We do our best to provide information all around IVA and offer You comprehensive advice for a successful IVA application in all cases of bad credit. Please feel free to contact us on any matter that might cross your mind regarding IVAs and use our contact form or the IVA application form directly. We will get back to you with professional advice on IVA.
There are tens of debt management and debt consolidation methods the three most commonly used ones are secured loans, bankruptcy and IVA. Taking a secured loan to consolidate unsecured or even secured debts can be a good solution, but for those individuals who are owning money to more than 3 creditors a total amount of more than 15,000 £ applying for an IVA or Individual Voluntary Arrangement is the best solution. But what does IVA mean?
Individual Voluntary Arrangements are legally binding agreements between you and your creditors, according to which you will make, based on common decision one, affordable monthly payment in order to pay off a percentage of your overall debts, which thanks to the IVA can be reduced up to 75%, and after a period of time, usually 5 years your debts are written off. There are some basic requirements connected to IVAs, which you need to fulfill, before being accepted by the creditors. Usually, every individual owing more than 15,000 £ to at least three different creditors and has a stabile monthly income and a property to release equity from and an amount of minimum 200 £ for IVA payments can be qualified.
When thinking about applying for an IVA you should always search for the best experts, a reliable and trustworthy Insolvency Practitioner, who will set up the arrangement between you and your creditors. IVAs are the best way to eliminate debt management difficulties in a formal agreement made between you and creditors and helps in debt settlement. After the IVA application is accepted there will be no creditor harassments, phone calls and letters, and further rise in interest rates and other charges will be legally banned. Usually based on affordability you will have to make one monthly payment during the IVA period, which is 5 years. At this time, a note will be placed on your credit list and you will not be able to purchase further secured loans, personal loans or credit cards. Your credit report will be damaged in a minimal way after the IVA ends the note will remain on your credit report for a year, which will make loan applications harder. You might not get a loan and if you are lucky and get one, be prepared for higher charges and interest rates.
