I found this statement on my-iva-adviser.co.uk at *Link removed*(trust it is OK to quote another website?) .......[:I]
"There must be at least 4 different Creditors with debts over £1000. Even though all unsecured debts can will go into the Individual Voluntary Arrangement (IVA), no matter what the amount, technically, to qualify for an Individual Voluntary Arrangement (IVA), a creditor can only be counted as one of the 4 required as a minimum, if they are owed more than £1000. This is to make sure that there is a reasonable balance of votes at the Creditors Meeting in the more marginal Individual Voluntary Arrangement (IVA) cases."
Somewhere on this site, I read that you may only need two different creditors to qualify, so I am confused..... ??
*It's fine to quote what they have said, but I've removed the link*
Last edited by Searcher on Mon Feb 15, 2010 6:37 am, edited 1 time in total.
That is just not true. There are no monetory limits for entering into an IVA, although individual firms may have their own criteria - and creditors may also have their own rulings.
Under the IVA protocol you need to have at least two creditors with at least three lines of credit, but an IVA does not have to follow this protocol if the reasons for the case are reasonable.
Thanks for helping here. What do you mean by "at least three lines of credit" - if I had say 2 lenders, but with one I had an overdraft AND a credit card debt does that make 3?
If, with one of your creditors, you have an overdraft and a credit card or loan, that is classed as two lines of credit.
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