Stop all creditor contact now and write off your debt with an IVA, from £70 per month
Are you trying to figure out the best debt solution for your circumstances?
Entering an Individual Voluntary Arrangement (IVA) is an effective way to take control of your debts, but it’s not a decision to make lightly. After all, it’s a legally binding agreement you’ll be committing to.
While an IVA can help you write off your debt, it does affect your credit rating. And although your creditors will no longer contact you, you do still need to commit to regular payments.
So how can you decide what’s best?
In this post, we take a thorough look into all the positives and negatives of an IVA and give you some insight into what an IVA can (and can’t) do for you.
Here’s everything you need to know…
Get Your Debt Written OffBefore entering an IVA many people feel like they’re drowning in debt, and find it hard to visualise a future where things are different. But an IVA can help you become debt-free. Typically, the fixed period for an IVA is 5 years (60 months). Once this period is complete, your remaining debt will be written off and you’ll become completely debt-free. The % of your debt that is written off will depend on the monthly payments you agreed to initially, but it’s likely to be a significant amount.
Your Creditors Won’t Contact YouAre you being visited by debt collectors or bailiffs? This is stressful for anybody. The good news is that as soon as you formalise your IVA (and sometimes sooner), your creditors will no longer be allowed (by law) to contact you. That means no more:
- text messages
- home visits