As long as you keep to the original terms of the IVA agreement, your IVA shouldn’t fail and you can look forward to being debt free in as little as 60 months.
Two common reasons for an IVA failing are:
- Debtor fails to supply information about their circumstances
- Debtors fails to make payments to their IVA
If you think that you are going to miss a payment to your IVA or that you may fail on some of the IVA terms, it is important that you speak to your IVA Supervisor immediately.
How to Stop your IVA Failing
It is important that you have honest and open communications with your IVA Supervisor throughout the length of the IVA. Remember that failure to comply with the conditions of your IVA means that your creditors can start bankruptcy proceedings against you.
If your personal circumstances change during the term of your IVA, then you need to contact your IVA Supervisor. They may be able to re-assess your situation and present a revised IVA proposal to your creditors. Each IVA case is different and your options will be dependant on the original clauses of your IVA.
If the IVA fails for any reason, then you will lose the benefit of having your unaffordable debt written off and you will be liable for the whole amount.
