This sections of the E-insolvency site will explain the IVA to clear debt process

Many people in debt choose to clear debt with an IVA because of the clear advantages that an IVA has over bankruptcy.

The advantages of an IVA are the following:

• An IVA is looked after by a fully qualified licenced insolvency practitioner so whole process of getting an IVA to clear debt is carried out by a trusted and accountable person.
• An IVA is a private agreement so the process of an IVA to clear debt will be free of publicity, a private matter.
• Using an IVA to clear debt is cost effective as the costs are much lower than bankruptcy.
• Using an IVA to clear debt means that the person taking out the IVA can still be a company director and so their business or professional status will not be affected.
• The person using an IVA to clear debt can still use a normal bank account on the basis that he or she does not request an overdraft facility.
• An IVA is an approved method to repay and clear your debt in a short period of time.
• If you are in the armed forces then an IVA is the only alternative to bankruptcy to clear debt.
• If you have been refused a loan to clear debt then an IVA is a strong alternative.

Using an IVA to clear debt

An Individual Voluntary Arrangement - IVA is a formal agreement between the a person who want to clear debt and the creditors. The IVA is governed under the Insolvency Act (1986). An IVA allow the person wanting to clear debt to pay off a percentage of what is owed over a period of time, usually 5 years.  The debt advice team will only recommend an IVA as a solution to your debt problems if it is considered as best advice to help you clear debts. An IVA can clear your debts in up to 60 months and be debt free.

If you would like to know how to clear debt and be debt free please call 0800 074 6918 or complete the short enquiry form on our website home page. Please note that if you have UK debts and want to clear your debt please contact us anytime.