EntriesI needed to arrange an IVA – or an Individual Voluntary Arrangement – and I needed advice to do so. I couldn’t believe how difficult I found it all – and struggled to get on top of my debts, so I started looking into IVA’s.
I discovered three things.
There are three things I discovered – and I thought I should share them with you, just in case you’re considering it too. These rules may change, so you should always check with a qualified financial advisor, but currently, there are rules to qualify for an IVA.
ü You’ve got to have debts of over 15,000 total, not including your mortgage – if you include your mortgage in your IVA, you will lose your house.
ü You’ve got to owe money to three different debtors. Even if they’re three different accounts with the same bank you’ll find that they don’t count. So be sure that you’re not counting debts to the same company.
ü You’ve got to be able to offer a large enough payment. Many companies recommend upwards of £200 to split between your debtors, after everything else. I was personally told that I needed to be able to pay £300 – which was still less than the payments that I had been making. I agreed and my IVA was set up with minimum hassle and fuss.
IVA’s do damage your credit rating, but if you’re seeking one, chances are your credit has already declined anyway.
Tags: IVA