We have listed Viva Debt Help as the Best IVA Company in the UK. They are able to offer expert advice and a service that will help you get an IVA in place, and help find your way to a debt-free future. See below for full reviews of the top 4 IVA companies that are able to help with setting up an IVA.
| Brand | Summary | Score |
| Viva Debt Help | Best IVA Company - Expert Advice | 10/10 |
| 123 Debt Fix | Full Accredited Debt Advice | 9/10 |
| Help My Debts Pro | Variety of Debt Consolidation Options | 9/10 |
| Debt Nurse | Easy IVA Application Process | 8/10 |
When facing mounting debts, it's crucial to explore tailored and viable solutions based on individual circumstances. Options such as debt consolidation loans, debt management plans, and debt relief orders offer different features, advantages, and drawbacks to consider.
Among these options, an Individual Voluntary Arrangement (IVA) is one of the ways you can decide to go. However, many individuals question whether an IVA is a good idea for their specific situation. In this article, we will examine the viability of an IVA and its suitability.
To receive expert advice on debt management and determine whether an IVA is a good idea for your debts, there are outstanding companies in the UK that you can consult. These companies will provide guidance and advise you accordingly based on your individual circumstances.
Best Debt Advice Companies in the UK
- Viva Debt Help – Best IVA experts.
- 123 Debt Fix – Accredited debt advisors.
- Help My Debts Pro – Variety of debt management alternatives.
- Debt Nurse – Convenient easy-to-use platform for IVA advice.
These companies possess the necessary expertise to provide advice on whether an IVA is a good idea. Additionally, they offer valuable and free advice on debt management, presenting various avenues that can be pursued in managing debt. They do so by suggesting debt solutions specifically tailored to your unique debt situation.
To assist you in selecting the most suitable company based on your debt concerns, we have conducted a review of these companies.
1. Viva Debt Help: Best IVA Advice
If you find yourself contemplating whether an IVA is a good idea for your debts, Viva Debt Help is the ideal resource to seek answers. With friendly advisors and a commitment to upholding confidentiality, Viva Debt Help offers solutions to your debt problems through a simple three-step process.
First, you begin by filling out an assessment form, providing essential information about your situation. Following this, you have the opportunity to engage in a conversation with the advisors. During this discussion, a range of options will be presented to you, addressing your specific circumstances.
Through the guidance of the advisors, they will assess the information gathered throughout the process and provide you with their expert opinion on whether an IVA is a good idea.
Highlights on Viva Debt Help
- It gives unbiased opinions on debt management options.
- It is well-connected to accredited debt experts.
- It has an easy application procedure.
- Can provide solutions to a good number of debts.
- Has friendly advisors.
At Viva Debt Help, you can be guaranteed reliable advice on whether an IVA is a good idea for handling your debt issues.
2. 123 Debt Fix: Accredited debt advisors
If you are in a financial fix that involves debt and not sure whether an IVA is a good idea, you ought to check out 123 Debt Fix. At 123 Debt Fix, you will get expert advice from its team of experts who have specialized in providing solutions to Britons suffering from debt. Over the time it has been in operation, it has successfully helped many overcome debt issues.
123 Debt Fix provides benefits such as freezing interest and charges on your debt management plan. Additionally, the team of FCA-approved professionals offers unbiased opinions on your debt management process to help you regain control over your finances. With all these at your disposal, you sure can get an answer on if an IVA is a good idea to solve your debt crunch.
Highlights of 123 Debt Fix
- You get to deal with FCA-approved debt advisors.
- The advisors don’t give you obligation advice.
- Get better debt reduction.
- Debt solutions that are easy to follow through and understand.
- Helps you make factual decisions.
123 Debt Fix has excellent customer handling services that see you through the question of whether an IVA is a good idea for settling debts.
3. Help My Debts Pro: Best for debt management plans
Due to the limited knowledge surrounding IVAs, some individuals question whether it is a good idea. At Help My Debts Pro, you have the opportunity to engage with debt experts who will thoroughly explain the implications of an IVA, as well as present alternative options to resolve your debt problem. The debt experts on their platform are FCA-approved and possess the necessary accreditations to provide reliable advice on the viability of an IVA as an option.
With Help My Debts Pro, you can trust that you'll receive professional guidance from experts who understand the complexities of IVAs and will help you make an informed decision regarding your debt situation.
Highlights of Help My Debts Pro
- Vast connection to approved and accredited debt experts.
- Minimization of debt burden.
- Professionalism in their dealings.
- Friendly advisors.
- Can cover large debts of over £20,000.
