How is my life going to be affected if I entered an IVA?
Unless you have an expensive lifestyle entering into an IVA isn't going to change your life to a significant level. Once the proposal has been sent out to your creditors, a major factor that they take into account while approving your proposal is that they want to make sure you have a reasonable standard of living; and there are guidelines to ensure that you lead a reasonable lifestyle.
However, you need to take into consideration that expense allowances such as social life, going out, playing lottery, gambling, smoking, drinking etc. cannot be made. The creditors do not see these expenses as essential living expenditure, particularly if it means that you will be unable to meet the contractual monthly payment terms. They will be reasonable to a certain level, as the debtor you need to understand that your creditors are going to write up some of your debts.
You will be expected to live within your budget and that is why it is very important to cover all the normal household expenses in the financial statement while proposing an IVA. Your insolvency practitioner will help you write up a financial statement that will ensure that your normal living expenses are covered to a good extent.
Will I be completely debt free once I complete the IVA term?
While proposing an IVA, the only debts that you can include highly unsecured once. Provided that you have included all your unsecured debt in your proposal, you will be completely debt free once you have completed your IVA term. Once you have completed your IVA term, any outstanding debts and liability to your creditors will be written off.
If you fail to disclose or include any unsecured loans, credit cards, store cards, hire purchase etc in the IVA proposal, they will not be covered. But it is advised that you do not keep any of your unsecured loans undisclosed. It will work against your interest.
Why use us to set up your IVA?
If you have debts over £15,000 than our Insolvency Practitioners can help you by proposing an IVA plan for you. Our Practitioners are industry regulated with many years experience in dealing with people like yourselves. We believe in providing honest, professional and reliable service. Fill out our online no obligation enquiry form to arrange a callback from one of our specialist Insolvency Practitioners. They will be happy to listen to you and devise a plan that is best suitable for your situation.
