Individual Voluntary Arrangement (IVA) Formal Route
The 1986 Insolvency Act introduced a governing procedure know as an IVA. An IVA is a legal binding agreement between the citizen and the creditors. This agreement allows the citizen to stop being the victim of any further interest charges being added, reduce the monthly payments that are currently made to the creditors and more importantly reduce the overall amount of monies owed to the creditors.This agreement can not be done by any financial or debt management company but must be done by a licensed insolvency practitioner. If you qualify for an IVA, FCH will pass you to the most recognizable and respected Insolvency Practitioners there is in the UK today.

Benefits of an IVA
• Legal binding contract between you and your creditors that will firmly prevent   your creditors from hassling you further.
• Stop all interest charges being added to your debts.
• Stopping interest, your debts will not increase any more
• Stop bailiffs knocking on your door and taking any further action
• Stop bankruptcy proceedings
• No more harassment from creditors – letters and phone calls stopped.
• Write off upto 75% of your debt.

IVA Process
The most difficult step in this process is for you to tell exactly how much debt you owe to the financial adviser at FCH.

1. Contact FCH and tell a professional adviser of your circumstances.
2. Return the form enclosed in your financial pack signed allowing authority     for your adviser to act on your behalf.
3. Providing your application meets the requirements of an IVA, this will be     passed to a professional insolvency who is one of our panel members.
4. Our legal panel representative by law will now act on your behalf and all     your creditors will be updated.
5. Your case will be prepared and an IVA proposal will have been drafted that     includes all terms and conditions of your IVA plan.
6. Within this time frame, an Interim order is granted that will legally protect     you from your creditors. Once the interim order has been granted, you are     in full protection from receiving any legal action against you from your     creditors.
7. An Nominee report is prepared by a panel member that states to how true     the offer of the IVA is. This sets grounds for ‘meeting of creditors’ to take     place. All creditors discuss the IVA and vote.
8. Upon approval of the IVA, you are now legally bound to keep up with all     monthly payments. These payments are based on your disposable income     therefore an amount that is realistic to you. This whole process can last up     to 60 days.