A legal arrangement between you and your creditors to pay off your debts is known as an Individual Voluntary Arrangement (IVA). An IVA is a formal insolvency procedure and must be supervised by an insolvency practitioner (IP). If you enter into an IVA, you’ll be required to make regular monthly payments towards your debts for a period of time (usually five years). Any outstanding debt will be eliminated at the end of the individual voluntary arrangement.
Insolvency includes both bankruptcy and IVAs. This means that your name will be put on the Insolvency Register regardless of the option you choose. This is a legal database that contains active and newly concluded agreements. Despite the fact that it is searchable by anybody, it is more likely to be used by creditors than by members of the general public.
There are a number of advantages of an IVA, including:
- You’ll only have to make one monthly payment towards your debts.
- Your creditors will be legally bound by the terms of the IVA and cannot take any further action against you.
- You’ll be protected from bankruptcy.
- Usually stops charging interest and fees.
- In an IVA, you won’t need to sell your house.
If you’re considering an IVA, it’s important to seek professional advice from an experienced IP. They’ll be able to assess your financial situation and advise you on whether an IVA is a right option for you.
If you’re struggling to repay your debts and are unable to reach an agreement with your creditors, an IVA could be an option for you. Contact Acme Credit Consultants Ltd. We’ll evaluate your specific situation and help you in determining whether an IVA debt help or other debt relief alternatives will be beneficial for you. Get in touch with us at +44 7779648018 for debt management plan.