If you are one of the numerous people around the country who are currently struggling financially and are finding it hard to keep up with your monthly payments then you need to put some serious thought into how you are going to get yourself out of the situation.
IVA debt help can be a suitable solution for some people but in order to go down this route, there are certain criteria that must usually be met to be eligible.
Below is a rough guide on each of these areas but if you are thinking of this as an option then you must make sure that you seek proper financial advice related to your own personal situation.
Number of creditors - the total amount owed can't be to just one or two creditors, you must have at least three separate creditors in order to qualify.
This means that it can't be three different amounts owed to the same company such as a credit card, overdraft and a loan.
Level of debts - to be eligible to qualify for one of these agreements, you will generally have to have a total amount of £15,000 or more that you owe to creditors.
Regular income - as well as being able to afford the relative monthly payments, you must also show that you have got a regular source of income.
If you are on benefits or your work can fluctuate from month to month then you may also find that it is difficult to get one of these agreements.
Disposable income - you must be able to afford to pay an amount that your creditors will agree to.
Generally you should have a disposable income of at least £200 per month, if this is not the case then you may find that you will not be able to sign up for one of these payment plans.
Realistic budget - you have got to be able to show that you will have a sufficient level of funds remaining once payment has been taken to be able to afford the necessary living costs such as food, travel and bills.
If you feel that you fulfil all of the above requirements then IVA debt help could be the best solution to put you on the right tracks financially.
If you fall short on some of the above points then it is still worth contacting an insolvency practitioner because there may be some leeway in regards to some of the requirements.