e to bankruptcy that does not have any of the disadvantages associated with it. This alternative is known as an Individual Voluntary Arrangement (IVA).

IVAs are private and legally binding agreements between debtors and creditors whereby the debtor proposes to pay back a certain amount of his/her debt each month, typically over a 5 year period. This amount is based on what the debtor can a

Many of those facing serious debt consider filing for bankruptcy. However, the decision to do so should not be taken lightly as there are a number of disadvantages associated with going bankrupt. This article examines why bankruptcy should be avoided and discusses possible alternatives to it.

It is easy to see why so many people get into debt when you consider how easy it is to borrow money via loans and credit cards. All too soon you are receiving threatening letters and stressing about how to pay off your debts. It is at this point that many people think about filing for bankruptcy.

However, contrary to popular belief, being declared bankrupt does not mean that you do not have to re-pay your debts. It just enables the courts to get involved and creates a schedule for re-payment. Plus it opens the door to all sorts of penalties and disadvantages.

For instance, bankrupts risk losing their homes, are typically not able to get credit, they have to relinquish their credit cards to the courts and their bank accounts are closed.

For those who own businesses, their companies will typically be forced to close and dismiss their employees. Whilst moving forward, they are not allowed to have anything to do with forming, managing or promoting a company without the court’s permission in the future.

For many people the social stigma associated with bankruptcy is one of its biggest disadvantages. Bankruptcies cannot be kept quiet as they are announced in the local papers.

The good thing is that in 1986 the government introduced a legitimate alternative to bankruptcy that does not have any of the disadvantages associated with it. This alternative is known as an Individual Voluntary Arrangement (IVA).

IVAs are private and legally binding agreements between debtors and creditors whereby the debtor proposes to pay back a certain amount of his/her debt each month, typically over a 5 year period. This amount is based on what the debtor can af

via loans and credit cards. All too soon you are receiving threatening letters and stressing about how to pay off your debts. It is at this point that many people think about filing for bankruptcy.

However, contrary to popular belief, being declared bankrupt does not mean that you do not have to re-pay your debts. It just enables the courts to get involved and creates a schedule for re-payment. Plus it opens the door to all sorts of penalties and disadvantages.

For instance, bankrupts risk losing their homes, are typically not able to get credit, they have to relinquish their credit cards to the courts and their bank accounts are closed.

For those who own businesses, their companies will typically be forced to close and dismiss their employees. Whilst moving forward, they are not allowed to have anything to do with forming, managing or promoting a company without the court’s permission in the future.

For many people the social stigma associated with bankruptcy is one of its biggest disadvantages. Bankruptcies cannot be kept quiet as they are announced in the local papers.

The good thing is that in 1986 the government introduced a legitimate alternative to bankruptcy that does not have any of the disadvantages associated with it. This alternative is known as an Individual Voluntary Arrangement (IVA).

IVAs are private and legally binding agreements between debtors and creditors whereby the debtor proposes to pay back a certain amount of his/her debt each month, typically over a 5 year period. This amount is based on what the debtor can a

ent. Plus it opens the door to all sorts of penalties and disadvantages.

For instance, bankrupts risk losing their homes, are typically not able to get credit, they have to relinquish their credit cards to the courts and their bank accounts are closed.

For those who own businesses, their companies will typically be forced to close and dismiss their employees. Whilst moving forward, they are not allowed to have anything to do with forming, managing or promoting a company without the court’s permission in the future.

For many people the social stigma associated with bankruptcy is one of its biggest disadvantages. Bankruptcies cannot be kept quiet as they are announced in the local papers.

The good thing is that in 1986 the government introduced a legitimate alternative to bankruptcy that does not have any of the disadvantages associated with it. This alternative is known as an Individual Voluntary Arrangement (IVA).

IVAs are private and legally binding agreements between debtors and creditors whereby the debtor proposes to pay back a certain amount of his/her debt each month, typically over a 5 year period. This amount is based on what the debtor can a

y are not allowed to have anything to do with forming, managing or promoting a company without the court’s permission in the future.

For many people the social stigma associated with bankruptcy is one of its biggest disadvantages. Bankruptcies cannot be kept quiet as they are announced in the local papers.

The good thing is that in 1986 the government introduced a legitimate alternative to bankruptcy that does not have any of the disadvantages associated with it. This alternative is known as an Individual Voluntary Arrangement (IVA).

IVAs are private and legally binding agreements between debtors and creditors whereby the debtor proposes to pay back a certain amount of his/her debt each month, typically over a 5 year period. This amount is based on what the debtor can a

e to bankruptcy that does not have any of the disadvantages associated with it. This alternative is known as an Individual Voluntary Arrangement (IVA).

IVAs are private and legally binding agreements between debtors and creditors whereby the debtor proposes to pay back a certain amount of his/her debt each month, typically over a 5 year period. This amount is based on what the debtor can afford and can be as little as ?200 a month. In return the creditors write off a percentage of the debt (up to 80%) and freeze interest on it whilst the IVA is in place. After five years, if the terms of the IVA have been adhered to, the debtor is declared debt free.