IVA cut £211,000 debt to £113,000 over five years

Debt Solution - IVA: IVA cut debt

Most people become over indebted because of a big life change: Losing a job, getting married; having a child or, in this case divorce. Thanks to a ClearDebt IVA, Mr C now only has to repay 60% of what he owed.

Mr C’s acrimonious divorce left him with big debts, even though the matrimonial home had been sold. He took on more debt to pay the original debt. He came to us with debts of £211,000 – he could no longer make the minimum payments. Mr C has a well paid job and other assets to help clear his debts.

His former wife will contribute some and he’ll sell a second car for £4,000. At the end of the five year IVA
he will raise £30,000 from re-mortgaging his home. His job means he can afford the £1,350 monthly repayments.

But, his creditors will still have written off more than 40% of what he owes.

Mr C is on his way to becoming debt free.

Debt Solution - IVA: IVA cut debt

For free bankruptcy advice to help you avoid bankruptcy please contact ClearDebt to discuss a
debt solution and for IVA advice.

Links to related ClearDebt articles:

Clear debt with an IVA
Taking responsibility - credit card debt dropped by more than 40%
Bankruptcy avoided, 75% debt write-off, but after a struggle
IVA prevented business failure
Debts cut by 61% - saving £600 a month with an IVA
IVA is not always the right choice
Clear debt with an IVA - and starting life again
Your money or your job
IVA slashed monthly payments to £300 - from more than £2,000
Divorce/separation can change your financial life
IVA after wage drop and debts spiralling.

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