Iva Alternatives

One alternative to the IVA is an informal arrangement which is not legally binding in the same way and not administered through the court.

It means you enter into an agreement with your creditors privately, or with the help of a debt counsellor.

By negotiating with them, you reach an agreed figure and payment plan to settle the debt.

The problem with this is that, firstly, if you reach an agreement you will not have the same legal assurances as with an IVA.

Secondly, you might not necessarily enjoy the same advantages such as interest being frozen and legal proceedings being halted.

Siva

SIVAs or Simplified Individual Voluntary Arrangement (SIVA) is a proposed new form IVA, a method of clearing debt without being declared bankrupt.

Simplified Individual Voluntary Arrangements will likely have two tiers. Tier 1 having an upper limit of £25-30,000 and Tier 2 an upper limit of £75,000.

A SIVA Tier 1 agreement will not need a majority vote to proceed while a SIVA Tier 2 will continue to require a vote, but will only need a 51% agreement from the creditors, rather than the current 75%.

What Is A Siva?

A SIVA or Simplified Individual Voluntary Arrangement or SIVA is basically a new form IVA which is a method of clearing debt without being declared bankrupt.

An IVA is only available for people with debts over £13,000, but is generally used when debt levels are higher which can often in the range of £60-70,000.

A SIVA is it can be organised for lower debt amounts and be set up quickly so that get control of your finances sooner rather than later.

SIVAs will be available in the latter part of 2008.

Siva Launch

The launch of the SIVA is expected in the summer or autumn of 2008 when you will be able to consider the alternative to the IVA - Individual Voluntary Arrangement.

A SIVA is it can be organised for lower debt amounts and be set up quickly so that get control of your finances sooner rather than later.

Siva Benefits

A Simplified Individual Voluntary Arrangement or SIVA is basically a new form IVA which is a method of clearing debt without being declared bankrupt.

A normal IVA is only available for people with debts over £12,000, but is generally used when debt levels are higher - often in the range of £60-70,000.

The benefits of a SIVA is it can be organised for lower debt amounts and be set up quickly so that get control of your finances sooner rather than later!