Individual Voluntary Agreement
Independent Advice
No Bankruptcy. No loss of Dignity
Individual Voluntary Agreement
Individual Voluntary Agreement: The Best Way Out of your Debt (Without More Debt!)
Apply For The Best IVA or Debt Relief Plan For Your Own Circumstances
Independent Advice. No Bankruptcy. No loss of Dignity.
An Individual Voluntary Agreement is another term for an Individual Voluntary Arrangement.
An Individual Voluntary Agreement (or Individual Voluntary Arrangement) is a form of debt relief plan set up by H M Government to try to eliminate personal debt and to deal with the growing issue of personal insolvency. Our clients are licenced to give IVA advice and do so on the basis of the fact that Individual voluntary arrangements are not one-size-fits-all quick fixes to any debt problem, as each individual situation is so different.
The needs of one household can vary greatly from the needs of another person or household. Any advice given must thus take into account the diverse nature of the situation people find themselves in.
Generally an IVA will run for 60 months (sometimes less) and after the term has completed all the debts are discharged from a person's credit record. During the time of the IVA no banks or debt collectors are allowed to contact the debtor. The IVA has the benefits of bankruptcy and none of the drawbacks.
An instrument such as an Individual Voluntary Agreement writes off most of your debt at the beginning of the programme (although beware of the claims made in some advertising: it is seldom more than 60 or 65% of unsecured debt which may be cancelled in this way). Any decent IVA advice of this nature will ensure you get optimum results with the lowest monthly repayments together with the greatest percentage of debt written off.
So fill in the application form for impartial IVA advice which is right for your own personal situation.
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Individual Voluntary Agreement
In order to be eligible for an individual voluntary agreement the applicant must be able to demonstrate net earnings in excess of a certain minimum and have liabilities of a total value of more than a certain sum and no greater than a certain sum, and these figures will alter from one insolvency firm to another. Normally the income should exceed these repayments after other bills have been paid including mortgage payments and council tax and utility bills. The usual minimum amount of debt is around £2,000 though this can vary. A maximum of £50,000 is imposed in a few cases, although by using a broker the client will be steered towards the best source to attend to their own particular situation.
An individual voluntary agreement will in general be drafted by a qualified specialist insolvency practitioner and shall be made specifically to address the specific requirements of the client. There is no such thing as a typical attitude to such things because all situations are different, and some situations differ considerably. The selected insolvency practitioner will now prepare the best programme according to the client's own particular circumstances and draw up a plan of repayments to a central fund and this is usually for sixty months, although in certain situations this may change.
One major advantage of an arrangement of this kind is that it may instantly reduce the debt burden by a massive percentage. Typically this can be as high as 60 percent, sometimes more. This reduction of the amount of debt makes a considerable difference and is the main thing that differentiates an IVA from a conventional debt relief program. So people looking for any sort of debt reduction programme should apply for this over a standard debt relief program on all occasions.
Our economy is an extremely complex entity. Economic experts and specialists of all types try to figure out how it operates daily. It has been compared to a massive machine. At the end of the day economic practice impinges upon political and social imperatives and such things are usually governed by the society that we live in. Our society at the moment is geared towards achievement ensuring usually means exposure to risk. As long as we have this risk we also have the ghastly prospect of financial ruin, both personal and corporate. Using an individual voluntary agreement is designed to alleviate this to a certain extent.
Most kinds of individual voluntary agreement will most often be made to serve for sixty months, although sometimes this will vary from case to case. At the end of the agreed term the debt is considered to be discharged and the applicant exonerated. All records of the various debts registered against the client's name will be deleted from the record as applicable.
An individual voluntary agreement is a very useful device and most would jump at the chance of applying for one of these as it is legally binding and discharges the holder from all debts when the term has been completed. It is a more gentle solution to a long-term debt situation than other more draconian instruments such as making the debtor bankrupt and it carries none of bankruptcy's sting.
The creditors are barred from trying to contacting the client once the individual voluntary agreement is enacted. The creditors are not allowed to chase up the debt in any way, and if they do so they will be breaching the law and may be penalized, including a fine or even loss of their licence to trade if they are a debt purchasing firm. The applicant always has this assurance in law to prevent the unwanted telephone calls and non-stop letters these companies use in order to harass their victims.
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