Clear Start.org Launches Free IVA Advice Service

October 31, 2005 (Press Release) -- Until very recently when people were overwhelmed by debt, bankruptcy was the only solution. However, the introduction of the individual voluntary arrangement (IVA) by the government has created a new alternative to bankruptcy which is beneficial for both the debtor and the creditor.

The idea behind the introduction of the Individual Voluntary Arrangement (IVA) was to enable people facing financial difficulties to come to a formal agreement with their creditors rather than having to face bankruptcy.

If an IVA is agreed between the debtor and creditor:

• Interest on the loan is frozen
• Legal proceedings are stopped
• The overall debt is reduced

An Individual Voluntary Arrangement is generally seen as a more favorable option than bankruptcy from both the debtor’s and creditor’s perspective.

This is because there are no fees or legal proceeding involved with an IVA, unlike with bankruptcy. Furthermore, from the creditor’s point of view, an Individual Voluntary Arrangement offers a greater repayment of the debt than would otherwise be achieved if the debtor were made bankrupt.

Clear Start has set up a free and impartial IVA advice service for anyone interested in setting up an IVA or finding out more about how IVAs work. To find out more about this service please visit: http://www.iva-advice.com.

This IVA Advice Service is run by a team of specially trained debt counsellors who are able to give unbiased and confidential advice about IVAs and other debt solution programmes free of charge to those suffering from debt.