What is IVA and how can it help?

There is nothing worse than debt. It is haunting. Debt eats at you, and it definitely gets the best of you - especially when it comes to interest. High interest rates can be a plague. The worst thing about interest is it never stops. In fact, it never even sleeps. It keeps building up and before you know it you are in over your head. Many people deal with this. And, it is frustrating because there are so many credit card companies marketing to us with free credit. Yet, we do not realize exactly what that means until we spend what we do not have. Then, it is too late to figure out how to pay it all back. If you feel like this, try to not feel hopeless. Although it may seem like there is no way out, today there are resources available that can help you get back on a better path financially.

One of the best options available is IVA, Individual Voluntary Arrangement. Using IVA is a great way to get your debts in order. It may be the right choice for you. It involves debt consolidation, debt management, bankruptcy, and other financial advice. The great thing about IVA is that your repayments can be lowered, interest can be frozen, and most of all you will eliminate the stress that comes from dealing with the people calling you for money.

The IVA uses government legislation to help you clear your debts. It creates an informal agreement between you and your creditors. The best part is it stops all the demands being made by creditors. With an IVA, you are given the option to pay off your debts in affordable monthly payments over a fixed monthly period. For most people, the period lasts 60 months.

There are a lot of positive things that could come from using an IVA. Here are a few:

• You could write off all the debts that you cannot afford.
• You only have to pay for what you can afford.
• You get full protection from creditors.
• The interest ins frozen on all of your debts
• In 60 months, you could be debt free!

A word of caution - Since you are not being hassled by creditors and you are on a nice payment plan, resist the urge to spend on credit during this time. Pay for everything with cash. This way when the process is over you really will have no debts!

This article was written by Tom Sangers on behalf of Clear your finance who deal with bank charge refunds and to get PPI Refunded, helping you to Clear your credit card