An IVA is a debt
relief program set up by government to provide a solution to personal
debt and to deal generally with the growing issue of bad credit debt
consolidation. We are licenced to give IVA advice and do so on the basis
of the fact that Individual voluntary arrangements were never designed
to be one-size-fits-all quick fixes to any problem with money, as individual
circumstances can vary so much.
The needs of one
person can be vastly different from the needs of the next. Any bad credit
debt consolidation advice given must take into account the distinctive
nature of the situation in which people find themselves.
Normally an Individual
Voluntary Arrangement will be set to run for 60 months and when the
term is complete all debts are cleared from a person's credit profile.
During the time of the IVA no banks or debt collectors are allowed to
pursue the debtor in any way. The good news as far as bad credit debt
consolidation is concerned is that an IVA has the benefits of bankruptcy
and none of the disadvantages.
An IVA will write
off most of your debt at the start of the programme. Any decent IVA
advice of this nature will ensure that you get the optimum results with
the lowest repayment options together with the greatest
percentage of debt written off.
So complete the
application form for impartial advice which is right for your own personal
If you have at least
two accounts in debt, and total debts of £2,000 or more, use the
form below to see if you qualify. (If you owe less than this, or are
on state benefits, then use this
link to apply.)
be aware that figures entered need to be accurate by law, and to give
the best service to you. It is extremely important that you budget for
all necessary expenditure including rent or mortgage, council tax and
utility bills, etc., and any other necessary outgoings related to the
upkeep of your household and inrelation to any specific circumstances
that may relate to you. This website only collects data on behalf of
debt management professionals, from which it will receive affiliate
remuneration for data collection only and does not itself engage in
any debt management services. Other debt management options are available
and may be more suitable. People entering into an IVA or debt management
will have this entered on their credit profile and this may affect their
ability to get credit in the short term or even in the long term in
some cases. It is free to apply from this website; you will be given
advice by debt management professionals and a 'cooling off' period,
by law, to decide whether or not the debt management plan is suitable
for you, and you should be aware that a fee will be chargeable upon
a successful arrangement, as with any commercial transaction. Failure
to meet the repayments on an IVA or any debt management programme may
result in serious consequences, including, but not limited to, bankruptcy.
Bankruptcies, CCJs and similar defaults will be entered into a public
register and will remain there for a statutory period of not less than
six (6) years.
Credit Licence number 633327.
In order to be suitable
for bad credit debt consolidation the client has to be able to demonstrate
a net income which is in excess of a certain minimum amount and have
liabilities of a total value of not less than a certain amount and not
more than a specified maxima, and such figures may change from one insolvency
company to another. Usually the income must be proved to cover the cost
of the calculated repayments after other necessary bills have been discharged
such as mortgage payments and council tax. The usual minimal amount
of debt is about £2,000 though this can vary. A ceiling of £50,000
is given in a few cases, although by making use of a broker or intermediary
the client will be steered towards the appropriate source of help to
handle their own particular situation.
Most types of bad
credit debt consolidation will most often be drafted to run over a period
of sixty months, although sometimes this will vary from case to case.
When the agreed period is over the debt is considered paid off in full
and the client cleared of all debt records. All debt records which have
been registered against the applicant's name and address must be cleared
from the record as applicable.
One distinct advantage
of an agreement of this sort is that it will instantly reduce the debt
by a large amount.. This vast cut in debt burden makes a considerable
difference and is one of several things that distinguishes this from
an otherwise normal management programme. So anyone seeking such debt
reduction programmes should apply for one of these rather than a standard
debt relief programme.
Measures such as
IVAs for bad credit debt consolidation are useful instruments and most
people would jump at the chance of applying for one of these because
it is legally binding and releases the client from all debts at the
end of the term. It is a more gentle answer to personal debt than other
more draconian instruments such as bankruptcy and it carries none of
Our economy is
a very complex entity. Economists and specialists of many types try
to figure out how the whole thing works as a matter of professional
curiosity. It is like a huge computer. In the final analysis economics
influences political imperatives and these things are largely regulated
by the society in which we live. Our culture at present is underpinned
by success and that usually means risk. For as long as we have this
insidious aspect of risk we have also the terrible prospect of insolvency,
personal and corporate. Use of IVAs for bad credit debt consolidation
is designed to offset this risk to a greater degree.
a look at the Insolvency Service's leaflet called 'In Debt',
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