Yes, an IVA is governed directly by the court and it is a fraud to hide money from them. Any such attempt will not go ignored and you will be taken to court over the dispute. You may even need to hire a third party to deal with such a situation (if it arises), which means extra cost.

What if my IVA is rejected?

If your IVA is rejected your situation should be no worse than it was before you started the application. You will not be forced into taking any other action. You do not have to go bankrupt. However the debts you owe are still outstanding and you will still need to deal with them.

What is an IVA verification call?

An individual voluntary arrangement (IVA) is a formal and legally binding agreement between you and your creditors to pay back your debts over a period of time. This means it’s approved by the court and your creditors have to stick to it.

What are the disadvantages of IVA?

Disadvantages of an IVA

• Your credit rating will be adversely affected throughout your IVA and usually, for an additional year after completion.
• Should the IVA fail, creditors may back date interest on your debts or may request your Supervisor petitions for your bankruptcy.

What percentage of IVA fails?

The figures reveal that IVA failure rates have hit 8.4%; their highest level in 16 years. Almost one in five IVAs registered in 2017 failed within two years, while this rose to one in four within three years. Why does this matter? IVAs work as a formal legally binding agreement between individuals and their creditors.

Can I be refused an IVA?

In some cases, the creditors involved might not agree to the terms of your IVA proposal, which results in your IVA being rejected. The most common cause of rejection of an IVA proposal is when your creditors do not believe that the proposed repayment plan is enough to meet individual creditor guidelines.