Are you worried about not having a lot of options other than bankruptcy? Don’t worry so much! The truth is that nobody has to pursue bankruptcy these days unless things have really spiraled out of control and you just can’t find any other way to get out of debt.
Yes, bankruptcy wipes the slate clean but it comes with a heavy financial burden. You will not be able to even think about credit until you’ve gotten things taken care of with the bankruptcy courts. This is something that might work for some, but chances are good that you will want to look at whether or not you have other options before you pull this trigger.
What about an IVA? If you’re out of the loop, we’ll fill you in. An IVA is an Individual Voluntary Arrangement. It’s between you and your creditors but its origins are in actual law — this is a protected system that affords you certain rights and abilities. For example, when you go into an IVA, you will basically pay a single monthly payment, and the IVA administrator will pass it along to your creditors. That’s it — there’s nothing else that you need to do!
This also stops all collection activity on your account. Your creditors cannot threaten to sue you, or threaten to take your house away. You’ve worked so hard to get a house, so why should you let anyone take it from you? It’s better to make sure that you have the peace of mind that comes from knowing you will not have to sell your home and find somewhere new to live. There are a lot of hard challenges ahead of you, but an IVA can make them a lot easier for you.
When you really think about it, it honestly makes sense. The more work that you can do in getting your finances together, the brighter future you have. The IVA actually takes away a lot of the work.
Need a good source for more information on the IVA process?
Why not check out www.IVA-expert.co.uk — you’ll be glad you did! There’s a lot of great information there, including how to get started. Even if you don’t have a firm background in personal finance, this is definitely a site that lays everything out clearly!