An Individual Voluntary Arrangement (IVA) is a legally binding agreement between a debtor, (a person with debts) and his creditors (the companies that he owes the money to).
An Individual Voluntary Arrangement forms part of the Insolvency Act of 1986, and is designed to offer itself as an alternative to Bankruptcy.
A person must have a minimum debt of £15,000 to be able to propose an Individual Voluntary Arrangement, and there must be a minimum of 4 creditors.
The process of setting up an Individual Voluntary Arrangement can take anything from 6-12 weeks.
Once the Individual Voluntary Arrangement is agreed, both parties are legally bound by its terms. This gives the debtor protection from his creditors, and gives the creditors a better financial return than bankruptcy.
These are some of the headline points that form the basis for all Individual Voluntary Arrangements.
My IVA Adviser specialise in assisting both parties reach this amicable agreement.
If you would like to discuss the Individual Voluntary Arrangement process with one of our experienced advisers, just call 0800 088 7503 now for a confidential chat.
If you need more information on how an Individual Voluntary Arrangement could be a solution to a serious debt problem, click here, where you’ll find all you need to know about IVAs.
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