ADVANTAGES OF PARTICIPATING IN THE AGREEMENT

• after 5 years you are debt free, outstanding debts are written off (up to 75% of the debt)
• you pay one monthly instalment, which covers all your debts
• the amount of the instalment is adapted to your financial possibilities, so that you don't lack financial means to live at a decent level
• There are no additional costs when you work with us on your IVA.
• Your interest is frozen, so there is no increase in debt
• Your creditors are legally prohibited from contacting you
• you avoid bankruptcy and bailiffs
• your creditors are obliged to contact us to make all the arrangements
• Your property or car remains your property
• The whole process has a positive impact on your Credit Score
• you regain control of your finances as a result of the whole process
• Unlike a bankruptcy, your IVA is not published in the press, and unlike a bankruptcy - your PAYE code remains unchanged during the IVA, minimising the likelihood of your employers being aware of your financial situation.

WHAT YOU NEED TO REMEMBER

• you can only join the scheme if your debt is over £5,000
• you have lived in England, Wales or Northern Ireland for at least six months
• you have more than one creditor (or one creditor over £10,000)
• you must have a regular income (contract of employment, contracting out, self-employment etc)
• if you are living on welfare benefits, you cannot join an IVA
• your centre of vital interests (COMI) must have been in England, Wales or Northern Ireland for at least six months (home, job, main bank account, tax office etc).
• if your partner or spouse wants to participate in the scheme, their debts must also be more than £5,000
• although the scheme has a very high uptake (90-93%), there can sometimes be contraindications that prevent you from joining the scheme. However, this does not stop you from trying again after a period of time
• you should not submit several applications at the same time. This will not help, it can only harm
• the programme does not affect your ability to rent or extend your current tenancy
• you cannot take out new loans, credits, overdrafts or other debts during the programme
• failure to repay a debt may result in termination of the arrangement, as a result of which creditors will regain their ability to collect and enforce their obligations
• secured loans and credits (e.g., against a car) cannot be included in the arrangement and must still be repaid separately, although these instalments will affect the amount of the arrangement instalment, which must not disrupt your monthly finances
• court fines, alimony and fines cannot be included in the arrangement either
• there must be no gambling expenses on your bank account
• overdraft holders are asked to open a new personal account when entering into an IVA and transfer their income to this, as the overdraft account is closed
• overdrafts cannot include debts incurred abroad, TV licences, private debts (family, friends), private landlord settlements etc.
• some debts can be dealt with individually

UK debts that can be included in an IVA

Credit Cards
Payday Loans
Personal Loans
Store Cards
Overdrafts
Lines of Credit
Catalogues
Internet bills
Phone bills
Water bill
Vets bills
Guaranteed loan (guarantor)
Car loans (lost car)
Invoices for building

*Remember, debt is also your loan (loan, credit, card debt) that you pay on time to the bank.

Debts in the UK that are likely to be included in an IVA

HMRC overpayment
Tax credit
Budgeting advance
Business Debt
Council Tax
VAT Tax
Electricity bills
Gas bills
Car insurance
Law office
Medical bills
Dental bills
Loans to start Business
Loan with a guarantor
Income tax 
National insurance arrears

UK debts that cannot be included in an IVA

Mortgages  
Hire purchase
Court fines
TV Licence
Student loans
Child support arrears
Social fund loans
Rent arrears
Debts from abroad
Friendship debts
Family debts