IVA explained

Most people have never heard of an Individual Voluntary Arrangement and need the IVA explained in order to know whether it's for them. There's a link to our main IVA page - what is an IVA, if you want a detailed explanation. If you're looking to have the IVA explained quickly, here's a summary.

An IVA is an official solution makes the debt that you are struggling or failing to repay, manageable. By taking a detailed look at what you owe and what you can afford to repay, an IVA companies Insolvency Practitioners will propose a new lower monthly repayment to your creditors that is at a level that is fair to your creditors and manageable by you. This normally involves a write off of a significant part of your debt. Once set-up the IVA is legally binding. This means your creditors can't change their minds.

If you decide to investigate IVA's further, use a company offering a free IVA. To help you, we have reviewed most of the IVA companies in the UK and their comparison forms part of the best advice service that is accessed via our IVA calculator. Try it and see whether an IVA is the best solution for you and which company we would recommend you use for your IVA.

Summary

IVA (Individual Voluntary Arrangement)

• Introduced by the Government in 1986 as a way of helping individuals not become bankrupt
• You need to owe more than £15,000 and you or your partner be employed
• Typically you can write-off 50% - 60% of your debt and pay the balance over 5 years (60 months)
• Interest and charges stop and creditors can't change their mind
• Your home is protected but you will be required to release any equity you have
• It's a popular debt solution with nearly 40,000 IVA's started in 2008, that's one every 13 minutes
• We only recommend organisations that have a track record of getting IVA's accepted by creditors and don't charge fees
  
• Use our IVA calculator to see if you're likely to qualify
  

Comparison Table Of Debt Solutions