IVA is an agreement with your creditors for paying your debts. When you are bearing a lump sum debt the financial adviser will suggest you follow their advice so that you can pay the due completely or partially. You may get a control of your properties.
The advice for agreement
If you are in a huge stress the advisers will suggest you find the solutions. There are many solutions and IVA is one of them. You have to follow the legal provisions as the agreement will be made according to law. The agreement may last for five to six years. When you are in the period of Individual Voluntary Agreement you can make payments what you can afford. The company will arrange a meeting where the creditors decide if they are going to give you any consideration or not. It is sure that the advisers cannot force the lenders as they have the right to decide.
The insolvency practitioner from your company will monitors when you are in the effect of the agreement. If you are seeking solutions you have o make application to the company. The advisers will verify your financial situation and then they write off all the details and arrange a meeting. You must pay the fees of your company as part of the debt. In a public register, all records will be there. So the credit report may affect by the effect of the writing. Your monthly spending may be restricted while you are in the agreement.
Consider before applying
Some issues may come when you enter into the agreement. When you have a good income you have to increase the rate of the payment. The company may ask you to re-mortgage your properties to the end of the agreement. You should read all the terms and conditions and know the legal instructions. If you want to get more information you may visit IVAPlan.co.uk.