{"id":10302,"date":"2011-02-02T10:01:01","date_gmt":"2011-02-02T10:01:01","guid":{"rendered":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/?p=10302"},"modified":"2019-07-04T10:05:19","modified_gmt":"2019-07-04T09:05:19","slug":"what-debts-can-i-exclude-in-an-iva","status":"publish","type":"post","link":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/what-debts-can-i-exclude-in-an-iva\/","title":{"rendered":"What debts can I exclude in an IVA?"},"content":{"rendered":"\n<p>If you are considering offering proposals for an Individual Voluntary  Arrangement (IVA) to your creditors, you should be clear as to what  debts must be included and which debts must be excluded. <\/p>\n\n\n\n<!--more-->\n\n\n\n<p>Your Insolvency  Practitioner (IP) will verify this for you but even before you take  that first step of seeking advice you should be aware that not all debts  can be addressed via an IVA. Some debts must be paid in full on an  ongoing basis and you must make allowance for these when preparing your  monthly household Income and Expenditure Statement.<\/p>\n\n\n\n<p>For a start, all secured debts must be paid outside of the  arrangement. The most important secured debt is your mortgage (if you  have one) and your car HP (provided it is in fact a proper Hire Purchase  Agreement and not just a motor loan) is probably the second most  important secured debt.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"424\" height=\"283\" src=\"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-content\/uploads\/2019\/07\/Fotolia_57439668_XS.jpg\" alt=\"Calculating debts and figures\" class=\"wp-image-10311\" srcset=\"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-content\/uploads\/2019\/07\/Fotolia_57439668_XS.jpg 424w, https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-content\/uploads\/2019\/07\/Fotolia_57439668_XS-300x200.jpg 300w\" sizes=\"auto, (max-width: 424px) 100vw, 424px\" \/><\/figure>\n\n\n\n<p>Almost all unsecured debts must be included in your IVA i.e. you will be offering your creditors a dividend on these debts and not\n paying them in full. However, there are exceptions: fines, student \nloans and CSA (Child Support Agency) arrears must be paid in full on an \nongoing basis and cannot be lumped in with your other unsecured debts.<\/p>\n\n\n\n<p>So after deducting from your income all of your normal living  expenses (which include mortgage or rent, car HP, council tax, water  rates, food, drink, clothing, heat and light, travel expenses, costs  relating to children and other dependents and so on), you will be left  with your disposable income (DI). This remaining amount of DI is what  you will contribute to your creditors, less the administration costs of  your IVA.<\/p>\n\n\n\n<p>\nYour IP will calculate precisely how much you can offer taking into \naccount all of your income and all reasonable household expenses. So it \nis important that you disclose all of your debts to your IP at the \noutset. Otherwise you could find that an omitted debt, whether it must \nbe included in your IVA or must be excluded from it, could cause your \nIVA to fail in the future.&nbsp;&nbsp;&nbsp;\n\n<\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you are considering offering proposals for an Individual Voluntary Arrangement (IVA) to your creditors, you should be clear as to what debts must be included and which debts must be excluded. <\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"none","_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","footnotes":""},"categories":[7],"tags":[],"class_list":["post-10302","post","type-post","status-publish","format-standard","hentry","category-iva-articles"],"_links":{"self":[{"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/posts\/10302","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/comments?post=10302"}],"version-history":[{"count":1,"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/posts\/10302\/revisions"}],"predecessor-version":[{"id":10312,"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/posts\/10302\/revisions\/10312"}],"wp:attachment":[{"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/media?parent=10302"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/categories?post=10302"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nationaldebtrelief.co.uk\/debt-articles\/wp-json\/wp\/v2\/tags?post=10302"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}