What is an IVA?
November 10th, 2009 by admin
An IVA is a UK sponsorsed debt resolution option that helps you consolidate the amount of money you owe to your creditors.
IVA stands for Individual Voluntary Arrangement. It is a formal, legally binding agreement between you and your creditors. You will agree to pay back your debt at a reduced rate while your creditors will have the assurance that it will indeed be paid back.
An IVA will usually last for a term of 5 years but a Protected Trust Deed (Scotland’s IVA equalivilant) only takes 4 years to pay off.