Individual Voluntary Arrangements

An IVA enables an individual with debt problems to make a proposal to a reach settlement with their creditors, in most cases significantly reducing / writing off debt.

Why Might An IVA Suit Me? In an IVA, an individual with debt problems will reach an agreement with their creditors to make a single, affordable payment each month (based on the individuals finances). This lasts for an agreed period, usually 5 years. Once agreement has been reached, no further interest or charges will accrue to debts. At the end of the arrangement, any shortfall to creditors is legally written off. For an IVA to be approved, a minimum of 75%, in value, of voting creditors is required to vote in favour of the proposal.

An IVA is suitable when someone is unable to pay off their debts but does not want to file for bankruptcy or a debt relief order (if applicable). It can be an attractive option to all parties including the creditors as often it presents for them a better result than under bankruptcy. It is however important that you understand all the options available, and these will be explained to you before any decision is made.

If an IVA is right for you and provided the agreed payments to the IVA are maintained, at the end of the arrangement period, the remainder of your debt is written off.
IVAs are becoming an increasingly popular choice for people with debt problems in the UK.

T H Financial Recovery are specialists in advising, setting up and supervising IVAs.

Benefits of Individual Voluntary Arrangements

  1. A proportion of your debt can be written off with an IVA as your repayments are based on what you can realistically afford.
  2. Your creditors or their agents cannot harass you whilst the IVA is in force.
  3. If you comply with all terms of the IVA, on completion you are debt free and your creditors cannot pursue you for any unpaid amounts.

Do not hesitate to call 01282 332222 or call Jonathan on Tel: 07989 719060 out of hours. Alternatively, please complete the online enquiry form .