IVA

IVA stands for Individual Voluntary Arrangement, and is designed for those with over £15,000 of unsecured debt who are struggling to make repayments.

You make one affordable payment back to your creditors over a 60 month period. Any unaffordable debt is legally written off at the end of the agreement, meaning that you will be free of any unsecured debt.

It is a legally binding agreement between you and your creditors, who will not be able to take any further legal action against you. All interest and charges on your debts will be frozen.

IVAs are a Government initiated scheme designed as an viable alternative to bankruptcy, with less implications. For more information, please call our expert advisors on 0808 131 9108.

Entering into an IVA may adversely affect your credit rating for up to six years from the date of approval.

Your property will be protected within an IVA but you may be required to release all or part of any equity during the period of the arrangement.

Failure to complete the term of an IVA can result in bankruptcy.

(In Scotland, a PTD is the equivalent to an IVA.)