Anyone who has looked into an IVA, individual voluntary arrangement, as a solution to their debt problem, may have heard mention of ‘The IVA Drafter’.
For those that are wondering what an IVA Drafter does, My IVA Adviser has decided to give you a brief description, to help you become more familiar with the IVA application process.
The IVA Drafter usually works for an insolvency practitioner within an insolvency practice, though it can also be the Insolvency Practitioner if they work alone.
The IVA Drafter is the person entrusted with drafting the IVA proposal, which will be passed to the creditors at the IVA Creditors Meeting.
The responsibility of drafting the IVA proposal is not to be underestimated, as the IVA proposal forms a very important part of the IVA application process. The IVA proposal is the document from which the creditors who are named in the IVA will base their decision as to whether the IVA will be agreed or rejected.
The IVA Drafter will normally need to have a detailed conversation with the IVA applicant, to help them become fully familiar with the clients circumstances. This is normally an informal chat, but it gives the drafter an opportunity to ask any question of the applicant and pick up on any points that may need clarification. Once the IVA Drafter has a clear understanding of the history and background of the client’s debt problem, they will use this information, and bring it together with all the relevant documentation, to prepare the IVA proposal.
The draft IVA proposal is sent to the IVA applicant for their approval, just in case there needs to be any amendments made before the creditors are sent the final IVA proposal. Once agreed and signed by the IVA applicant the IVA Drafter will send the IVA proposal to the creditors, and arrange a date for the IVA creditors meeting to take place.
In all, the whole drafting process usually takes a week or two, depending on how quickly the applicant can produce the necessary paperwork.
If you would like further IVA help take at our other IVA articles.
If you want to discuss your circumstances with an IVA specialist, then either fill in our contact enquiry form at the top of the page or alternatively call 0800 088 7503 anytime to speak with one of our specialist IVA consultants.
Related Articles: