Individual Voluntary Agreements (IVAs) can be implemented through privately negotiated contracts. These agreements comprise a contract to pay a minimum amount until the debt is cleared, but care must be taken to ensure that the terms are reasonable and the payment structures are within the debtor's means.
IVAs are an alternative to bankruptcy, and the majority of creditors prefer to enter into such an arrangement with their customers as opposed to submitting the debt to the bankruptcy courts.
Another option is debt consolidation, which may involve IVA negotiations as part of the proposed debt management program. A surprising amount of debt may be forgiven through patient negotiation, a possibility that those struggling with debt often overlook until it is too late to intervene. An intelligent and timely consultation with a debt consultant can shave years off the life of the average family member burdened with credit card debt and unmanageable expenses.
As lenders tighten their purse strings in response to the credit crisis, bankruptcy becomes inevitable for those unable to resolve their difficulties through less drastic means. The domino effect on credit products on the market has a 'knock-on' effect of limiting the options of those whose business it is to restructure debt and repackage payment programs.
The best advice for someone with a significant debt problem is to address it as soon as possible, before restrictions become even more intolerable. Even in the current economic climate, it is possible to avoid bankruptcy with the assistance of a qualified debt management professional. In the current economic downturn, procrastination is fatal, whereas matters that are managed with care may benefit from a rescue program with surprising success.
In the event that bankruptcy is unavoidable, measures can be taken to limit the amount of distress inevitably caused by such a catastrophe, again by addressing matters at the earliest opportunity and submitting all of the necessary documentation without exception. Bankruptcy petitions rely on the meticulous disclosure of facts, and omissions can result in severe penalties if discovered later.""
" - https://www.affordablecebu.com/
