Training Example: AFA Insolvency – Review the Data, Give Your Score & Compare to the Real AI Evaluation

[H1] Your debt free journey starts here

Plan your way to financial freedom with AFA Insolvency. We are specialists in helping people clear their unaffordable debt by repaying only what they can afford to their creditors over a fixed period of time

Check if you qualify

Trustpilot

May not be suitable in all circumstances. Debt solutions may contain fees. Read IVA fees here.

Pay Back What You Can Afford

Affordable Monthly Payments

[H3]
5,000+

Approved IVA’s

“Very helpful and understanding. “

[H2] Simple 3 step process

[H4]
Understand

In our initial consultationwe will discuss your current circumstances to see what works for you.

[H4]
Review

We will provide you with all the information to allow you to make an informed decision on the best debt solution for you.

[H4]
Get Started

If an IVA is a right solution for you, then we will then startthe work on your behalf.

[H2] How it works!

We look at your current debt situation and tailor a practical, affordable and achievable debt solution to suit you and provide expert advice, while still letting you enjoy life.We’ll tailor a financial solution that helps with your unsecured debt, to take the stress away and take control of your debt.Many people feel ashamed that their debts have gotten the better of them. There is no need to feel this way – we can help! Quite often, circumstances are to blame, and it is no fault of your own.At AFA, you will find a sympathetic and understanding team, who will talk you through your debt relief options without any judgment.

Check if you qualify

[H2] I have so many questions about an IVA?

We understand that you may have many questions regarding your financial situation. We have created an FAQ section which outlines some of the most frequently asked questions that we receive. If you are unable to find what you are looking for then don’t hesitate to contact us on 0161 850 1018 and one of our advisors can help you further.

FAQ's

[H3]
Protections from creditors

An IVA will grant you legal protection from your creditors

[H2] What our existing client say about us

 Rated 5 out of 5

Really helpful want hear About your circumstances not trying to get you off the phone glad I went to them made you feel you can ask Questions would highly recommend.

Tracy SmithTrustpilot

 Rated 5 out of 5

AFA are amazing they done everything all I done was a quick phone call and within a few days all my debts are combined with one simple payment and it works out I’m only paying half what I owe. Feel like a big weight has gone. AFA are brilliant ?.

Daniel McguireGoogle Reviews

 Rated 5 out of 5

I’ve been paying a company hundred pound a month for the last 12 years and my balance was it never was coming down so I look for another alternative very happy to found a IVA which has put my mind at rest thank you

Joan KnightTrustpilot

 Rated 5 out of 5

Very quick, transparent and helpful. The process was really smooth and personable which is very important. At no point have I felt judged or uncomfortable. The whole team is fantastic

Christiana VasiliouGoogle Reviews

Free and impartial money advice is available from the Money Helper, an organisation set up by the Government for people in debt..

[H2] How can AFA Insolvency help you?

Legal protection from your creditors

One fixed monthly payment

Fixed term to clear your outstanding debt

Check if you qualify

“AFA Insolvency offer a clear way to clearing your outstanding debt with an IVA”

We look at your current debt situation and tailor a practical, affordable and achievable debt solution to suit you and provide expert advice, while still letting you enjoy life. We’ll tailor a financial solution that helps with your unsecured debt, to take the stress away and take control of your debt.
Many people feel ashamed that their debts have gotten the better of them. There is no need to feel this way – we can help! Quite often, circumstances are to blame, and it is no fault of your own. At AFA, you will find a sympathetic and understanding team, who will talk you through your debt relief options without any judgment.

Will an IVA affect my credit file?
Your credit file will be affected for 6 years from the commencement of your IVA.

Would I qualify if on a low income?
All we can do is see. We understand that everybody has different circumstances which is why we encourage you to always get in touch and let us know your story, let us see if we can help. We will focus on what you can afford rather than what the creditors are demanding. Most people qualify for at least one form of debt help and you will always be given information on whatever you qualify for, including ones which may result in your debts being written off completely.

What is the catch?
There is no catch. All solutions we discuss have been around for a long time, they are just not spoken about much on either the radio or television. People usually only learn of ourselves and the solutions we recommend when they need our service. Getting debt-free can be easy and hassle-free if you look in the right places.

How long will it take before my IVA is approved?
Once the process has started it will depend on how fast you can provide the required information. Typically, it will be between 2 and 4 weeks.

During the preparation stage will my nominee deal with my creditors?
We remain in contact with the creditors and answer any queries they may have during the voting process.

If my IVA is approved when and how will I pay you?
Once the IVA is approved, we will confirm this in writing. Your first payment must be within 30 days of approval and monthly thereafter normally over 60 months.

Can I include my mortgage and HP in the IVA?
Only unsecured debts can form part of your IVA so mortgage and HP payments will be built into your IVA as allowable expenses which you will need to maintain.

