consumer debt help about an IVA, want to
know if you can clear your personal debt problems with an IVA?

Most television channels now carry adverts for companies who offer a consumer IVA as a solution to a consumers personal debt problem. Not all of these adverts explain what the IVA is particularly well. We are aware of people who think it is a magic wand to make debt disappear. It's not.

So what is an IVA? An IVA or Individual Voluntary Arrangement is a formal agreement over a fixed term between you and your creditors and is available in England, Wales and Northern Ireland. In Scotland things are slightly different and is available there as a 'Trust Deed'.

An IVA is available to those in serious debt and should not be entered into lightly as it is a legally binding contract between you and your creditors, usually lasting 60 months which is supervised by an Insolvency Practitioner. Failure to meet your IVA repayments can result in bankruptcy.

There are several immediate benefits from entering into an IVA;

1. All further interest and charges on your debts will be stopped.

2. You only make one monthly payment to cover all your debts.

3. Your correspondence with your creditors stops - no more phone calls, no more letters!

4. Once you have made your final payment, all remaining debt is written off.

An IVA is a discrete way to correct your debt problems and although you cannot enter into any new credit agreements during the term of the IVA, once you have made all of your payments you are then legally free from your debts and can legally borrow again. It may take some time though to rebuild your credit rating.

If you would like further information about the IVA or Trust Deed,

For further consumer debt help call our FREE debt helpline on 0800 018 6868.