values will change from one insolvency practitioner
to the next. Normally the income must be proved to cover the cost of
the repayments after other necessary outgoings have been paid such as
the mortgage and council tax. The typical minumum amount of debt is
around £2,000 although this figure may vary. A maximum threshold
of £50,000 is sometimes given, though by going through a broker
or intermediary the applicant will be directed to appropriate service
to deal with their own individual situation.
Most sorts of Individual
Voluntary Arrangement will normally be drafted to run for sixty months,
but sometimes this will vary from case to case. When the agreed period
is over the debt is said to be satisfied.
individual voluntary arrangement advice
individual voluntary arrangement faqs
individual voluntary arrangement help
individual voluntary arrangement quote
a look at the Insolvency Service's leaflet called 'In Debt',
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