2006-07-10 09:32:01 · 2 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
An IVA allows you to enter into a legally binding egreement with your creditors to pay off a proportion of your debt over a set period. This is only possible if a set percentage of your creditors agree. After the agreement is set up if you default on it you can be pursued through the courts. The main advantage is that it allows you to come to an agreement while stopping creditors from chasing you. It is administered by an insolvency practioner on your behald and allows you to keep your assets - unlike bankruptcy where any assets would be sold to settle a debt.
2006-07-10 09:48:32 · answer #1 · answered by axely1 2 · 0⤊ 0⤋
It depends greatly on the amount you owe. Don't forget a IVA means someone looks after your finances. They will want paying. So you can add a whack onto your debt for them. If you own your own home you may be able to remortgage. You may feel the stress is just too much and go bankrupt. Again that has good and bad attached to it. I would suggest you go with all your bills and a list of debts, a list of income and expenditure and see a citizens advice bureau. They are a great help for people with financial problems. If you go into IVA you will still pay your debt over 5 or 6 years but the saving on the interest will be eaten up by the insolvency practice.
2006-07-10 16:52:33 · answer #2 · answered by deadly 4 · 0⤊ 0⤋