Help My Debts Pro offers the best advice on debt management and as such, your question on if an IVA is a good idea will be answered in the best way possible.
4. Debt Nurse: Best IVA Plans
When the discussion of debts arising from unsecured loans emerges, an Individual Voluntary Arrangement (IVA) is often considered as a potential option. However, the question that lingers in the minds of many is whether an IVA is a good idea. For a definitive answer to this question, there is no better place to turn to than Debt Nurse.
Debt Nurse is supported by a multitude of FCA-approved debt advisors who provide professional guidance on various types of debt. By utilizing Debt Nurse as your debt solution platform, you can benefit from advantages such as a straightforward application process, reduced loan amounts, and comprehensive coverage of a majority of your debts. With their expertise, Debt Nurse will appropriately address the question of whether an IVA is a good idea and guide you towards resolving your debt problems effectively.
Highlights of Debt Nurse
- Get the best debt relief services.
- A user-friendly form that is easy to fill.
- Significant debt reduction.
- Professional assistance from accredited experts.
- Debt solutions that are tailored according to your financial capabilities.
Debt Nurse is a platform that will help you reduce your debt payment significantly after deciding on if an IVA is a good idea, thus helping you regain financial control.
What Is an IVA?
An IVA is a formal and legally binding arrangement between an individual and their creditors. The main aim of an IVA is to facilitate regular debt repayments over a fixed period. It offers a structured method for managing debt, whereby the individual is bound to make manageable monthly payments based on their financial circumstances and capabilities. Throughout the IVA, creditors are typically prohibited from applying interest or pursuing legal action, and there may be potential debt forgiveness upon successful completion. Over the IVA period, an insolvency partner manages and gives relevant advice on financial decisions you are to undertake.
What to Know Before Taking Out an IVA
Before you proceed with obtaining an Individual Voluntary Arrangement (IVA) to address your debt situation, there are several important factors that you ought to consider to know if an IVA is a good idea.
Financial assessment
it is necessary to conduct a thorough assessment of your financial situation. While at it, have a look at your income, expenses, assets, and debts to help you evaluate and determine if an IVA is a good idea for your specific circumstances. Additionally, an annual review to assess your financial circumstances will be conducted. During this review, the aspects considered initially will be evaluated again to see the viability of the agreement. This is done to ensure that the agreed-upon repayment plan remains appropriate and feasible. The annual review also provides an opportunity to address any concerns or difficulties that may arise during the course of the IVA.
Impact on credit rating
It is important to be aware that an IVA affects your credit rating. As the IVA will be recorded on your credit file, it will indicate your participation in the arrangement. This may make it more challenging for you to obtain credit in the future, as lenders may view your involvement in an IVA as an indicator of higher financial risk. It is important to weigh the potential impact on your creditworthiness against the benefits of resolving your current debt situation to determine whether an IVA is a good idea.
Commitment
An IVA requires a long-term commitment as it lasts for a period of five to six years, during which you are obligated to make regular monthly payments toward your debts. Consider whether you have a stable income or a reliable source of funds to fulfill these financial obligations throughout the duration to see if an IVA is a good idea.
Credit taking
During the IVA period, you are expected to refrain from taking on additional credit without prior permission. This restriction is in place to prevent the accumulation of further debts and to ensure that the focus remains on fulfilling the obligations of the IVA that are at hand. Taking on new credit without permission may be considered a breach of the agreement and can have serious consequences. However, with some, there are credit limits that are allowed during the period when the IVA is in place.
Impact on property owned
If you are a property owner, it is vital to understand that your property will be taken into account in the IVA. While an IVA does not necessarily mean that you will lose your property, its value may be considered as an asset that can contribute to the repayment of your debts. This may result in the requirement to release equity from your property or extend the duration of the IVA to accommodate the value of your assets. Have the above information at the back of your mind to determine if an IVA is a good idea.
Pros and cons
Pros
- Debt repayment plan – An IVA provides a structured debt repayment plan, which allows you to make affordable monthly payments based on your financial capabilities.
- Legal protection – With an IVA, your creditors are required to adhere to the terms of the arrangement and thus cannot take any legal action against you or charge additional interest on your debts.
- Debt reduction – Debt reduction in IVAs is visualized when your insolvency practitioner negotiates with your creditors to agree on an affordable repayment amount. On top of that, the remaining debt at the end of the IVA term is usually written off.
- Professional guidance – An IVA agreement offers professional guidance and support from an insolvency practitioner throughout the period of the IVA. This guidance helps you create a realistic repayment plan.
- Protection of assets – An IVA provides a level of protection for your valuable possessions while still addressing your debts.
