A Simple Guide To An Individual Voluntary Agreement
It would seem that with the state of today’s financial crisis, more people are struggling to keep up with their debts, Payments are being missed and people are really feeling the pressure. What many don’t know is that there are all sorts of help out there. If your debt situation has got out of hand and you are nearing bankruptcy then an option available to you would be an IVA which means an Individual Voluntary Agreement.
An IVA is a legally binding agreement between you and your creditors which is supervised by a Licensed Insolvency Practitioner. It is a good option for anyone that has unsecured debts of more than £15,000 who cannot make the payments and is on the verge of bankruptcy.
Looking for a resolution between the creditors and the debtors means that normally the creditors will have to make a compromise on the debts owed to them. It is normal for the creditor to lose money as the Insolvency Practitioner will look into the borrower’s earnings and work from there as to how much monthly payments should be.
