If you’re thinking about whether or not an IVA or Individual Voluntary Arrangement is going to be a good option for you, there are a few factors to bear in mind before taking any decisions.
An Insolvency Practitioner will be best placed to help you work out the details of an IVA, as well as whether it is in fact your best available option.
Choosing an Insolvency Practitioner
In order to get an IVA, you’ll need to use the services of qualified Insolvency Practitioner. These are professionals usually from legal or accounting backgrounds and are generally well placed to advice you on all matters relating to insolvency. Before going ahead with any insolvency processes, you should make sure you’ve not only checked that your practitioner is certified to act on your behalf, but that you understand the costs that are going to be involved. It can be worth looking around at different practitioners in terms of the fees that they charge, as you’ll naturally want to minimise the costs, while getting the arrangement you need.
Creditors
If you do go ahead and pursue an IVA, you’ll need to provide details of your creditors. It’s imperative that these details are correct, as the IVA is dependent on the creditors attending a meeting at which the proposal is discussed, and it is on the basis of what they decide at this meeting that an IVA legally binds them, preventing them from taking any other court action against you for the debts.
Options
Last but not least, before taking any long term decisions about your finances, make sure you know exactly what your options are. Discuss the situation with your Insolvency Practitioner and make sure the proposal is one that will suit you. It can be easy to let the pressures of financial difficulties rush you into taking a decision at times like this, but taking time to make the right decision is hugely important.