IVA - The Process

1. We will do an assessment of you case and send you a letter detailing the course of action we recommend to enable you to best move forward. Once we have your consent we will make contact with all of your creditors informing them of our involvement in compiling a proposal under the IVA and request a confirmation of the amount they are owed.
2. Having assessed the overall amount we will compile a set of proposals which will include your usual income and expenditure, creditor details, background of the how the debts built up and a proposal for repayment (this will include the monthly repayment amount and the duration the arrangement is expected to last).
3. Depending on the circumstances of your case and how far down the line it has gone it may also be necessary to send our proposal to your local County Court for approval together with a request for an Interim Order. This Interim Order will be used to protect you from any further court action, such as bankruptcy proceedings.
4. All your creditors will also be issued with a copy of the proposals, schedules and other details together with all the information they will need of the Creditors Meeting we would have arranged. A representative will be present at the meeting and will chair the Creditors Meeting. You will also be expected to attend the meeting which will give you the opportunity to address any concerns the creditors will have to ensure them that this is the best way forward for them in receiving their money. In order for the IVA to be effective the proposal must be approved by at least 75% (in value) of those who vote. On approval, the IVA will be legally binding on all the creditors, including those who opposed the IVA proposal and did not voted.
5. Once the meeting is over a copy of the Chairman's report will be sent to all the creditors and their agents detailing the outcome of the votes and proposal put forward. If any modifications were made during the meeting they would be confirmed in the report.
6. During the IVA period a supervisor will be appointed to oversee the arrangement. Under the arrangement you will only pay one monthly amount into an account which will be in your name. There will be annual reviews of your income and expenditure from which an annual report will be sent to you and your creditors. In accordance with the IVA arrangement, your debts will be cleared if you keep up to date with your monthly payment.

Individual Voluntary Arrangement (IVA) key points: -

An Individual Voluntary Arrangement is always useful when you have impatient creditors as it provides you with protection.

• Any individual can compile a plan of action for the repayment of creditors to vote upon.
• Upon approval of an IVA, a bankruptcy order can be cancelled.
• IVA's only remain on the public register for a period of two years of either completion or termination of the arrangement.
• For an IVA to be effective there needs to be 75% approval of creditors
• If the IVA fails then the creditors will be able to apply for the bankruptcy of the debtor.