Individual Voluntary Arrangements

An Individual Voluntary Arrangement (IVA) is a formal agreement between an individual and their creditors to repay a portion of their debts over a set period, usually five to six years. It is managed by an insolvency practitioner and provides a structured, legally binding way to resolve debts while avoiding bankruptcy. During the IVA, the individual makes affordable monthly payments, and upon successful completion, any remaining unsecured debts are usually wiped out. It’s a way to settle debts responsibly while maintaining some control over finances and avoiding more severe legal actions.