An Individual Voluntary Arrangement, or IVA, is a legally binding, formal Arrangement between you and your unsecured creditors and is subject to legislation introduced by the Government in 1986. It is a formal offer of repayment to your creditors on a fixed term basis and may be proposed if:

If the proposal is accepted by your creditors, they are agreeing to the following terms:

• All interest and charges are frozen
• All creditor recovery (including legal action) and demands for payment must stop
• Following successful completion of the Arrangement, any outstanding debt is written off

For many people, an IVA can be a preferable alternative to Bankruptcy, as you remain in control of all your assets and finances. Proposing an IVA does not involve advertisements in your local paper or the London Gazette, therefore keeping your situation more private.