Step 1 – Pick up the phone

Before undertaking any debt solution you should do your homework. Research the different options thoroughly so you know what you’re getting into.

Your first call with Melanie Giles will be simply that, a chance to ask a few questions and get a feel for the kind of work Melanie does. She wants to help you find the best solution to your debt.

During this conversation Melanie will explain what an IVA is and what it would mean to your life. This will help you work out whether the process is right for you. Melanie will make sure that you go into the process with your eyes open, knowing exactly what you’re getting into and being in control of it.

Step 2 – What happens next?

If after the first phone call you decided that an IVA is right for you then you will need to fill out a questionnaire. This information that you fill in will help us to create a personalised, appropriate payment schedule for you. It will also be designed to be one that creditors will be happy to accept.

The questionnaire will not ask you any scary, personal questions. It will simply ask that you give as much detail as you can concerning your debt in order that Melanie can draft the best payment plan proposal possible for you. You will need to detail your income and outgoings and also to give some information regarding how you got into debt, this can include change in circumstance such as sickness or divorce.

Once this is complete and you have agreed with the suggestions offered, Melanie will draft a proposal for your creditors and then suggest that you come into to meet us and have a conversation about your payment plan and proposal.

Step 3 – Meeting Melanie

Now that Melanie has created your personal proposal it is time to actually meet with her. This is an opportunity to ask questions and really talk about the fundamentals of your IVA.

Melanie will have sent you your proposal to have a look over prior to the meeting. The proposal is carefully divided into understandable sections. The first of these describes what Melanie predicts will be the outcome of your IVA, after the 5 year process. It will then go into the details of your income and outgoings, a list of all your creditors and finally your personal history. This is all laid out so that it is clear to you and your creditors what will happen in the course of your IVA.

It should be noted at this point that usually in order to be able to apply for an IVA you will need to have debts of at least £18,000 and be able to make a minimum monthly payment of at east £200 for an IVA to work. You should also have 3 or more creditors to whom you owe money.

When you and your practitioner are happy with your IVA proposal you will both sign a copy for sending to your creditors. Melanie Giles is now your personal representative in your case and will help you and represent you throughout the process.

Step 4 – The creditors

Your proposal is now sent to all your creditors and are invited to respond to it by a set date. If at least 75% of your creditors agree to the proposal and its terms then the IVA will be approved.

The proposal will then be sent to the local County Court who give you a court number. Now a creditors meeting is arranged which will take place with in 28 days of contacting the County Court. However, your creditors do not always attend this meeting; they will usually send their response to your IP prior to the meeting. As long as 75% agree to the proposal the IVA can go ahead.

In the case of situation where 75% of your creditors do not agree to the proposal, another meeting in 2 weeks will have to be arranged in order for the proposal to be adapted to encourage the creditors to accept the terms.

If this next proposal is again rejected, a completely new proposal will be drafted.

Step 5 – finalising the proposal

Once the meeting has been held, and all creditors have responded, your IP will discuss with you the modifications and your final payment plan. This will include all the terms and conditions.

Once you are happy with this, Melanie will send a Chairman’s Report to you and all your creditors detailing the final proposal.

Step 6 – the IVA process begins!

Now everybody has accepted the fundamentals of your payment plan you can begin to pay your monthly payments in a bank account that has been set up for you. This account is carefully looked after to ensure that both you and creditors are happy with the arrangements.

If there are any changes during the course of your IVA, for example pay rise or decrease, then another creditors meeting will be arranged to discuss change in payments or a possible break. This is know as a Variation meeting.

Step 7 – Your annual review

You are now safely under way with your IVA. At the end of each year that you are under your IVA, Melanie will create an Annual Report that checks that your IVA is going along well. This will also update your creditors of any changes to your payment plan due to income change etc. The report will also show what has been paid to your IP over the year.

After 60 payments all your debts will be gone, you can now enjoy a debt free future.

Start Your IVA now

Call Melanie Giles: 02920 277 678 or fill in an IVA Enquiry Form.