A credit card IVA is a debt management plan set up by the government
to provide a solution to the problem of personal debt and to deal with
the growing issue of personal insolvency.
The needs of one
household can be vastly different from the needs of another person.
Any advice given must thus take into account the uniqueness of the situation
people find themselves in.
Generally an Individual
Voluntary Arrangement will be set to run for sixty months (sometimes
less) and after this has finished all the debts are discharged from
a person's credit profile. During this time banks are not allowed to
harass or pursue the debtor. The IVA has the benefits of sequestration
and none of the disadvantages.
An instrument such
as this writes off most of a person's debt at the start of the programme
(although be wary of the claims made in some advertising: it is rarely
more than 60 or 65% of unsecured debt which may be 'written off' in
this way). All good credit card IVA advice of this nature will make
sure you get the best results with the lowest monthly repayments together
with the highest proportion of debt write-off at the outset.
So complete the
application form below for impartial credit card IVA advice which is
right for your own personal circumstances.
If you have at least
two accounts in debt, and total debts of £2,000 or more, use the
form below to see if you qualify. (If you owe less than this, or are
on state benefits, then use this
link to apply.)
be aware that figures entered need to be accurate by law, and to give
the best service to you. It is extremely important that you budget
for all necessary expenditure including rent or mortgage, council
tax and utility bills, etc., and any other necessary outgoings related
to the upkeep of your household and inrelation to any specific circumstances
that may relate to you. This website only collects data on behalf
of debt management professionals, from which it will receive affiliate
remuneration for data collection only and does not itself engage in
any debt management services. Other debt management options are available
and may be more suitable. People entering into an IVA or debt management
will have this entered on their credit profile and this may affect
their ability to get credit in the short term or even in the long
term in some cases. It is free to apply from this website; you will
be given advice by debt management professionals and a 'cooling off'
period, by law, to decide whether or not the debt management plan
is suitable for you, and you should be aware that a fee will be chargeable
upon a successful arrangement, as with any commercial transaction.
Failure to meet the repayments on an IVA or any debt management programme
may result in serious consequences, including, but not limited to,
bankruptcy. Bankruptcies, CCJs and similar defaults will be entered
into a public register and will remain there for a statutory period
of not less than six (6) years.
Credit Licence number 633327.
Most sorts of credit
card IVA programme will usually be drawn up to run for sixty months,
although sometimes this will vary. At the conclusion of the agreed term
the debt is considered to have been paid off in full and the client
exonerated. Any debt records which have been registered against the
client's name and address will be struck from the credit records as
A number of disciplines
have emerged related to aspects of insolvency, and these include the
legal sector as well as more recent professions including consultants.
All such experts have their own strengths and weaknesses. Each one will
have a different area of specialisation which you should benefit from
to your advantage. Making use of a credit card IVA should ensure that
the turnaround from insolvency is much quicker and easier.
A credit card IVA
will be generally framed by a specialist insolvency practitioner and
will be drafted especially to address the specific requirements. There
is no average approach to such a process as all situations are different
to the next, and some circumstances differ exceedingly. The insolvency
practitioner will now draw up the optimum strategy for the applicant's
own particular situation and draw up a programme of payments to creditors
which is generally five years, although in certain cases this can change.
In order to qualify
for a credit card IVA the client must be able to demonstrate a salary
or earnings which is above a stated minimum amount and have arrears
with a total value of more than a specified sum and not greater than
a specified maxima, and such figures may alter from one insolvency company
to the next. Usually the income must exceed the calculated repayments
after other bills have been met such as the mortgage and utility bills
and council tax, etc. The average minimum amount of personal debt is
around £2,000 though this can vary. A ceiling of £50,000
is imposed in a few cases, though by going through a broker the applicant
will be steered towards the appropriate service to look after their
own particular circumstances.
A credit card IVA
is a useful legal instrument and most would jump at the chance of taking
one out as it is santioned by the law and discharges the holder from
the entire debt at the end of the term. It is a much more amiable answer
to long-term insolvency than other more draconian instruments like bankruptcy
and carries none of bankruptcy's stigma.
a look at the Insolvency Service's leaflet called 'In Debt', downloadable
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