IVA (Individual Voluntary Arrangement)
An Individual Voluntary Arrangement (IVA) is a legal agreement between you and your unsecured creditors. You pay back an affordable monthly amount for a set period of time, usually 5 or 6 years. After this period of time, any remaining debt will be written off.
We will assess if an IVA is suitable for you as not everyone is eligible. For instance, you must have regular household income, live in England, Wales or Northern Ireland. (If you live in Scotland, see Trust Deeds).
Once an IVA is accepted, you will benefit from:
Things to consider:
Example of an Individual Voluntary Arrangement
Total Debt Level: | £16,000 |
Debt Repayments BEFORE IVA: | £608 per month |
Monthly Payment reduction: | £477 per month |
New IVA Monthly Payment: | £131 per month |
Proposed Debt Write Off Amount: | £8,140 |
This example is based on a 60 month IVA and is for illustration purposes only. Your results will vary based on your personal situation.
Get advice before you apply
Speak to us before taking out an Individual Voluntary Arrangement to make sure it’s the best option for your needs. If we think an IVA is the right option for you, we will help prepare your application and refer you to an insolvency practitioner who will set up the Individual Voluntary Arrangement for you without charging an advance fee.