Get your finances back on track
At Abbotts Insolvency we believe that a friendly, personal service from a dedicated team makes your IVA more likely to succeed.
Abbotts Insolvency have a team of experts dedicated to making your IVA a success
An IVA is typically suitable for people who have unsecured debts and cannot afford to pay their monthly repayments. IVA eligibility is based on individual circumstances and what you can afford, so in some instances a lower debt level could be accepted by your creditors.
You must have a regular household income, and live in England, Wales or Northern Ireland..
What debts can’t be included in an IVA?
Some debts that can’t be included in an IVA are:
- Other secured loans
- Hire purchase agreements
- Debts incurred through fraud
- Court fines
- TV license arrears
- Student loans
- Child support arrears
- Social fund loans
Will an IVA work for me?
An IVA can be a positive way to manage your debts, however, to be eligible you must meet the criteria below:
- Have £6,000 or more of unsecured debt
- Owe money to two or more creditors
- Live in England or Wales and Northern Ireland
- Have a steady income to consistently make at least a minimum payment of £85 per month
What is an IVA?
IVA stands for Individual Voluntary Arrangement. This is a formal debt solution between you and your creditors that uses government legislation to protect you from legal action and write off the debt you can’t afford. Individual Voluntary Arrangements (IVA’s) are only available to those living in England & Wales. If you think that you need IVA help and advice and are looking to reduce your monthly debt repayments into one monthly, manageable payment then we can help.
How does it work?
An IVA is a formal debt solution that will put you back in control of your finances. You will make one affordable monthly payment to cover all of your unsecured debts for a fixed period of 5 years. At the end of this, any debt that hasn’t been repaid will be legally written off. Furthermore you have legal protection from your creditors during the IVA – this also means no further interest and charges can be added to the debts. There are also rules and guidelines to deal with any changes in your circumstances whilst an IVA is in place. These include:
- You can retain the first 10% of any additional income you earn
- If you have an unexpected loss of income or one off expense, you can take payment breaks
- Your finances are reviewed annually to ensure the payments remain affordable
It is important you keep up with your payments or notify your IVA provider if you can’t afford a payment. If your IVA fails, you could be made bankrupt. The good news is that we will work with you to calculate how much your IVA payment should be, making sure it is always affordable.
What other solutions are there?
As part of our service we will review and explain all the options that are available to you. These may include;
- Debt Management
- Administration orders
- Debt Relief Orders