Case Studies

What we hear
• “My debts are spiralling out of control, I just can’t manage them.”
• “I am struggling to make my minimum payments each month.”
• “I am robbing Peter to pay Paul.”
• “It’s got the stage where it’s all making me ill with worry.”
• “My creditors are harassing me every day and threatening legal action.”

What we can do
Individual Voluntary Arrangement: Case Studies
Choose from the following:
• Tenant/Employed
• Homeowner/Employed
• Lump Sum <
• Homeowner/Self Employed

Lump Sum
Mr. M. of Devon had personal, unsecured debts of £33,000. He was employed as a seasonal, casual worker and, as such, had no regular, guaranteed income. He had previously been employed full-time but with the onset of the foot and mouth crisis, he no longer had the benefit of a regular salary. Faced with unpromising prospects he wanted to enrol at university and pursue a professional career but did not feel able to initiate this due to his debt. Wishing to assist their son in any way possible, and avoid his potential bankruptcy, his parents felt that a lump sum IVA offered the ideal solution. Mr. M’s parents were able to give their son £15,000. His proposals were that this amount be paid for the benefit of creditors within a period of three months from the date of their acceptance. Given his circumstances, creditors were, in the event, prepared to accept the offer. After fees and expenses, Mr. M’s creditors received a final payment representing 30 pence in the pound.