An IVA can only be set up with the help of a licensed Insolvency Practitioner (IP). When you complete the no obligation enquiry form on this website, you will be contacted by an Insolvency Practitioner who will discuss your situation and what course of action would be best.

If the Insolvency Practitioner feels you qualify for an IVA and you decide to proceed, the Insolvency Practitioner may apply to the county court for an "Interim Order". This order prevents your creditors from starting bankruptcy proceedings, CCJs or any other enforcement action against you without the court's permission. In the majority of cases an Interim Order is not required.

The Insolvency Practitioner will look at your current financial circumstances and put forward a proposal to your creditors as to how much you can afford to pay each month. The monthly amount will be a realistic one based on what you can actually afford. The IVA proposal will include details of your income and expenditure, a list of your creditors and what you owe them, a statement of affairs and what you are looking to offer your creditors and over what time period.

The Insolvency Practitioner will send the IVA proposal to all your creditors and will arrange a formal meeting called a "Creditors Meeting" where a decision will be made as to whether to approve your IVA proposal. At the creditors' meeting, 75% of your creditors voting (by value of debt) need to agree to your offer for the IVA to be approved.

Once the IVA has been accepted, all your unsecured creditors are then legally bound by it. Your creditors cannot change their minds and you are protected from any legal action being taken against you by your creditors.

After the creditors meeting, your Insolvency Practitioner will supervise the IVA, ensuring you make the payments. Your monthly payments will be reviewed on a regular basis. If you find that you are experiencing difficulty due to a change in circumstances, they will try to renegotiate the terms of the agreement with your creditors.

An IVA normally lasts for a period of 5 years. When the IVA ends your creditors will have no further claim against you and the balance of any unpaid debts is written off. 

Details of your IVA will appear on your credit file for a period of six years. The IVA is marked "complete" by the credit reference agency when they are informed of this by the IP supervising the IVA.

Simply complete the enquiry form to see if you qualify and to get FREE no obligation advice from an IVA expert.