Information on IVA

Information on the IVA procedure in the UK

Money Advice Direct is the leading provider of non-judgemental confidential debt advice on serious debt problems. An IVA is suitable to debts of larger amounts of over £20,000 An IVA can bring down repayments, freeze interest and problems associated with debt collectors.

Please use the detailed IVA information on this section of the website to look into information about the IVA procedure so you can really understand how an IVA can benefit you. Please note that it takes about 4 weeks to set up an IVA.

To apply online click here or for more information on the IVA please call 0800 074 6918

An IVA is a formal process through the county court that has to be arranged through an Insolvency Practitioner (IP). The IP will submit a proposal for an IVA to the court and to your creditors. The proposal must be approved by 75% (by value) of your creditors. Providing it is approved, it is binding on them all. Typically payments are made under the terms of the IVA for 5 years providing you make your payments, at the end of that period you will be free of all the debts that the IVA covers. You have to pay a fee to the IP for arranging and supervising the IVA. If your IVA fails, for instance because you can't afford the payments, you may find that you have paid out a lot of money in fees but still have large debts outstanding. And if the IVA fails the IP can make you bankrupt. An IVA stays on your credit file for 6 years. You can find out more information from the IVA team at Money Advice Direct by calling 0800 074 6918.

Why was the IVA introduced?

The IVA was introduced to avoid all the bad stigma of bankruptcy. Your IVA information would not be made public, however if you went bankrupt there would be a notice in the local papers.

Does an IVA affect my credit?

IVA information will appear on the personal credit file of the individual. This is okay because during the IVA you are asked to voluntary refrain from getting credit. After the IVA is completed you are free to apply and use credit. You will need to build up a good credit record and with time you will be able to get normal credit from high street lenders.

If you have questions about Money Advice Direct or would like information please either apply online or call 0800 074 6918

IVA Process – Easy to understand guide

Money Advice Direct will allocate you a Licensed Insolvency IVA Practitioner.
The IVA proposal is drawn up.
The IVA proposal is posted to all creditors.
The creditors send back all appropriate IVA information such as account balances.
The IVA creditor’s meeting is then held.
The creditors vote at the IVA meeting. Please note that 75% majority in £value of debts is required to get the IVA approved.
The monthly IVA payment can start straight away paid the IVA supervisor.
The IVA payment must be made regularly in accordance with IVA terms.
After the final IVA payment has been made then the IVA is completed.

Bankruptcy Information

For serious debt problems, where all other debt solutions have been considered bankruptcy is the best method writing-off debts.

Bankruptcy is a formal insolvency procedure for someone who is unable to service their debts as they become due.

It is possible for an individual to petition for his/her own bankruptcy or a creditor may take that action. Once a Bankruptcy Order is made, the debtor is required to provide full details of his/her financial life to the Official Receiver who will assess their ability to make contributions to their creditors from either assets or income.

Debt Information

The earlier you start to tackle the problem, the easier it will be. If your financial situation is in danger of becoming serious, do something about it now.

The worst thing you can do if you're having money problems is to just ignore the situation. It's often the case that people assume they'll be able to pay off their debt in the future when they start earning more money.

But anything could happen. Interest charges and late payment fees could mean that you're faced with a debt that's a lot more than you expected - sometimes double the amount you originally owed.

Request more information

To learn more about the IVA procedure and how it may benefit you please complete the following form by clicking here

For IVA information and advice about IVA’s you can also call our FREEPHONE 0800 074 6918 number. Many callers ask, what is an IVA? Others just want information on how an individual voluntary arrangement may help their debt problems.

IVA Knowledge Base Menu

ENQUIRY FORM

Name

House Name or No.

Postcode

Email address

Telephone

Mobile

Best time to call

Amount of debt

Employment Status

Are you a home owner?
Yes | No

Other Info

I accept the privacy policy:

We will get back to you soon!

IVA's

The IVA Guide
Money Advice Direct has put together an IVA Guide based on the enquiries and questions that we receive at our helpline offices.

In the guide we cover such subjects as IVA Approval, early settlment of your IVA, missed IVA payments, IVA failure, additional debt claims and much more.
[click here for IVA Guide]

What is an IVA?
The IVA is an extremely powerful tool enabling you to clear your debt and return to a clean financial bill of health. Visit Money Advice Direct's Guide to Individual Voluntary Arrangements (IVAs).
[more...]

Debt Analyser

We can help you decide the best option to start clearing your debt.

Complete the form and get answers now.

Information on IVA

Information on the IVA procedure in the UK

Why was the IVA introduced?

Does an IVA affect my credit?

Bankruptcy Information

Debt Information

Request more information

IVA Knowledge Base Menu

ENQUIRY FORM

FREEPHONE DEBTLINE

IVA's

BANKRUPTCY

CREDIT REPAIR

DEBT ADVICE FACTSHEETS

DANGER

MIS-SOLD PPI HELP

Debt Management Plans

Individual Voluntary Arrangement (IVA)

Bankruptcy Advice & Support

Debt Advice for Scottish Residents

Mortgage Help & Advice

Claim Unfair PPI & Credit Card Charges

Business Rescue Service

Budget Calculator & General Debt Advice