How does an IVA work?

The process of initiating an IVA is quite simple, involving only a few essential steps to establish your arrangement:

Insolvency Practitioner meeting

The initial step in addressing your debt situation is to arrange a consultation with a qualified Insolvency Practitioner. At IVA Helpline, our experts will assess your financial circumstances and ascertain if an Individual Voluntary Arrangement (IVA) is the most appropriate solution for your current needs. Should an IVA not be deemed suitable, we may recommend alternative debt resolutions, such as a Debt Relief Order (DRO) or a Debt Management Plan (DMP). Following the evaluation, we will submit an IVA proposal outlining the terms of your agreement for your creditors to examine.

Creditors meeting

In the subsequent stage, you will participate in a meeting with your Insolvency Practitioner and creditors, often through virtual means, to discuss the proposed terms of your IVA. To proceed with the arrangement, 75% of your creditors must consent to the suggested payment plan. It is important to note that some creditors might adhere to an IVA protocol, which comprises a set of guidelines for drafting an IVA. As IVA Helpline, we are here to support you throughout this process and ensure a smooth experience.

IVA commences

The arrangement will officially commence upon reaching a mutual agreement on the IVA terms. It is important to note that all creditors will be incorporated into the IVA, even if only 75% consented. From this stage, creditors can no longer contact you for debt recovery, and all interest on your debts will be promptly frozen.

What documents do I need to provide for an IVA?

Upon initiating an IVA application, we at IVA Helpline require specific documents to assist our Insolvency Practitioner in crafting the terms of your agreement. These essential documents consist of:

• Verification of your identity, such as a photocopy of your passport or photo driving license
• Income statements for the past three months, including wage slips and benefits statements
• Your most recent tax return and a 12-month trading projection, applicable for self-employed individuals
• A copy of your current rental agreement or the latest mortgage statement
• Bank statements from the last three months
• The outstanding balance owed to each creditor, documented in writing
• A copy of your car finance or hire purchase agreement, if applicable

By providing these documents, you enable us to understand your financial situation comprehensively, allowing us to create a tailored and effective IVA arrangement.

Does my partner need to provide any documents for my IVA?

In an IVA, the primary goal is to assist individuals in repaying their debts, so there is no need for your partner to submit any documents for your application.

However, if you co-own a property with your partner, disclosing their income and providing evidence, such as a payslip or benefits statement may be necessary. Including your combined household income in the IVA proposal can increase the likelihood of approval and enable your Insolvency Practitioner to determine a realistic payment plan.

As IVA Helpline, we are committed to guiding you through this process and ensuring the best possible outcome for your financial situation.