Considering an IVA?
Considering an IVA (Individual Voluntary Arrangements)?
SPEAK TO YOUR CREDIT UNION FIRST…
Individual Voluntary Arrangements are one way that is said to reduce your debt. MAKE SURE you are aware of the Supervisory Arrangement fees…
Before reading on, please note: It is part of your credit union’s ethos to educate members in the wise use of their money, we cannot give advice to members in terms of Bad Debt and financial issues however we can warn you on the dangers of making hasty financial decisions and ask our members to contact us if struggling with monthly repayments.
Vicky Harrison, Chief Executive said: “Over the years we have seen some alarming cases where members (everyday people like you and me) are having to make really difficult financial choices. In some cases, make ends meet, and these situations seem to occur after an unforeseen change in circumstances. Thereafter financial decisions can be compounded by advice from IVA companies who, at the outset of the IVA, are charging Supervisory Fees in the region of £4,000. Basically they are adding £4,000 to your debt and if the IVA fails, this is added to the amount you have to repay back to your creditors.
With more than 25 years’ experience helping members with savings and loans there have been times when the credit union has had to refuse a loan application but there have been more positive times when we have been able to offer further credit to assist a member out of higher cost credit and more good news is that for some members, other options were available. For instance, at Blues & Twos we operate as a not-for-profit lender which means we provide our members with some of the fairest rates on loans from £300 – £10,000 for debt consolidation”.
Vicky added: “We all know that every little helps but this is a huge saving and clearly illustrates the financial benefits that taking a loan from a credit union like ourselves can make.
Members can contact the credit union by telephone, email or in person. A private meeting room at the credit union office can be made available on request. “An understanding voice on the end of the phone, a meeting with a member of the team who can quickly assess individual financial needs and provide reassurance over repayment terms could be just what is needed”.
Remember – “It is the credit union’s aim to encourage responsible saving and ethical borrowing providing access to affordable low-cost credit. An IVA could affect your future credit worthiness”.