IVA Debt Help FAQ

Individual Voluntary Arrangement or IVA debt help is quickly becoming one of the most frequently used and most reliable ways of alleviating some of the stress that being in debt can put you under. If you find that you are struggling to keep up with your monthly payments then it is worth finding out a little bit more to see if it is the solution for you.

What exactly does this involve?

You will initially need to get in touch with a specialist debt management company. Once this is done, the company will then get any information needed to make up a more suitable payment schedule for your circumstances.

Does this involve any lending?

This is not a loan in any way, shape or form. The company you choose to use do not lend you any money at all, they simply make arrangements with the people you owe so that the amounts you are paying are reduced to a more manageable level.

Will interest and charges be “stopped or frozen”?

The interest and charges on your debts may not always be stopped. However, it is generally accepted that if a debtor is in financial difficulty then stopping any further interest or late payment charges is a plausible option.

How long does it take?

Any company you contact will usually start working on your case within 24 hours of you contacting them. Within a month they will have set up arrangements with all of your creditors to make an improved payment plan.

Will my credit rating be affected?

Choosing this option of debt management may well lead to your credit rating being lowered. This is because you will probably not be paying the amount that had been agreed in the contract.

If the creditors send me any letters what do i do?

If you receive any correspondence from your creditors after the agreement is set up you should pass it on to the debt company or give their phone number to the creditor.

Do the creditors have to accept my offer?

Your creditors are not obliged to accept your revised payment plan. There is usually no problem though as the figures that are calculated for the new payment amount are based on your actual situation.

If you require any further information about IVA debt help then you should get in touch with a professional who will be able to give you all the answers you need.

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