IVA advantages over bankruptcy

If you are unable to pay all your bills, an IVA may offer you the opportunity to freeze interest payments, reduce debts and regain certainty in your financial life.

For many, an IVA may be the best road to a debt free future.

• You usually only have to pay back part of your debts. A ClearDebt IVA may be possible for people who owe as little as £12,000
• You make one fixed monthly payment or, in some cases, a lump sum
• Once your IVA has been agreed all your creditors are legally bound and cannot change their mind
• As long as you make your IVA monthly payments, all legal action by your creditors is stopped,
• You pay no more interest on your existing debts
• An IVA is not publicised in the local newspapers
• Professional status is not at risk (i.e. Accountants, IFAs, etc)
• You won't be forced to sell your home (although you will usually be asked to make a contribution to your IVA from any equity you have in your property towards the end of the IVA. This will not change your monthly payment).
• Your IVA proposal is dealt with by a licensed insolvency practitioner ensuring that the best and most realistic deal is put before your creditors.

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