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March 04, 2025
If you’re struggling with debt or the increasing cost-of-living and finding it’s taking its toll on your mental health, you’re not alone. Find out the steps you can take to
Each time you take out credit with another person or put your household bills in both names, you’ll be taking on joint debts. But how does this type of debt
As the UK cost of living crisis continues to increase the price of food, fuel, energy, and more, paying your bills and managing debts could become more challenging. Read on
With energy prices reaching a record high and the cost-of-living crisis putting extra pressure on household incomes, it’s understandable that you might be struggling to keep on top of your
An Individual Voluntary Arrangement (IVA) is a formal agreement with creditors to repay a portion of your debts over time, but it does have an impact on your credit score and it will be difficult to obtain further credit whilst on an IVA. Once an IVA is approved, it is recorded on your credit report and will typically remain there for six years from the date it starts.
However, it’s important to note this is the case for most debt solutions and your credit score will likely already have been affected by being in debt in the first place.
Once your IVA is complete you will get a fresh start to begin rebuilding your credit rating.
IVA costs are charged for the preparation of your proposal and the administration of the arrangement for the full term (usually 5 years) these costs are charged from the monthly contributions you make into the IVA and are not in addition. Costs will only be recovered on approval of your arrangement and once you commence making payments to it. The fees for preparation of the proposal to creditors and calling the meeting for creditors to vote on its approval are called nominees fees, the fees for running the arrangement once approved are called supervisors fees. There are also some expenses incurred in the running of the arrangement such as the registration fee and the statutory insurance that needs to be taken by law, these are called disbursements. For our arrangements, the total of all of these is £3,650 although this may be adjusted by creditors when they vote on whether to accept. No matter what the end total of costs come to, you can be rest assured that these will be taken from the monthly payment we agree with you.