What will happen to my house?
Homeowners may be asked to release a percentage of their equity by remortgaging their property in the final year of the IVA or, if not possible, to extend the IVA for up to a further 12 months

What if some of my creditors do not agree to an IVA?
Your creditors will be asked to vote as to whether or not they accept your proposal. If at least 75% in value of those creditors who vote accept the IVA, then it is approved. We remain in contact with the creditors and answer any queries they may have during the voting process

Will I have regular contact with my supervisor during the term of my IVA?
Your Supervisor will contact you regularly to update your circumstances and check you can still afford your IVA contributions.

What happens if I lose my job and can't afford the contributions?
You must inform your Supervisor immediately who will reassess your situation and decide on the best course of action. If you receive any redundancy payment, depending on the amount you receive you may need to pay a portion of this into your IVA. It may be possible to amend the terms of your IVA with approval from the creditors if your circumstances have changed.

Can anyone find out if I am in an IVA?
An IVA is entered on a Public Register.

What happens to my car and my savings during my IVA?
You will be able to retain an inexpensive priced car and any HP payments will be built into your IVA as an allowable expense so you will need to maintain them. Any savings will have to be made available for your creditors.

What happens at the end of my IVA?
On satisfactory completion you will be issued with a Completion Certificate to demonstrate that your IVA is complete.

Is my IVA likely to be approved?
Ultimately your creditors will make the decision and we must be able to verify your circumstances to demonstrate your insolvency.

Will my creditors stop contacting me?
Once your IVA is approved and the creditors have recorded this on their records then you should not have any further contact from them, other than annual statements as required by the Consumer Credit Act. They will not chase you for payment.

What happens to my personal pension during my IVA?
Your pension will not form part of your IVA but there may be a restriction on the level of contributions. If you draw down your pension whilst you are in your IVA, your circumstances will be assessed and you may be required to increase your payments into your IVA. Your Supervisor will let you know what you need to do beforehand.

What happens if I receive an inheritance during the IVA?
You will be expected to pay any inheritance into your IVA up to the amount still due to your creditors. It may be possible to conclude your IVA early if creditors plus fees and costs are paid in full.

Am I allowed to take any credit during the IVA?
You will be unable to obtain further credit in excess of £500 without the authority of your IVA Supervisor

How long will i be in an IVA for?
Each Arrangement is different, but the majority of IVAs are for 5 years. Once you have paid everything as set out in your proposal and you are issued with a Completion Certificate, your debts included in the IVA will be written off.

IVA Fees and Costs
AFA Insolvency will only charge fees if creditors approve an IVA.
Our fees are taken from your monthly payment or asset realisations paid into your arrangement.
AFA Insolvency operates a transparent, inclusive fixed fee cost of £3,650, which incorporates the Nominee Fee, Supervisory Fee and all costs and expenses associated with the arrangement.
As part of your Proposal, we also offer to start distributing a percentage of the payments made by you from month three of your arrangement, or earlier in some cases, which means the balance owed to your creditors begins to reduce.
In some cases, creditors may try to amend the terms of the IVA so that we are not required to make payments to them until the Nominees Fee and Disbursements have been repaid. We will resist these attempts.
In an IVA, there are three different types of costs charged by an Insolvency Practitioner.
1. Nominee’s Fee
This fee covers the setting up and preparation of your IVA. This includes assessing your current financial situation and repayment offer to creditors, issuing the Proposal to your creditors, the administration and facilitation of the creditors’ decision process used to consider the IVA, and any negotiations with creditors during this process.
Most other IVA providers will typically charge a Nominee’s fee of £1,000 but will also charge various additional costs and charges in addition (see below). We charge a fee of £1,900 to include all other necessary expenses.

2. Supervisor’s Fees
These fees are charged for the ongoing administration of the IVA, which includes collecting and distributing your monthly repayments, dealing with any queries raised by you or your creditors, completing an annual review of your financial circumstances, reporting annually to you and your creditors about the progress of the IVA, and dealing with the closing formalities.
Again, most other IVA providers will charge Supervisor’s fees based on a percentage of any monies paid into the arrangement, typically 15%. This means that the more you settle into your IVA, the higher the Supervisor’s fee.
At AFA Insolvency, we charge a fixed Supervisor’s fee of £1,750 regardless of your monthly contribution amount. In addition, we will charge an additional 15% on any other asset realisations that may come into your arrangement, for example, windfalls or compensation for mis-selling claims.

3. Disbursements
These are costs paid by the IP to third-party companies for various fees and expenses of administering the arrangement and will typically include software licences, insurance, and registrations required as part of the arrangement. These may also include payments made for additional services to provide the best return for your creditors.
Typically, the disbursements of an arrangement equate to an average of £2,000 per case if they are charged separately from the other fees. However, this is subject to individual circumstances and could vary.
IPs who charge disbursements separately to their Nominee and Supervisor’s fees will ensure that they and all accrued expenses are paid before any payment is made to your creditors. Unfortunately, this can mean that your creditors do not receive any payments for up to two years and, in some cases, even longer.
By charging an overall fixed fee of £3,650 to include all costs and expenses of the IVA and by making payments to your creditors from month 3, we believe we are offering a fairer allocation of your monthly contributions.