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How the IVA process works

You will first have to consult an Insolvency Practitioner. He will tell you if your creditors might agree to an IVA and he will first review your financial situation, advising you which course to take.
The Insolvency Practitioner will then make you a repayment plan that will be presented to your creditors. These creditors might ask for changes to be made in the plan. It is not in their interest for the IVA to fail so they will pretty much agree to a reasonable payment plan.
Next a meeting will be held concerning all creditors and they will discuss if they accept the plan. They can cast their vote in writing and their physical presence is not mandatory.
If creditors that you owe 80% of your debt to agree of this plan, then the Insolvency Practitioner will supervise the IVA and make sure that all obligations are met. A standard term for an IVA is of five years during which your Insolvency Practitioner will receive payments and redistribute them to your creditors. After this period of five years has passed, you will be debt free.

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