Get your Website Designed by the Expert Professionals Posted On : Aug-16-2011 | seen (149) times | Article Word Count : 531 |
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An IVA (individual voluntary arrangement) is an alternative to bankruptcy introduced by the government as part of the Insolvency Act 1986. This article provides an overview of IVAs and suggests what readers should watch out for when looking for IVA advice.
What Is An IVA
An IVA is an alternative to bankruptcy introduced by the Insolvency Act of 1986. It enables individuals facing serious debt problems to make a proposal to their creditors to reach a settlement. If the proposal is approved by a majority of the creditors, then the IVA acts as a contract that binds all parties and prevents any further action. A standard IVA will offer to pay whatever the debtor can afford each month into a fund over a five year period Cheap Nike Basketball Shoes , until the debt is cleared. With an IVA: Interest on the loan is frozen Legal proceedings are stopped The overall debt is reduced
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