IVA

An IVA (Individual Voluntary Agreement) is a legal agreement between the lender and the borrower that provides much needed respite to the borrower. This agreement allows any debtor who fulfills certain conditions, to pay their creditors a set amount of credit over a certain period of time to become totally debt free.

An Insolvency Practitioner offers an IVA advice and sets up your IVA after arriving at some settlement with your creditors. In this process, a meeting of creditors takes place where your IVA proposal is discussed threadbare. If 75 % of the creditors agree to this proposal, it is adopted and agreement is signed between you and them. The remaining creditors have no choice but to join the majority and be a part of the IVA agreement.

As per a standard IVA advice, once your IVA comes into force, you will be paying a reasonable amount as monthly installment at a reduced rate of interest for a period of five years. At the end of this period, all your remaining debt will be written off and you will become completely debt free to start a new life.

Necessity of an IVA advice

In order to qualify for an IVA advice, you will have to fulfill some conditions. Firstly, you should have an unsecured debts exceeding £ 15,000 from three or more lenders. Aside from this, you should be aware of all the technicalities of an IVA advice before signing the agreement with your lenders.

With the help of an independent and professional IVA advice, you can easily weigh the long term benefits of an IVA and be confident about it. Without a sound IVA advice from a competent advisor, you may end up with an unrealistic proposal or your proposal may simply be rejected by the lenders. However, a best IVA advice can ensure that you are moving in the right direction and make the best choices from your side.

When you are dealing with an IVA advisor, you should ensure that he or she is possesses adequate experience about IVA and is properly licensed. These advisors take balanced view of both the lenders and the debtors so you can expect a fair IVA agreement that is beneficial to both the sides.

Many IVA advisors have online presence and you can visit their websites to know more about their services and the ways in which you can avail them from the comforts of your home.