IVA Fees

Fees involved in an IVA

Clearstart will not ask you for upfront fees, nor will we ask you to pay additional fees. You make one monthly payment in an IVA – that covers all our fees.There are two types of fees in an IVA – A nominee’s fee and a supervisor’s fee.

• The nominee’s fee is for setting up and agreeing the IVA with you and your creditors.
• The supervisor’s fee covers the management of the IVA until it’s completed.

What are the fees?

As previously mentioned, fees are not pre set; instead they are based on individual cases. Below is an example of a typical case which shows the debt level, amount repaid in the IVA and fees.

What do the fees cover?

The fees you pay in the IVA cover the following;

• Agreeing a personal monthly budget with you.
• Drafting and preparing your legally binding proposal.
• Holding a creditors meeting and presenting your case. (please note, if your IVA is not accepted, you will not have to pay any fees).
• Dedicated customer care team on hand to help with any queries / issues you may have at any time throughout your IVA.
• Conducting annual reviews with you to ensure your agreement is running as planned.
• Distributing your payments to your creditors.
• Making any changes to your IVA should your circumstances change.
• Working with your creditors on an annual basis to ensure that your IVA runs smoothly.

Below is an example of a typical IVA, showing how it works and how it has benefited this client.

Case Study Mrs Smith had debts of £44,000. We negotiated an IVA with her creditors. Now Mrs Smith pays £269 per month. Over the course of the IVA Mrs Smith will pay pack £16,140 in total meaning she will repay 37% of her debt and the remaining 63% is written off. The £16,140 she will repay includes all our fees. Based on her circumstances, the fees we will be paid are £3,340 over the 5 years of the IVA. The £269 she pays monthly is the only payment she makes.