Individual Voluntary Arrangements (IVA)

This is often the preferred alternative to bankruptcy for individuals in financial difficulty. An IVA is a formal and legally binding contract an individual enters into with their creditors and details how your debts are going to be dealt with. You will need to instruct an insolvency practitioner to oversee the whole process for you.

We initially work with you to prepare a proposal for your creditors to consider. Subject to your means, you will agree to repay your liabilities either in part or in full, over a period of time (typically 3-5 years).

We will assist you in the drafting of your proposal to ensure it has the best chance of being approved by your creditors and that it is fair and reasonable.

The formal part of the process involves arranging a decision process for your creditors vote on accepting the proposal. You require 75% of your creditors (by value of their debt) to support the proposal.

On the assumption that the proposal is approved, we normally take the role of Supervisor of the Arrangement to ensure that the terms are adhered to and distributions are paid to creditors.