An IVA (Individual Voluntary Arrangement) is a formal agreement between you and your creditors, the people to whom you owe money, to pay all or part of the debts you have with them. These arrangements are set up professionally by an authorised Insolvency Practitioner (IP) and as such there are professional fees that will have to be paid to enter into an IVA. An IVA will typically last for a five year period during which you will be expected to pay everything you can afford outside of agreed ‘reasonable’ living costs.

An IVA can be entered into when you meet the following criteria:

  • Your debts are greater than £15,000
  • You have three or more separate creditors.
  • You currently have over £200 a month in disposable income, and you have assets to sell towards paying your creditors

There are other criteria which should be met and if you want to discuss this please call one of our debt advisors on 0800 158 3539.

For more information about IVAs, see our IVA Options