If I proceed with an IVA will I lose my home?

No, you will not lose your home, but it is important that you understand from the outset that any equity in your house, savings or other assets will be assessed when making an offer to creditors under an IVA.

Is an IVA right for everyone?

Due to the costs involved with setting up an IVA, the general rule of thumb within the industry is that it is only practical to obtain one if your total debts come to more than £15,000

How long does an IVA last?

The normal duration of an Individual Voluntary Arrangement is five years.

Which debts can be included in an IVA?

You can include debts owed to the following parties:

• Banks and Finance Companies
• Credit card, store card and charge card companies
• A full breakdown of your income and expenditure
• Inland Revenue
• Customs and Excise (VAT)
• Family/Friends

Which debts are excluded from an IVA?

• Your mortgage
• Hire Purchase agreements
• Maintenance/child support arrears

Can I obtain an IVA if a Bankruptcy Order has been made against me?

Yes.

What happens if I fall behind with the payments on my IVA?

You should do your utmost to prevent this happening because once you default on your agreed payments under an IVA; the supervisor of the scheme can commence bankruptcy proceedings against you.

What happens once I finish paying my IVA?

The Licensed Insolvency Practitioner will send you a 'Statement of Completion', usually within three months of the final payment being made. The Insolvency Practitioner will also send a copy of this to the Insolvency Service so that they can amend their records. It is then down to you to send a copy of the Statement of Completion to all the credit reference agencies so they can record this on file.