After An IVA What Is Next
If the IVA is successful
Firstly a certificate of completion is issued once the IVA has been successfully completed.
You are now debt free (what a great relief and feeling) A fresh start is now on the cards and you can live without the stress or worry that you have been going through for so long.
The company representing you will now set about filing a number of reports to the relevant organisations including the Department of Trade and Industry and the Court Service.
Any creditor reference agencies will also be advised and the IVA process will be lodged as completed on your credit file. Your file will still show the IVA until a 6 year period since the start of the IVA has run.
Once you enter into an IVA it will remain on your file for a total period of 6 years. This means that if your IVA completes in 5 years, there will be 1 year left for it to be on your credit file before you can make a fresh start.
If the IVA fails
If your IVA fails then there is a risk that your creditors will petition for your bankruptcy. Normally sufficient funds will have been put aside by the Insolvency Practitioner to petition for Bankruptcy should the need arise.
If a bankruptcy petition is presented, then any assets (i.e. your home and car) you may have could be at risk, as could your job. It is essential that you seek legal and professional advice should this happen.
Alternatively you may be able to consider another option to repay your debts, such as a Debt Management Plan or an Informal offer of payment which you would have to make yourself.
To find out more about bankruptcy please have a look in our bankruptcy section.
