Sole Trader IVA
- Interest on your debts will be frozen
- You are protected against legal action from your creditors
- At the end of the IVA, any remaining unsecured debt is written off
- Unlike bankruptcy IVAs are not published in local papers
- Entering an IVA should not stop you from trading
- You may be able to retain assets such as your home
Debt Management Plan
- Payments are based on what you can afford, not how much you owe.
- A DMP can be a short-term arrangement, or longer term, to suit your particular circumstances.
- We use our experience and relationships with creditors to deal with them effectively on your behalf.
- Your assets are usually protected.
- Set up can be quicker than an IVA.
- Not a legally binding arrangement.
Bankruptcy
- In most cases, bankruptcy will last for 12 months, which is typically a shorter period than an IVA.
- Large amounts of debt can be legally written off. After the debtor is discharged from bankruptcy, no more money is owed to the creditors.
- Bankruptcy does not have the same stigma attached to it as was the case historically.
