new iva debt solution
proven solution to clear your debts
Why have I not heard of IVA's?
With the increasing debt situation in the UK, IVAs have caught the public and media attention. Over 6,000 people enter IVAs each year. IVAs are a highly regarded, ethical and moral way to deal with debt problems whilst avoiding bankruptcy.
Who can enter into an IVA?
Any individual who cannot pay their debts can apply for an IVA.
What if my creditors don't agree?
If 75% of your creditors are in favour of your IVA proposal it will be approved. If it is approved the other 25% of your creditors will be legally bound to the arrangement as well. During the negotiations creditors can suggest modifications to the proposal and you can choose whether to accept them or not.
What if my creditors aren't all in favour?
If your creditors don't all vote in favour you still have the option of bankruptcy or an informal arrangement with your creditors.
Will my credit rating be affected?
If you undertake an IVA, you will have to give up all your current credit (e.g. credit cards and store cards) and you will not be allowed to take additional unsecured borrowings until your IVA is completed.
The bottom line is that undertaking and IVA does not mean that you are “ Blacklisted ” for ever. In fact, your credit rating will be repaired faster than if you carried on struggling with your debt alone.
How will an IVA affect my current credit?
Your current credit (e.g. credit cards and store cards) will be inactive and you will not be allowed to take additional unsecured borrowings until your IVA is completed. In fact, it is possible to take or change a mortgage even while you are still within an IVA but you will need to make sure you get the advice of your Insolvency Practitioner for this.
Will my home be safe?
When you are in an IVA you won't usually have to sell your property. If you do own your home, take reasonable steps at the end of the IVA to re-mortgage. This step is also true for bankruptcy, except that bankruptcy often means you DO have to sell your home.
How much will I have to pay Into my arrangement?
This figure will depend on your personal circumstances and will be agreed between you, the IP and your creditors. Normally the monthly payment will not be below £200.