Cons of an IVA
Usually only suitable if the debtor has unsecured debts of at least £15,000.
To gain approval, creditors representing at least 75% of the value of the money owed, as well as a simple majority, must agree to the proposed arrangement.
IVAs usually last for five years and payments are typically higher.
The home and assets of the debtor can still be at risk if the creditors decide not to exclude them.
Should the IVA fail, the debtor can still be made bankrupt. If this happens, the costs of the IVA will be added to the debts.
The insolvency practitioner will closely supervise the debtor.
All IVAs are recorded in a public register for 6 years and will almost automatically appear on your credit file. This could affect any future applications for credit.
As you can see ... nothing too terrifying and you'd be surprised at how less stressed you'd be during the process.
When I was young I was called a rugged individualist
When I was in my fifties I was considered eccentric
Here I am doing and saying the same things I did back then and now I'm labelled senile
