Till 1986 people with multiple debts had only one option which was filing bankruptcy. But in 1986 IVA was designed to avoid bankruptcy. Debts can be cleared without filing bankruptcy through IVA free advice.

People who have multiple debts and cannot repay them can opt for this option. This is a legal contract between the borrowers and their lenders. After this contract is signed the lenders cannot harass, disturb or threat borrower as it requires court permission.

This individual voluntary agreement continues for 5 years without any gap. The amount of debt is divided into monthly payments for 5 years. Generally the monthly payments start from £250 to £300. But it can go up if the amount of total debts is high. There is no upper limit of the monthly payment as amount of debts can be very high.

IVA free advice is offered to the borrowers if they fulfill some conditions. The borrowers should have minimum debt of £15000. The minimum number of lenders should be 3. The borrowers should have a fixed monthly income. Having the documents which prove personal and loan details of the borrowers is necessary.

These services are beneficial for the people in debts. The people who are in debts generally have to pay only a part of the debt amount. The rate of interest on the previous loan amounts is frozen. So there is no risk of paying extra on the interest rate.

But getting and choosing impartial and honest practitioners is a tough job. Other than insolvency practitioner, insolvency professional also offer IVA free advice. Searching through internet is an easy and convenient way to get a suitable practitioner. It is better to choose a practitioner over a professional because they work on their own, without any agents.