Individual Voluntary Arrangement IVA, an alternative to bankruptcy

Individual Voluntary Arrangement, IVA is an alternative to bankruptcy - which could provide you with a real solution to your debt problems.

An Individual Voluntary Arrangement (IVA) is an alternative to bankruptcy. If you have a substantial amount of unsecured debt an IVA could be your best solution.

IVAs are controlled by government legislation and can only be set up by licensed Insolvency Practitioners. An IVA acts as a legally binding agreement between you and your creditors, freezing interest charges on your debt and setting an affordable monthly payment amount over an agreed fixed period (usually 5 years).

It is important to remember that you should only consider an IVA if you have sufficient money available to contribute towards repaying your debts each month or additional assets which could be taken into consideration.

Notices placed in the press
Potential loss of assets such as your home, business and car
Long term effect on your ability to apply for a credit or a mortgage
Restriction to work within certain professions or hold a position of office
Your utility suppliers gas, electricity etc informed
Your bank and building society accounts closed

The unpaid balance of your debts is written off as much as 75%
One affordable monthly payment, usually for five years
Protects you from further action by your creditors
Your creditors are legally bound by the terms of the agreement
No uncertainty: you know how much you have to pay
Alternative to bankruptcy
No public notices: an IVA is between you and your creditors

See Also:

Individual Voluntary Arrangements. IVA
What is an IVA?There is an alternative to bankruptcy called an "Individual Voluntary Arrangement" (IVA). This is a formal arrangement through the county court to pay an agreed amount off your debts over a shorter period. This usually means paying a high monthly instalment over 3 to 5 years. The ... more...

Going Bankrupt in the World
It all starts by defaulting on an obligation: Money owed to creditors or to suppliers is not paid on time, interest payments due on bank loans or on corporate bonds issued to the public are withheld. It may be a temporary problem - or a permanent one.As time goes by, the creditors gear up and ... more...

Bankruptcy Information - Common Courtroom Terms
Bankruptcy- Bankruptcy Terminology, 45 Terms to Know and UnderstandMany debtors and creditors know little of the bankruptcy process. These terms are to help assist individuals in understanding bankruptcy. The terms provided are as defined from the Public Information Series of the Bankruptcy Judges ... more...

Bankruptcy, Is It A Way Out
Negotiations with creditors have failed. Repossession is imminent and foreclosure proceedings have begun. Your income is simply not sufficient to pay your bills, no matter how low the payments are. It may be time to consider bankruptcy.Bankruptcy law evolved as a reaction to the abuses surrounding ... more...