IVA Solution in UK
There is a mutual benefit for both creditors and debtors in IVA, and this is why an increasing number of consumer debtors in UK that are overburdened by debts consider IVA as the best alternative to bankruptcy.
There are various advantages in opting for IVA instead of declaring bankruptcy. IVA helps people to get rid of their debts by just paying a part of mounting debt through the agreement that is designed to benefit both creditors and debtors. Some of the advantages of IVA are as follows:
Puts a full stop to the increasing of debts
• Makes it possible to eliminate any interest charges on the capital
• Prevents any bankruptcy proceedings
• Puts an end to harassment by the creditors
• As long as the agreement is in effect no legal proceedings can be initiated against the debtor
• Reduces expenditures up to 75%
• The best way to settle debts and repair credit scores
The first and foremost benefit of IVA is the saving of the person’s social image from being declared as bankrupt. IVA provides and opportunity to rebuild one’s financial status and repair his credit score with time. People that wish to live with self respect and protect themselves from the harassing creditors find IVA as great financial tool. Expert insolvency practitioners can help their clients to write off almost up to 75% of their debts and begin a new debt free life soon.
One other advantage of IVA is that the debtor’s credit situation will not be made public as in the case of bankruptcy. Not only dose the agreement help in reducing three fourth of debt amount but also buys the debtor time to settle the rest of the amount, which usually is about five years. Once the debtor becomes debt free, he can again rebuild his financial status and set right his financial scores to lead a normal life in the society, which is mostly not possible in case of declaring bankruptcy.
There many IVA companies that can help people negotiate and design a favorable agreement with their creditors. Although one can make their own arrangements for IVA, the expertise and knowledge of the financial counselors will come a long way in make it a perfect deal. In order to find the right companies that can help you get over your financial difficulties, you can research the internet and compare the services offered by various companies. It is also wise to consult friends and family regarding further proceedings and to choose the right IVA consultant.