Arranging an IVA

IVAs are designed to help people with unsecured debts of £15,000 or more. An insolvency practitioner (IP) assesses your finances and sends a proposal for the IVA to your creditors. The proposal involves making monthly payments towards your debt over a fixed period of time; which is usually 5 years. Sometimes a lump sum of money may also have to be paid towards your debts. You can find out if you need to do this when you speak to your IP.

The monthly payments you make are based on what you can afford to pay once your living expenses have been accounted for. Once the fixed period of time has ended, your remaining debts are written off.

In order for your IVA to go ahead, creditors representing 75% or more of your total debt must approve your proposal.

Specialist IVA management

We have our own IVA company, CCCSVA, with an experienced insolvency practitioner who shares the ethics and values of our charity. There are no charges for the advice and support provided by CCCSVA before your IVA is set up. There are fees payable, but these are included in the overall debt and paid off though your normal monthly instalments.

CCCSVA have a very high success rate with their IVA proposals. In 2010, 98.5 percent of IVAs we proposed were accepted by creditors.

However, IVAs are only suitable for people with certain circumstances. There are many other debt solutions available and each debt problem has to be assessed individually.

IVA advice

As the UK’s foremost debt help charity, you can contact us for free, specialist IVA advice and help with all kinds of debt problems and solutions.

CCCS Debt Remedy, our online debt counselling service, can identify the very best debt solution for your circumstances and assess whether or not an IVA is suitable for you.