Typically an IVA (Individual Voluntary Arrangement) will last for 60 months. But this is not always the case, as the terms of an IVA are based on an individual’s income and outgoings remaining static throughout the term of the IVA, and that a homeowner will be able to free up some equity before the end of the IVA.
However, nothing can ever be for certain. For example, the individual could lose their job or be forced to take one with a lower income or the house value could drop to a level where they are no longer able to release any equity.
The exact length of the IVA will be dependant on the unique circumstances taken on a case by case basis. It is in no-ones interest to allow the IVA to fail.
It is important to alert your Insolvency Practitioner immediately if your circumstances change as they may be able to draw up an ‘IVA Variation’, which is a new IVA proposal which will state the terms for the remainder of the IVA. Again the creditors will have to agree to this for it to go ahead.
One Advice are here to answer any questions that you may have about how long your IVA will last. An IVA is unique to your circumstances so it essential that you get expert IVA advice. Call today on 0800 048 1752.