What is an IVA?

An IVA or Individual Voluntary Arrangement is a legal process which enables a person in debt to avoid bankruptcy by making an agreement with it's creditors to pay off a certain percentage of the debts over a given period of time. The arrangement with the creditors can be flexible depending on the individual's circumstances.

The amount to be paid each month is calculated through an analysis of your income and expenditure. It can be based on income, capital or combanation of the both. Once agreed, the repayments are legally bound by a contract. If you fail to pay the payments then the creditors can force you to bankruptcy.

IVAs do not have the stigma which is connected to bankruptcy and as a result, the impact on reputation is minimal. Unlike bankruptcy, IVAs are not advertised in the local newspaper and the London Gazette but they are recorded on the IVA register held by the DTI and by credit reference agencies.

As a licensed Insolvency Practitioner, Fresh Finance Group can provide free IVA advice.

Why would I take out an IVA?

You only pay back the debts you can afford.
You can prevent or stop legal action - including bankruptcy.
Protect your home
Benefit from government legislation that helps clear debts.
Pay back an agreed, fixed amount each month within a fixed period (normally 60 months).
Get total protection from all of your creditors.
Freeze interest and charges.

How an IVA can help with debts

If you’re struggling with debts of £15,000 or over and feel that your debts are out of control, an IVA (Individual Voluntary Arrangement) could be the solution. Backed by Government legislation, an IVA offers full protection from your creditors, while you pay off your debts with one lower affordable monthly payment over a fixed period. At the end of the period, any remaining outstanding debt will be written off.

An IVA can help even if you have been refused credit in the past.

How can we help?

Our expert advisers will provide free IVA advice, talk to you about your circumstances and, providing you are eligible, work out a lower, affordable monthly payment based upon what you can realistically afford. We will liaise with your creditors, sort out all the paperwork and once the IVA is agreed, look after the ongoing administration for the duration of your IVA.

Does Debt Advisers Direct belong to a professional body?

Our Insolvency Practitioners are licensed to act by either the Insolvency Service (part of the Department of Trade and Industry), or the ICAEW (Institute of Chartered Accountants in England and Wales). All licensing and professional bodies provide technical, professional and ethical guidelines, which have to be followed carefully.

Related Links

- Protecting your home
- Protecting your income
- Protecting your family
- Debt Consolidation

If you need more advice or help, please feel to contact us and our experienced advisers will rovide you with free IVA Advice.