IVA - Individual Voluntary Arrangements

What is an IVA

An Individual Voluntary Arrangement (IVA) is a formal debt solution that allows people with serious debt problems a chance to repay to their unsecured creditors only what they can afford.

For tenants, an IVA has a fixed time period, normally 5 years, after which the IVA is completed. Any outstanding unsecured debts still remaining at the end of the IVA are legally written off leaving the applicant legally "DEBT FREE"

For homeowners with equity in their property, it's slightly different. Your IVA payments will still be based on affordability, but your IVA will have an 'equity clause' added, outlining the conditions under which you will be required to introduce some of your equity at the end of your arrangement. If you have equity but can't release it you will be expected to add 12 payments to your IVA's original term, after which your outstanding unsecured debts will be legally written off.

How can an IVA help me

PROTECTS your assets, such as equity in your home, by preventing your creditors from forcing you to sell up in order to pay them back.
FREEZES all the interest payments on your unsecured debts including your credit cards and store cards.
WRITES-OFF any of the unsecured debt you can't afford to repay within a fixed time frame, immediately giving you light at the end of the tunnel.
PREVENTS legal action from being taken against you, removing the threat of bailiff action and bankruptcy.
TACKLES any unmanageable debt levels above £10,000 and deals with all your loans, credit cards, store cards and other unsecured debts in full.
STOPS late payment charges and fees, giving you the reassurance that your debt has stopped growing.

What should I be aware of with an IVA

CREDIT. Once you enter into an IVA your credit rating will be damaged for a total of 6 years, beginning at the date your IVA starts. Even if your IVA ends after 5 years, you will still find it difficult to obtain credit.
INSOLVENCY REGISTER. Like bankruptcy, an IVA is listed on the Insolvency Services Insolvency Register. Your name and details of your IVA will be record on the register for the duration of the IVA.
BUDGET. You will have to manage your finances within a fixed budget and you will not be able to borrow any money whilst the IVA is active.
BANKING. Your banking facilities will be restricted, you will have no overdraft or credit cards, but you will have access to internet banking and debit cards.
WINDFALL. If you have a change in your financial fortunes, such as enjoy a lottery win, you will expected to repay your original debts in full and may even become liable for some or all of the IVA's costs.

Your Individual Voluntary Arrangement will allow you to reduce your normal monthly debt repayments to a single affordable monthly payment.

Your IVA will give you legal protection from your creditors, whilst you only repay what you can afford, giving you peace of mind. Once the IVA is agreed there will be no more CCJs and no bailiff visits.

Unlike an open-ended Debt Management Plan, your Individual Voluntary Arrangement will have a fixed time frame which is normally 5 years, giving you the assurance that there will be light at the end of the tunnel for your debt problem.

Once your IVA has been agreed by your creditors and, if you re a homeowner, when you have fulfilled your obligations under the IVA equity clause, you are guaranteed to be "DEBT FREE" at the successful completion of your IVA.

What's more, even though your IVA is recorded of the 'public' Insolvency Register, an IVA is often referred to as a private agreement because, unlike bankruptcy, it is not mentioned in the press, giving you the opportunity to keep your Individual Voluntary Arrangement between just you and your creditors.

How do I apply for an IVA

Talk to the IVA experts at IVA.org. We've already helped hundreds of people apply for an Individual Voluntary Arrangement and we are waiting to help you right now. We will guide you through the whole IVA application process, making sure you receive the right IVA advice on all your debt solutions before you commit to an Individual Voluntary Arrangement.

Our IVA advisers are friendly, non-judgemental and extremely experienced in helping people come to understand the IVA debt solution.

So either,

Give our IVA helpline a call...

If you simply want to have a chat about your options, or would like to ask a question about your solution. We invite you to call our dedicated freephone IVA helpline at a time that suits you on.

or,

Request a Call Back

We invite you to request a confidential consultation by simply submitting your details in the form provided, with a preferred time for us to call you back.

IVA.org offer helpful and practical IVA advice on the Individual Voluntary Arrangement debt solution. Discover if an IVA is the suitable solution for your debt problems

Learn about the IVA solution & get a detailed understanding of how an IVA works Call one of our friendly advisers or click here to reqest a call back at a time that suits you View the most frequently asked questions of an IVA or ask your own