Will creditors contact me?
Understanding the terms of your IVA...
We receive a lot of calls and emails from the public asking; "Will creditors still contact me in an IVA?".
Please note that for consumers considering an Individual Voluntary Arrangement (IVA) or Protected Trust Deed (PTD) or Debt Management Plan (DMP); do not be misled by any claim that implies that when the consumer is on the plan, creditors will no longer contact them. Whilst the debt management company or Licenced Insolvency Practitioner can be appointed to act on behalf of the debtor, creditors are still entitled to contact them if they wish to do so.
Please note that once your IVA is in place, if you fail to keep up the payments for no good reason, your creditors will be able to take other action against you, which could result in bankruptcy. Please note that your home is still at risk in an IVA if it forms part of your proposal.
Once your IVA has been approved you will need to make payment into the IVA. You should ensure that you do not fail to make these payments on time otherwise the creditors will contact you. If you are paying your IVA by standing order or direct debit, make sure they are in place for the agreed date otherwise the creditors will make contact.
Ensure that you follow your financial statement too. This will allow you to budget for everyday living costs and will guarantee that you have your IVA payment available.
Will the IVA creditors still contact me once I am in an IVA?
The main point to understand is that once an IVA is in place, the creditors can no longer contact you under the terms of the IVA. The day to day correspondence of an IVA will go through the IP first. If there is a problem the IP will contact you. The creditors will begin to deal with the IP and accept annual reports when sent at will.
Creditors prefer to deal with and make contact with reputable Insolvency Practitioner.
he UK Insolvency Helpline panel of Insolvency Practitioners is carefully chosen and will provide you with negotiation, information, persuasion support when dealing with the creditors on your behalf. This will enable you to have peace of mind if the creditors ever contact you, with before, during or after the IVA.
If you wish to discuss the Individual Voluntary Arrangement (IVA) procedure and understand how it benefits you and benefits the creditors then please complete the following form or telephone freephone 0800 074 6918.
IVA Guide
- What does it mean if my IVA is not approved?
- What are my options if my IVA is not approved?
- My IVA has been approved, what do I do next?
- My IVA has been approved subject to modification – what does this mean?
- How do I make my IVA contributions?
- My IVA proposal included the provision that I had to sell/realise other assets – what do I need to do?
- I am receiving letters and emails from companies offering me a better solution than an IVA - what are these solutions?
- What do I do if my monthly IVA contribution will be late?
- How do I deal with my creditors once I’m in an IVA?
- How do I deal with additional creditors now that the IVA has been approved?
- What happens if I miss an IVA payment?
- The bank has not transferred my IVA payment - what do I do?
- What happens if I do not inform my IVA supervisor that I can’t make the contribution?
- I'm struggling to make the monthly IVA payment what should I do?
- I've received a 'Notice of Breach' from my IVA supervisor - what does this mean?
- What happens if I’ve missed IVA payments or received a notice of breach and there is no solution?
- Is it possible to finish or settle my IVA early?
- How do I settle my IVA early?
- What is the process involved when offering an early IVA settlement?
- Why would I vary the terms of my IVA?
- What does the IVA variation process involve?
- What happens when the IVA variation process has been approved by creditors?
- What happens when the IVA variation process has been rejected by creditors?
- How does an IVA end?
- Will I receive any correspondence when my IVA has completed?
- If one of my debts has been excluded from the IVA, am I liable to pay the debt after the IVA has completed?
- When does a creditor debt claim have to be received by when completing an IVA?
- What happens if any additional debt claims is received during the IVA closure process?
- How do my creditors get their money in an IVA and what are the IVA dividends?
- Does the money in my IVA account earn interest and if so where does that interest go to?
- Do I get a report or certificate stating the IVA has been completed?
- How does an IVA fail?
- What is the effect of IVA failure or an IVA failing?
- What happens after an IVA fails?
- What are the costs of an IVA?
- Who pays for my IVA?
- What is the IVA process?
- Who takes care of my creditors?
- Will an IVA make me debt free?
- How an IVA benefits my creditors
- Lifestyle changes during an IVA
- Advice on living with an IVA
- Will creditors contact me?
- Will I my IVA fail?
- Completing an IVA
- Getting credit after an IVA
- Can an IVA make me debt free?
- How to boost my credit rating after an IVA?
- IVA vs debt management
- IVA vs bankruptcy
- IVA vs debt consolidation
- IVA vs administration orders
- IVA pros and cons
- IVA definition
- What is an IVA?
- Why choose an IVA?
- Who is suitable for an IVA?
- IVA benefits
- IVA stages
- False IVA adverts
- IVA compared to Bankruptcy
- IVA compared to debt management
- IVA compared to debt consolidation
- IVA compared to administration orders
- How the IVA got so popular and famous
- Things you should know and do before you start an IVA
- Will an IVA make creditor phone calls stop?
IVA's
The IVA Guide
Money Advice Direct has put together an IVA Guide based on the enquiries and questions that we receive at our helpline offices.
In the guide we cover such subjects as IVA Approval, early settlment of your IVA, missed IVA payments, IVA failure, additional debt claims and much more.
[click here for IVA Guide]
What is an IVA?
The IVA is an extremely powerful tool enabling you to clear your debt and return to a clean financial bill of health. Visit Money Advice Direct's Guide to Individual Voluntary Arrangements (IVAs).
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DANGER
Due to the tremendous demand for debt consolidation services the United Kingdom is now overloaded with debt management companies that contain misleading information. [more...]