You can apply for an IVA, the Individual Voluntary Arrangement, if you have an outstanding debt amounting to 15000 or above. IVA has been a very valuable debt solution in the period of economic crisis. To evade individual bankruptcy, the governments have agreed to this legal procedure. Coming to the decision to apply for an IVA is definitely not easy, but it has always turned out to be the most dependable and suitable way of paying off the loans.
There are a few conditions, which you must confirm before applying for an IVA. Firstly, you should be in paid employment, so that you shall be able to settle your debt in instalments within a specific period. Secondly, most of the IVA settlements are not meant for mortgages, and for secured loans. Thirdly, you should have at least two creditors.
You should get in touch with an IVA expert to apply for an IVA. Search on the internet or go through the yellow pages in order to do so. You are ready to proceed once you have an expert from a reputable company. You should fill out the application form, which would be given to you for filling out your personal and financial details.
The IVA expert will assess your financial situation after going through this form, and he will calculate the minimum amount that you can offer to your creditors. This amount should at least be enough to get your IVA application accepted. If you are satisfied with this procedure, the IVA expert will prepare the statement of affairs, and will send it over to the Company Insolvency Practitioner, or IP who would legally represent your case to the creditors.
The IP lays out a plan of your financial status and your credit background or a formal written statement. It is mentioned in the statement that you have tried all other means of paying back your debt but none of that has worked out, and IVA seem like a last resort. Either a solicitor or a commissioner of oaths would witness this statement after you have signed it.
Then your proposal will be forwarded to the creditors. They would most probably ask for a few modifications in the monthly payments. After amending this proposal, if needed, the creditors will arrange a meeting in order to vote for your case. If you get 75% of votes in your favour, your proposal attains a legal status and the creditors are bound by it.
The acceptance of your IVA shall be informed to the court and all your creditors. From then onwards, all the dealings between you and your creditor shall be supervised by the IP. To fulfil the requirements of the creditors, you might need to dispose off your assets. You would get rid of your dues by paying your monthly instalments on time.
IVA has been a helpful remedy for those individuals who are suffering from the fear of bankruptcy as it provides legal support and advice for those in need of it.
Author Resource:
Edward Woodwards is a financial consultant. You can take iva help and solutions to debt problems. Find out more information at his recommended website http://www.iva.org.uk .
![[Valid RSS feed]](http://www.look4articles.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Category Rss Feed
Print This Article
Add To Favorites
![[Valid RSS feed]](http://www.look4articles.com/images/rss.jpg "XML Feed For RSS")