Consumer Debtline

Individual Voluntary Arrangements (IVA's)

CONSUMER DEBT CONSOLIDATION ADVICE

If you owe more than £15,000 and are struggling to keep up with your debt repayments then an IVA could be the best solution.

OVERVIEW

For qualifying consumers the main features of an IVA are –

• the consolidation of your debts into one single monthly payment



• the complete stopping of any further interest or charges being applied to the debts



• a legally binding and confidential agreement with your creditors



• the writing off of all remaining debts at the end of the IVA period

An Individual Voluntary Arrangement ( IVA ) is a legally binding agreement between you and your unsecured creditors. Under the IVA you agree to make a single monthly payment based on what you can resonably afford on your current income. Typically these IVA payments will be made for up to five years at the end of which all remaining unpaid debt is written off by the creditors leaving you free from debt.

BENEFITS OF IVA's

When compared to other alternative solutions to debt entering into an IVA can have advantages both for yourself and your creditors.

Benefits to you

• an IVA is flexible and can be tailored to suit your own circumstances


• the arrangement is private and unlike bankruptcy wont be listed in your local newspaper


• entering into any IVA can see a reduction of up two thirds of your original debt repayments


• it is easier to maintain some banking arrangements in an IVA than it would be as an undischarged bankrupt


• any legal action is stopped once the IVA is approved

Benefits to your creditors

• the return on the debt is usually higher for you creditors than would be the case if you were to be made bankrupt


• the costs are lower than those associated with bankruptcy


• your creditors can claim tax relief on the debt

OUR SERVICE

The Consumer Debtline is part of the Financial Guardian - McCambridge Duffy group of Licensed Insolvency Practitioners who are authorised to provide IVA services. We will work out a proposal with you to ensure that you have sufficient income each month to enjoy a reasonable lifestyle. More importantly we will undertake all the creditor negotiations on your behalf. Once our discussions with you are completed we will then prepare a proposal which is put forward to your creditors and it is our job to obtain approval from them for your IVA.

If you would like to hear more about how an IVA can help you either call us on our free phone helpline 0800 43 50 43 or complete our enquiry form and we will get back to you at the earliest possible opportunity.