Click on the links below to find answers to your questions.
An IVA is an Individual Voluntary Arrangement. It is a legally binding contract between you and the people that you owe money to, your creditors. It is governed by the Insolvency Act 1986 and this normally lasts for 60 months. During this time you pay a fixed amount per month that is then divided up evenly and paid to your creditors. The total money you pay will be less than you owe and can be up to 60% off your original debt.
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You only have to make one monthly payment or in some cases a one-off payment |
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The stigma of bankruptcy is avoided |
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Unlike bankruptcy, an IVA is not reported in local newspapers |
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An IVA is just between you and your creditors, so it's confidential |
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Protection from creditors, once the IVA is agreed your creditors cannot bring any action against you as long as you comply with the IVA |
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Unsecured debts cleared usually in 60 months |
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An IVA may safeguard your property |
All unsecured debts such as: loans, credit cards, trading debts like Self Assessment or Tax, council tax, utilities, store cards, catalogues and Inland Revenue Liabilities.
This will depend upon your income, expenditure, and personal circumstances. We treat every case individually. However, you will only pay what you realistically can afford and not what the creditors are asking for. This fixed amount is then paid each month by standing order.
Yes, make sure we are informed at your initial interview.
No, but you do need a source of income or benefits that is more than you need for living expenses.
No. McCambridge Duffy offers a complete guarantee of confidentiality and privacy in relation to your financial affairs. We will never disclose any information about you to any outside organisation and will never say who we are when we call you. This means that you can feel safe in providing your contact information, without worrying that others will find out that you are seeking our help.
We negotiate a reduction in your monthly payments which means you are no longer making repayments at the agreed original amount; therefore your credit rating will be adversely affected. Keep in mind your credit rating may already be affected if you have arrears or a history of missed or late payments.
It costs you absolutely nothing. The IVA we help propose between you and your creditors is structured in such a way that it includes a fee for our work. You will never receive a bill from us.
Initially all you need to do is simply complete/download the "Statement of Affairs" IVA online application form. By doing so you are asking us to review your current circumstances and advise whether an IVA is indeed the most appropriate solution to your problems. Once we receive your statement we will either confirm an IVA as appropriate or offer alternative solutions. If an IVA is deemed appropriate, and you still wish to pursue this option, we provide you with an opportunity to ask one of our specialists any further questions you may have. We will then produce your "Proposal to Creditors" which explains in detail the circumstances of your current problems and your proposals to repay what you can reasonably afford. The proposal is sent to you for review. If you're happy with everything you sign the proposal and we commence formal negotiations with all your creditors to put the IVA in place. At no time throughout this whole process (usually 6-8 weeks) do you pay any monies over to us.
Yes, McCambridge Duffy and its members are regulated by the ICAEW (Institute of Charted Accountants in England and Wales), ICAI (Institute of Chartered Accountants in Ireland), ICAS (Institute of Chartered Accountants of Scotland)
We are also members of: R3 (The Association of Business Recovery Professionals) and the IPA (Insolvency Practitioners Association)
Most creditors are fully aware of an IVA, as it’s been in existence for over twenty years. If 75% of your creditors by value vote in favour of your IVA, then all creditors are bound by its terms. Creditors can suggest alterations to your proposal and you can choose whether to accept them or not. If your creditors vote against your proposal you still have the option of an informal arrangement.
As long as the terms of the proposal have been fully carried out, your creditors will have no further claim against you and the balance of any unpaid debts are written off.
If you don’t adhere to the terms of your IVA and miss 3 or more payments then the supervisor of the IVA can start bankruptcy proceedings against you.
If an IVA is right for you then we work hard to ensure that it will be suitable for acceptance by your creditors. If however your IVA is rejected by creditors then we will work with you to assess what options are realistically open to you at that point. This may include bankruptcy but also may include various 'informal' insolvency solutions.
My IVA has been rejected. What do I do now?
If the bankruptcy hearing has not taken place then our Insolvency Practitioner would issue an Interim Order to halt proceedings while an IVA proposal is put together. If the bankruptcy order has already been issued it is still possible to propose an IVA but it is more difficult.
Remember any court fees will be added to your debts.
Any individual who cannot pay their debts can apply for an IVA. If you cannot pay your debts as they fall due, you are insolvent; by law your alternatives are debt management, bankruptcy or an Individual Voluntary Arrangement.
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