
Individual Voluntary Arrangements (IVA)
What is an Individual Voluntary Arrangement (IVA)?
An Individual Voluntary Arrangement is a debt solution that allows you to “freeze”” your debt and agree to pay them back over a specified period, usually 5-6 years. Any money you owe thereafter is written off.
An IVA is a legally binding agreement between you and your unsecured creditors, arranged and supervised by a licensed Insolvency Practitioner (IP). In short, you agree to pay back the maximum you can afford over a specified period of time, at the end of which period your creditors agree to write off any remaining balances.
We will work with you to calculate what you can comfortably afford to pay each month and also assess whether you have anything else you are able to offer to your creditors to enhance the agreement e.g. from the sale of an asset, remortgage, or savings.
We do not charge you for advice about an IVA or for help with the preparation of the documents. If you are in a debt management plan already it will continue as normal until your IVA has been approved.
The fees for an IVA are agreed with your creditors and are taken out of the money paid into the arrangement by you once the arrangement has been approved, so you do not pay anything extra to cover the fees.
Is an IVA the right solution for you?
An IVA is a form of insolvency and is a legally binding agreement therefore it is important that you consider whether:
Advantages of an IVA:
