Care and support

Administration orders (AO)

An administration order allows you to pay all your debts by making a single monthly payment into your local county court. The court then divides this payment among your creditors. Generally, your creditors can take no further enforcement action while you have an administration order or charge interest on the debt.

For further information select the link entitled administration orders on the right side of the page.

Individual voluntary arrangements (IVA)

An IVA is a formal arrangement through the county court, that you make with your creditors. You need to be able to raise a lump sum to pay the creditors or to make regular payments from your income to your creditors. An IVA is usually arranged through an Insolvency Practitioner who will charge you for this. Sometimes this will be a up-front fee but some will take instalment payments from the regular payments you make to creditors.

An IVA normally lasts for between 3 and 5 years. If the terms of the IVA are not kept to, either your creditors, or the Insolvency Practitioner can apply to the court for a bankruptcy order.

You can get the names of local Insolvency Practitioners by contacting the county court or Official Receiver offices.