The creditors meeting is where your creditors will decide to accept or reject your IVA proposal, as well as make any changes to the terms of your IVA.
If your creditors decide to modify the IVA agreement, it does mean that the IVA process will take a little longer. It can take up to two weeks for these modifications to be made and distributed to your creditors.
However, if 75% of your creditors, in terms on the debt value, do not agree to the proposal, it means that your IVA has been rejected.
Why was my IVA rejected?
There are a number of reasons why your creditors may reject your IVA, and it is dependant on the individual circumstances of your IVA proposal.
Creditors will decide which debt solution will offer them the highest return, either IVA or bankruptcy. Therefore it is always important that your IVA proposal offers both you and your creditors a fair deal.
My IVA has been rejected, what next?
If your IVA negotiations are rejected, then there are other alternatives which you may want to consider, such as a debt management plan or bankruptcy. AllClear Finance are here to help, and we will offer you assistance about which IVA alternatives offer you the greater number of benefits.
Contact the AllClear Finance IVA team on 0800 048 1762.
