Experts in mis-sold IVA claims
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For anybody struggling to deal with severe debt, debt solutions like IVAs that allow you to pay off the debt you can afford, while writing off what you can’t, can feel like a Godsend. Unfortunately, there are some companies who force people into IVAs when they’re not necessarily suitable candidates. This practice is known as mis-selling.
What does it mean to be mis-sold an IVA?
While most IVA providers do their best to help match clients with the best solution for their individual circumstances, unfortunately there are certain bad actors out there who take advantage of customers through mis-selling.
Being mis-sold an IVA is what happens when people deal with a suspect IVA company, are given poor quality advice, and are then forced into an IVA when it’s not necessarily the most suitable solution for them.
IVA mis-selling often involves people signing up to the arrangement when they don’t fully understand what it involves. The IVA provider may rush through the process in order to claim a fee, and the result is often that the individual can’t afford their monthly IVA payments and therefore defaults on the agreement.
Who is responsible for overseeing my IVA?
Even if you’re in debt and have been in direct contact with your creditors about a repayment plan, you won’t be able to set up an Individual Voluntary agreement on your own. An IVA can only be set up by an Insolvency Practitioner.
An Insolvency Practitioner (or IP) is a licensed debt professional empowered by the Insolvency Practitioners Association (IPA) to set up and manage debt solutions like IVAs and bankruptcy.
It’s your IP who will help you draft an IVA proposal that allows you make an affordable monthly payment to your debts and avoid bankruptcy. Once your IVA agreement kicks in, your IP will handle your payments and ensure they’re shared among your creditors.
Essentially, it’s your Insolvency Practitioner’s job to oversee the creation and successful completion of your IVA, and they have a responsibility to step forward if they feel you’ve been badly advised.
What can I do if I feel I’ve been mis-sold an IVA?
It’s a horrible feeling to have entered into an agreement to deal with your debts, only to realise an IVA isn’t the right solution for you. If you feel you have been mis-sold an IVA, or that your Insolvency Practitioner has acted improperly, here are some steps for you to take.
Get in touch with your Insolvency Practitioner
Even if you’re worried you’ve been mis-sold an IVA, you should get in touch with your Insolvency Practitioner to discuss the issues you are having.
Approaching your IP and having an honest conversation about the issue first may allow you to resolve the situation or clear up any crossed wires. And even if it doesn’t, discussing the problem with your IP allows you to get a better understanding of your case if you then decide to take things further.
Lodge a complaint with your Insolvency Practitioner
If you’ve taken the issue to your Insolvency Practitioner and you weren’t satisfied with their response, the next step is to lodge a formal complaint with your IP.
The complaint process should be laid out somewhere on the website of your IVA provider. Make sure you read the process carefully and follow each of the steps.
Lodge a complaint with the Insolvency Service
If the complaint lodged with your Insolvency Practitioner remains unresolved, it’s time to go external. This means complaining to one of the regulatory bodies that either oversee the IVA process, or are responsible for regulating the activity of Insolvency Practitioners.
Which regulatory body you lodge a complaint with depends on your individual circumstances, but some possible options include:
Insolvency Service: The Government department responsible for regulating the insolvency profession.
Insolvency Practitioners Association: The professional body that empowers Insolvency Practitioners to oversee legally-binding debt solutions.
Financial Ombudsman: An organisation that settles complaints between consumers and businesses that provide financial services.
How we can help
Alternatvely to the above allow MSIVA to assist you in dealing with your complaint against the Supervisor of your voluntary arrangement.
Even if you have successfully completed your voluntary arrangement you may still have a claim.
How we assist you
- We are a specialist firm with over 30 years’ experience in insolvency.
- We are dedicated to assisting our clients.
- We have already reviewed a number of IVA documents where there were serious concerns.
- We can review your IVA and documentation for FREE.
- If appropriate we can arrange to connect you with a lawyer with specialists’ knowledge of bringing this sort of claims.
- We will assist you with all negotiations with your current IVA provider.
What we will do for you
- Review your IVA circumstances for free.
- Provide you with our recommendations.
- Look to connect you to lawyers to take matters forward.
- Pursue claim against the Supervisor.
- Look to recover monies paid to your IVA.
- We can call you for a FREE initial consultation.
There are many other circumstances where an IVA may not be the most appropriate route and we would be happy to discuss individual circumstances.