circumstances needed to qualify for IVA?

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by karla.a » Fri Jan 29, 2010 10:24 am
hi there, what circumstances do you need to be able to qualify for an iva. do you need to be unemployed, or just have debts over a certain amount? if so what is the min and max debt applicable for an iva, how old does the debt need to be 2 months / 2 years etc.

Finally what do you charge, and how many years and amount does the debt need to be paid back over thanks karla


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by rayb » Fri Jan 29, 2010 10:29 am
Hi Karla,

Welcome to the forum.

If you could post more details about your circumstances we can advise you further. You can go on to and check various reviews of companies and also contact at least 3 for some free impartial advice.

Please note that being unemployed means you would not qualify for an IVA as you would not be able to fund the payments


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by otter » Fri Jan 29, 2010 10:31 am
Karla, You can find lot of answers and info on the IVA guides links (on the left).


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by kallis3 » Fri Jan 29, 2010 10:31 am
Hi Karla and welcome to the forum.

An IVA is decided upon individual circumstances, some of us are employed, some not. The usual criteria is that you should owe more than £15k. This can either be to three creditors or more, or two creditors if you have more than two lines of credit.

Charges are made by the IVA company and I have no idea of the amount they charge. An IVA is usually over 5 years.

I recommend that you contact a professional, either by clicking on the expert link on the left hand side of the page, or by visiting for a list of companies and reviews. Give one or two a ring and you will receive free and impartial advice as to all the options open to you.

If you could give us some indication of your debts and income, we may be able to advise further here.


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Michael Peoples
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by Michael Peoples » Fri Jan 29, 2010 10:40 am
Hi Karla and welcome to the Forum.
There are some criteria that various creditors have but there is nothing in law about what constitutes an IVA. In practice you need debts over £15k and more than 2 creditors although there are of course exceptions. Some creditors accept IVAs from unemployed people and others do not.

IVAs are normally for 5 years and the fees are drawn from the contributions. If your IVA is not accepted you should have nothing to pay and if it is accepted the fees are agreed between the IP and your creditors. Good luck.


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Tina Shortland
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by Tina Shortland » Fri Jan 29, 2010 1:00 pm
Hi Karla, welcome to the forum.

Everyone's situation is different so what works for one may not for another. The most important thing is to know realistically what you can afford to offer the creditors and what options you have available to you depending on your circumstances.

It is important you know about all options and the implications of each so that you can make the best choice for yourself. Once you feel ready to have a chat give a few companies a call to talk everything through in more detail.

Before you know it you'll know so much more about it all you'll be one of the members on here helping others!



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by MelanieGiles » Fri Jan 29, 2010 10:16 pm
As the other posters have mentioned, there are numerous criteria which can dictate whether an IVA is a suitable option for you, but the main one is a willingness to pay creditors as much as you can afford over generally a five year period.

You must of course be insolvent - ie unable to pay the contractual element of your payments as they fall due.
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