What are the Cons of Individual Voluntary Arrangements - IVA's?
Your IVA is entered on a public register
Other insolvency practitioner firms may require payment in advance for preparing your proposal and getting your creditors’ agreement
If there is some equity (value) in your home after taking account of the mortgage(s) on it, you will probably have to pay for your share, usually in the fifth year of your IVA, by remortgaging the property. If you can’t get a remortgage, you may have to continue making monthly or quarterly payments from your income, for up to another year
If your circumstances change, and your practitioner can’t get creditors to accept amended terms, the IVA is likely to fail. You will then still owe your creditors the full amount of what you owed them at the start,
less whatever has been paid to them under your IVAIf your IVA fails, you may be made bankrupt
Getting in touch with an insolvency expert for free debt advice is as easy as picking up the phone. Call the Leeds Debt Advice Helpline on free phone 0800 169 1536