Cons
- Impact on credit rating – Entering into an IVA hurts your credit rating. The IVA will be recorded on your credit file, making it difficult to obtain new credit during the IVA period and potentially affecting your creditworthiness even after the IVA is completed.
- Limited financial flexibility – While an IVA provides a structured repayment plan, it also imposes restrictions on your financial flexibility. You will need to adhere to the agreed monthly payments and seek permission from your insolvency practitioner before taking on any new credit or incurring additional debt.
- Risk of failure – IVAs require consistent and timely monthly payments over an extended period. If you are unable to maintain the agreed-upon payments, the IVA may fail. This could result in creditors taking legal action against you, potentially leading to bankruptcy.
Alternative Debt Advice in the UK
Debt Relief Orders (DROs)
A Debt Relief Order is a debt relief solution for people who have a relatively low level of debt and few assets or disposable income. It is designed for individuals who cannot afford to repay their debts and do not have the means to enter into an Individual Voluntary Arrangement (IVA) or declare bankruptcy. It freezes your debts for a specified period, usually one year, during which you are not required to make any payments towards your debts. If your financial situation remains unchanged at the end of the DRO period, your debts are written off.
Debt Management Plans (DMPs)
A Debt Management Plan is an informal arrangement between you and your creditors to repay your debts at a reduced and affordable rate. It is suitable for individuals who have multiple debts but still have the means to make regular payments. DMPs do not involve any legal procedures and are based on mutual agreement. See this review of the Best Debt Management Plans
Debt Consolidation
Debt consolidation involves combining multiple debts into a single loan or credit facility, usually with more favorable terms. It aims to simplify your debt management by merging all your debts into one, often resulting in a lower interest rate and single monthly payments. It can help streamline your finances, reduce the number of payments you need to make, and potentially lower the overall interest you pay on your debts.
Is an IVA a Good Idea?
If you are struggling with deep debt, taking an IVA is a good idea as it offers a structured and legally binding solution to repay your debts. With it, you are in a position to enjoy some of the benefits such as debt consolidation, flexible and affordable monthly payments, frozen interest charges, and protection from creditors.
An IVA provides a clear path towards becoming debt-free within a fixed timeframe of about five to six years, allowing you to regain control of your finances and work towards a fresh start. On top of all these, an IVA offers you an opportunity to avoid the potential consequences of bankruptcy. Nonetheless, it is crucial to consult with a qualified professional to assess your specific situation and determine if an IVA is a good idea for you. See this review of the Best Debt Management Companies in the UK
Conclusion
In closing sentiments, if you find yourself burdened with overwhelming debt and seeking a viable solution, an Individual Voluntary Arrangement (IVA) is a good idea. With its formal and legally binding nature, it provides a structured repayment plan that is approved by the court and requires your creditors to adhere to it. While an IVA may have some drawbacks, it offers numerous benefits that outweigh the drawbacks by far. However, it is crucial to thoroughly assess your financial situation and consult with a qualified professional to determine if an IVA aligns with your individual needs and goals.
Frequently Asked Questions
Will entering into an IVA affect my employment prospects?
Entering into an IVA generally does not affect your current employment. However, certain professions and job roles, such as those in finance or positions requiring high levels of trust, may have specific restrictions or policies regarding financial arrangements. It is advisable to check with your employer or consult a professional for personalized advice.
What happens if my IVA proposal is rejected?
If your IVA proposal is rejected by your creditors, you and your insolvency practitioner can explore alternative debt solutions, such as a Debt Management Plan (DMP) or bankruptcy. It is advisable to seek professional advice and understand the reasons for rejection to make an informed decision about the next steps.
Can I apply for an IVA if I am unemployed?
While being unemployed may affect your eligibility for an IVA, it is not automatically disqualifying. The key consideration is your ability to make regular payments towards the IVA based on your income and financial circumstances. Exploring alternative debt solutions or seeking professional advice is recommended in such situations.
Can I be forced into an IVA against my will?
No, you cannot be forced into an IVA against your will. An IVA is a voluntary agreement entered into with your consent. It is a decision that you make after carefully considering your financial circumstances and seeking professional advice. If an IVA is not suitable for you, there are alternative debt solutions available that can be explored.
Can I get a mortgage or remortgage while under an IVA?
Obtaining a mortgage or remortgage while under an IVA can be challenging. Most lenders are likely to view an IVA as a significant factor affecting your creditworthiness. However, it may still be possible to explore mortgage options with specialist lenders who cater to individuals with adverse credit histories. It is advisable to seek professional advice and consult a mortgage broker experienced in dealing with IVA cases.
