Information On IVA Processing - Your Easy Guide For A Complex Process

Information on IVA processing is often the one thing that individuals looking to set up an IVA are concerned about before applying. This is with good reason when you look at just how complex the process is made out to be. However, if you break it down into steps then the information on IVA is actually a lot easier to understand!

There are five main steps involved in information on IVA processing and they will take between four and six weeks to work through. However, at the end of the following steps, you may well be on the way to sorting out your finances and debts once and for all!

Step 1

The first thing that you should do is attend a meeting with the IVA company that you have chosen. The advisor you deal with should spend at least two hours with you, discussing your financial situation and giving you important information on IVA processing. From your discussion, he or she should be able to work out just how much you can afford to pay back in terms of your debts. He or she should then be able to tell you how likely it is that your application will be accepted. You can then move on to step 2 of the information on IVA processing.

Step 2

During the same meeting as in step 1, the advisor will begin IVA processing by drafting the formal offer that will be sent to your creditors. He or she will explain all of your options to you and then ask you to agree to the document, which you should sign in front of your solicitor.

Step 3

The next step in IVA processing is sending the offer to all of your creditors and waiting for a response. Your creditors are allowed to request changes, such as an increased payment. If this happens then you will be notified.

Step 4

Your creditors all meet to discuss the information on IVA applications in this step. Not all creditors have to attend because those accepting your proposal may just write in the affirmative. Your offer will only be legally binding if creditors holding over 75% of your debt accept it. If it is accepted then it will apply to all debts, including those held with creditors that rejected it in the meeting.

Step 5

After the meeting, all of your creditors will be advised of the outcome in writing and then your Insolvency Practitioner, your advisor thus far, will be appointed to supervise the debt for as long as it exists. He or she is there to help you and will also inform the courts for you.

After the IVA processing has been completed, it is up to you to follow through with your promise and make all monthly payments to maintain the IVA. This is usually for five years. At the end of the period defined in the agreement though, all remaining debts will be written off and you can enjoy.