Individual Voluntary Arrangement (IVA)

The Individual Voluntary Arrangement (IVA) was introduced by the government as part of the Insolvency Act 1986. It is a valuable alternative to bankruptcy and debt management plans, allowing someone with debt problems to make a proposal to the people they owe money to (their creditors) and to reach a final, legally binding settlement.

IVA benefits include lower monthly repayments, final elimination of your debt after five years and a formal legal agreement that means creditors have to stop chasing you.

An IVA settlement involves agreed monthly payments over a period of five years, the amount you pay per month can vary as it is based on what an individual or household can actually afford. Monthly repayments can start from as low as £150, usually significantly less than existing minimum payments on credit cards and loans.

Advantages of an IVA

Monthly payments are affordable
You won’t have to go bankrupt
You keep your house and car
Interest payments are frozen by law
Legal action is stopped by law
Overall debt is substantially reduced
Your debts are cleared in five years
Your IVA provider will deal with your creditors directly, so you won’t have to!

Disadvantages

No more borrowing during the IVA period
Credit rating is poor for a further year after the IVA
Default can result in bankruptcy proceedings
Five year period

What to Look Out For

There are both reputable and more 'pushy' companies providing IVAs. Take particular care if someone offers to reduce debts by 75-90% before knowing more about your situation.

How to Apply for an IVA

We are perfectly placed to help you make the decision as to whether or not an IVA would be the best choice for you and we have a dedicated department that processes hundreds of IVA applications for individuals every month.

IVAs and Advice

We do not charge for advice and we do not charge if your IVA proposal is rejected by the people you owe money to. In an IVA all you pay is the amount you can realistically afford, each month for the period of your arrangement (usually 60 months), and that is literally all you have to pay as long as you keep up the payments.

We will deduct our fees from your monthly payments - everything else is paid to your creditors.

Take your first steps to a better future now!

0800 954 6519