Self employed IVA

"self employed IVA" is a popular search term because there is so much confusion over this debt solution. 

As you may have found out already, IVA stands for Individual Voluntary Arrangement and it is one of the most widely used debt solutions in the UK as it offers you an opportunity of getting your debts under control and avoiding bankruptcy. 

Being self employed has always presented issues for those raising finance and sorting out debt problems due to assumed unpredicatability of income. However there is a self employed IVA.

To to eligible for an self employed IVA you have to have debts of £15,000 or more, owe more than 3 creditors money and be able to afford to repay 25% of more of your debt back over 5 years, although on average people pay back 50% of their debts.

Applying for an IVA

If you apply for an IVA, make sure you use a company offering a free IVA. To help we have reviewed most of the best IVA companies in the UK and their comparison forms part of the advice service that is accessed via our charity debt advisors on the number above.

Summary

What is an IVA

  • 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 any
  • 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


Comparison Table Of Debt Solutions

  Solutions Debts Written Off Legally Binding Interests & Charges Residential Status  
 
Average 58%*
Yes
Stopped
Tenant or Homeowner (Eng/Wales)
  
 
Not Normally
No
Many Freeze
Tenant or Homeowner
  
 
Consolidated
Yes
New Rates & Charges
Tenant or Homeowner
  
 
Bankruptcy is a severe last resort if you are in serious debt and no other debt solution can save you from going bankrupt. Bankruptcy may protect you from your creditors and allows you to start fresh, but you need to think carefully about all the implications involved.
  
 
*58% was the average debt write off with an IVA, April - June 2008, CCCS
  
     

 

Popular IVA Searches