What is an IVA?
An Individual Voluntary Arrangement (IVA) is a formal agreement between an individual and their creditors to manage and repay their debts. It is a legally binding arrangement facilitated by an insolvency practitioner.
Through an IVA, the debtor proposes a repayment plan to their creditors, outlining the amount they can afford to pay based on their income and expenses. If the majority of creditors accept the proposal, the IVA becomes active, and the debtor makes regular payments towards the agreed-upon amount over a fixed period, usually five to six years. At the end of the IVA term, any remaining debts are typically written off, providing a fresh start for the debtor.
APPLY NOWHere’s an example of how an IVA can help
Let's say you owe...
Total amount owed:
£29,231
Customer monthly repayments before and after taking an IVA.
| Current Payment | New IVA Payment | Debt Written Off |
|---|---|---|
| £874 | £144 | £20,591 |
Claire N.
Friendly & Supportive
Friendly, non judgemental and supportive. Nothing is too much trouble even though you've paperwork and evidence to submit. The team (Lynne O Grady & Ciara Dronfield) were quick with response via email or telephone. Always look after your best interests to ensure the processes and steps are right for you. The experience was daunting but made so much better with the friendly attitude and support.
Stuart S.
IVA application
Great support from this company when applying for our IVA . Special thanks to Lynn and Johnathon for caring and compassionate response. Great company and would highly recommend their services to anybody struggling with bill/debts.
Shaunna G.
Easy, simple process!
They have made the process so easy from start to finish. Kept me updated every step of the way. Answered any questions I had and confirmed it all I writing. Made me feel at ease, thank you so much!
Frequently Asked Questions
An Individual Voluntary Arrangement (IVA) is a formal debt solution that establishes a legally binding agreement between you and your creditors. It may be suitable if you find it challenging to repay the full amount of your unsecured debts but can manage to repay a portion of them.
The eligibility for an Individual Voluntary Arrangement (IVA) is determined by factors such as your debt amount, the type of debts you possess, and your affordability. We will conduct a thorough assessment of these aspects during a phone call, and once it is completed, we will inform you about your qualification status.
Understanding the disadvantages associated with an Individual Voluntary Arrangement (IVA) is crucial. These may include a negative impact on your credit rating, limitations on the types of debts that can be included (such as secured loans and court fines) and if you do not keep to the terms, the IVA can be terminated. The application process will provide detailed explanations of all the disadvantages involved.
The costs can vary depending on the provider you choose. At NDH Financial, we offer a transparent fee structure. We do not charge any upfront fees, and the initial assessment and consultation with us are also free of charge. You will only start paying fees once your IVA is approved, and these fees will be deducted from the payments you make into the IVA.
Our fees include a Nominee's fee and a Supervisor's fee, which are included in the total amount you repay over the term of the IVA.
An Individual Voluntary Arrangement (IVA) offers the opportunity to address a diverse range of unsecured debts. These can include loans, credit cards, store cards, overdrafts, debts with debt collectors, bailiffs, council tax arrears, catalogue debts, HMRC debts, old utility bills, and various other forms of unsecured debts. The flexibility of an IVA allows for the inclusion of multiple types of debts to be effectively managed and resolved.
It's important to promptly reach out to your insolvency practitioner for assistance. Inform them about the challenges you're facing in making the payments. In some cases, they may be able to provide alternative options, such as allowing you to have a payment break. Open communication with your insolvency practitioner is key to finding potential solutions and addressing any financial difficulties that arise during the course of your IVA.
IMPORTANT INFORMATION
Company Registration Number : 10965466
Data Protection Number : ZA571234
Jonathan Gribble is licenced to act as an Insolvency Practitioner in the UK by the Institute of Chartered Accountants in England and Wales (ICAEW). IP Number 10252
CONTACT US
Grosvenor House
St Thomas’s Place
Stockport
SK1 3TZ
Stop Your Debt is a trading style of NDH Financial Ltd
To find out more about managing your money and to access free advice visit MoneyHelper.org.uk.
If you are based in England & Wales, or Northern Ireland, R3, the Insolvency & Restructuring trade body, has produced a guidance leaflet on dealing with your creditors. If you would like a copy, click here.
If you are based in Scotland, click here for options for dealing with your debts.
* A debt write off amount of between 25% and 75% is realistic, however, the debt write off amount for each customer differs depending upon their individual financial circumstances and is subject to the approval of their creditors. The example provided of 73% has been achieved by 10% of our customers in the last 12 months.
** Any remaining qualifying, unsecured debt included in your IVA will be written off. There are some unsecured debts that will be excluded, such as court fines, child maintenance arrears and Student Loans. As the IVA will only cover qualifying, unsecured debts, you will need to continue making payments to these both during and after the IVA.
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