Vincent Bond

I've only been with Vincent Bond a short time, but in that time I can only praise the fantastic work of Karrie. She is sympathetic without being condescending and is extremely punctual in getting back to me. She has always kept me informed of my case by either telephone, email or text, which is really handy. Every payment date I get an email to state that's funds have been received. I have no hesitation in recommending this company based on Karries dedication and hardwork.

What is an IVA?

An IVA or Individual Voluntary Arrangement is a legally binding agreement with Creditors.
It allows someone who is in financial difficulty to make a formal proposal to settle their debts within a reasonable and fixed period of time - normally 5 years, though this can vary depending on your situation.
Monthly repayments are based on what you can afford to pay.
After the agreed payment period, any outstanding debt will be legally written off by your creditors.

Is it right for me?

To take on an IVA you must:

Be insolvent, which means you owe more than you can afford to pay each month and have no assets that could pay the debt in full.
Have unsecured debts of £15000 or more.
Have a minimum of £150 disposable income available per month
Be resident in England, Wales or N/Ireland.
Be able to show sufficient proof of circumstances (ie paperwork).
Have a stable income, whether employed or self employed.
Have modest and reasonable living costs.
Have an honest and responsible attitude.
Be able to budget carefully during the IVA.

So if you meet the criteria above and want to avoid bankruptcy, keep your home safe, pay as much as you can to your creditors and be debt free in 5 years, then an IVA could be right for you.

Advantages
Disadvantages
Fees
Key Facts

Advantages of an IVA:

Affordable monthly payments over a fixed period, usually 5 years.
Creditors must freeze all further interest, cannot take further legal action against you and will not contact you during the IVA.
Your home is not at risk as it could be in Bankruptcy
Once the final payment is made, any outstanding debt is written off by the creditors.
The IVA is discreet and can be used by professionals, forces personnel and the police without damaging career prospects.

Disadvantages of an IVA:

Although the advantages of an IVA are significant, undertaking an IVA is a serious matter. As such, there are some things that you must bear in mind.
The IVA will be recorded on your credit file. This means that you will not be able to take further unsecured borrowing for the period of the IVA.
Once the IVA is completed (normally after 5 years), you can borrow again. However, it may take some time for your credit rating to repair.
If you are a home owner, during the course of the IVA you may have to release available equity from your property to increase the overall settlement offer to your creditors.
Whilst your name is not published in the newspaper, it should be pointed out that the IVA will be entered onto the government insolvency register, which is a searchable public database.

Our Fees

At Vincent Bond we pride ourselves on our quality of work. The first 2 payments you make (based on your affordable monthly income) are our fees for the work we do preparing your IVA case. This involves the production of a comprehensive statement of affairs, the gathering of all key documentation required and extensive analysis of the documentation to ensure that an IVA is both acceptable to creditors and sustainable for you. This can take time, but is vital to secure the best chance of the IVA being successful.
95% of the cases that we prepare when presented to creditors are accepted. This is because we take great care to ensure that the proposals are realistic, fair and reasonable to both you and your creditors.
There are further fees charged for the work done by the insolvency practitioner who deals with your creditors and manages your IVA over its term, but these are taken out of the monthly payments you have agreed to pay into the IVA. As such your creditors bear the costs of the IVA, provided you make all your payments as agreed.

Key Facts

It is important that you are aware of the following when taking on any debt solution:

All possible solutions should be considered to ensure you make an informed choice.
Fees will be charged if a solution is taken with Vincent Bond. This will be explained clearly in your consultation and agreement documents.
Stopping payments to your creditors may place you into further arrears.
It is likely that your ability to get credit will be affected.
As per the Consumer Credit Act you have a 14 day cooling off period in which to cancel your plan.

We will advise you on all of the above and help you understand the pros and cons of the solutions you have open to you. Click here to see our Terms and Conditions

IVA Step by Step Guide

Step 1

Together we review your entire financial situation and work out the most effective solution to your problem. A Statement of Affairs is prepared on your behalf and sent out for you to sign and return with all your paperwork (e.g. wage slips, statements etc).

Step 2

It is then passed to a quality control team who ensure your paperwork and details are accurate, this ensures smoother processing and a higher chance of success. Your details are then passed to a Licensed Insolvency Practitioner who will review your situation and begin acting on your behalf.

Step 3

The Licensed Insolvency Practitioner will prepare a draft IVA proposal on your behalf. They will become the proposal Nominee. In agreeing to act for you, the IP must be convinced that your proposal is in the best interests of your creditors, that there is a clear advantage for your creditors over bankruptcy and that you are doing the very best you can. If you are self employed or your situation is particularly complex, you may need to have a meeting face to face with the Insolvency Practitioner.

Step 4

Each of your creditors is sent a copy of your proposal. They will be given two weeks to consider it. They may accept it, accept it with modifications or reject it. No modification of your proposal will be accepted without your agreement.

Step 5

At the end of the two week period, a creditor’s meeting is held. The meeting is chaired by the Insolvency Practitioner and you will be asked to attend. Normally your creditors will choose not to attend and vote by proxy. If creditors representing 75% of the total value of your debt agree to your proposal, it will then be binding on the others. All creditors must then freeze interest and additional charges.

Step 6

The Court is informed of the result of the meeting and the Licensed Insolvency Practitioner is normally appointed as the Supervisor of the Arrangement. They will monitor your monthly payments, supervise the disposal of any assets and fulfil any other requirements as agreed in your IVA.

Step 7

Once you have met all the terms of your IVA including making all necessary monthly payments, you will then have settled your debt in full. Any outstanding debt will be written off under the law and you will be left debt free to turn over a new leaf.

Case Study

IVA Case Study - Colin

Colin works for a major airline company in London. His daughter found herself in debt following the breakdown of her relationship.

It is important that you are aware of the following when taking on any debt solution with Vincent Bond & Co: All possible solutions should be considered to ensure you make an informed choice. Fees will be charged if a solution is taken. Stopping payments to your creditors may place you into further arrears. It is likely that your ability to get credit will be affected. In compliance with the Consumer Credit Act you have a 14 day cooling off period in which to cancel your plan. Calls to our free phone number may be charged from mobiles and other networks.