What is an IVA and would you qualify? An IVA is known as an individual voluntary arrangement. This is a legal binding contract made between a person and their creditors to pay off an owed debt. In most cases, what can be afforded is set up as small monthly payments and what cannot be afforded is written off. This helps the people owed money collect their money and the people that owe the money get out from underneath their debt. It also helps the person avoid all the hassles and embarrassment that filing for bankruptcy can bring.
The concept of an individual voluntary arrangement was implemented by the government. This program makes the total debt affordable and payable for the people that have a significant amount they just cannot get taken care of. The cost of an IVA should cost a person nothing at all. A professional handles all the details of this solution and any fees are factored into the monthly payments which means nothing extra is coming out of pocket. There are many companies that have professionals willing to work hard to make sure the debtor and the creditor both can be satisfied with the repayment agreement.
The positive thing about an individual voluntary arrangement is that the person gets to keep most of their assets. It is also kept private which means personal business is not aired for the world to see like it would be if bankruptcy is filed. The person will also no longer have to worry about the annoying phone calls from creditors requesting money they just do not have. There are no extra charges because interest payments are frozen. A person can feel better about themselves because they are taking the initiative to take care of their owed debts and this is just one less thing they will have to stress about in a stressful world.
Whether or not a person qualifies for an individual voluntary arrangement has a few determining factors. One factor is that a person must not have the ability to pay the debts under the current terms; meaning the debts are more than other assets. Depending on the company will be the determining factor in how much your current debt can be in order for approval for their services. There is no one set amount but the debt will need to be a significantly high amount and a person will need to check with individual companies to find out their policies.