Write off a proportion off your debts within 60 months
Clear the debt you can't afford with an IVA & become debt free in 60 months...
Are you facing bankruptcy? An IVA plan from Chase Saunders may be a suitable alternative.
- Write off a proportion of your debts.
- Your monthly repayments can be reduced by up to 85%.
- Interest and charges on your debts can be frozen.
- Creditors stop contacting you directly.
- The above is only the case when an Interim order is granted
- An IVA must be supervised by a licensed insolvency practitioner
What is an IVA?
An Individual Voluntary Arrangement (IVA) or Trust Deed (in Scotland) a legal alternative to bankruptcy whereby you make funds available for distribution between the creditors bound by the agreement. This usually involves making one monthly payment to your IVA or Trust Deed Supervisor for a set period of time. If you have any assets such as equity in your endowment policies etc. you may have to make some of this available to property creditors as well.
Can I apply for an IVA/Trust Deed?
If you live in England or Wales and are unable to pay your debts, you may apply for an IVA (an IVA must be supervised by a licensed insolvency practitioner), Scottish residents must apply for a Trust Deed. In general IVAs and Trust Deeds are awarded to Individuals that have over £15,000 of debt and two or more creditors. If you are already subject to a Bankruptcy Order you may still apply. If the arrangement is approved, your Bankruptcy is annulled.
What can Chase Saunders do for me if I apply for an IVA?
- Freeze all interest and charges.
- Cease any legal action.
- Stop demand letters and phone calls from irate creditors.
- Give you the peace of mind to have a fresh financial start in the long term.
- Enable an affordable monthly payment based upon your available disposable income.
- Give you your best nights sleep for a long time.
- The above points are only true if an 'interim order' is granted.
Additional advantages of an IVA
- There are less legal restrictions and publicity than normally accompanies bankruptcy.
- A debtor can continue to trade in a business to generate income.
- The debtor is involved in the choice of assets made available to creditors since the arrangement is designed to suit the debtor's situation.
- Creditors can claim tax relief against bad debts.
- Creditors who vote against the IVA are still bound by it as long as the required majority (75%) in value of the creditors who have voted agree to it.
- Creditors typically recognize the benefit of accepting less than all the money owed.
Things to take note of in IVA cases
- A fee may be charged
- Fess may be deducted from initial scheme payments before they are distributed to creditors
- Entering into an IVA will affect your credit history for 6 years
- Failing to meet payments can lead to bankruptcy
- Some homeowners may be required to remortgage their home during the scheme
- Failure to meet the repayments can lead to bankruptcy
- Set up charges may be high and charges will be deducted from payments before money is distributed to creditors
- Set up charges can be lost if the IVA is not agreed
Debt News
Debt News Archive