|
These videos provide brief advice and you should seek more specific advice to your needs, please contact us now to make sure you make the right decision. Thomas Charles are debt specialists and help 100s of people get out of debt every month. Our consultants will give advice free of charge on a home visit or over the phone.
Video Transcript "What is an IVA?":
An IVA is a way to pay debt in a sensible and managed way, what we do is turn the problem on its head.So what we ask is not ‘what should you pay’, but ‘what can you pay’. This is what we call disposable income.
Disposable income is the difference between your household income and your reasonable household expenditures, we take your expenditures from your income and that’s disposable income.
We then take that amount and see how much we would get if we put that into a 60 month payment plan.
During that plan interest and charges are frozen by law, at the end of that plan the creditors accept that the sum collected will be taken as full and final settlement of the debt owed. In other words anything left outstanding at the end of 5 years is written off.
Learn more about an IVA
|
