Personal insolvency services

Constrained financial circumstances can be challenging, and how you respond will determine the long-term impact. If unpaid bills start mounting or debt collection agencies become involved, it’s vital to understand your rights and obligations early.

The prospect of personal insolvency can be intimidating and stressful, but there are solutions available. By evaluating all the options, and reviewing your circumstances thoroughly, our experienced team can help put you on the road to recovery.

Our experts in personal insolvency provide tailored support in several ways:

An IVA is a formal agreement between you and your creditors to repay debts over a fixed period, typically five years. It is a rescue procedure offering an alternative to bankruptcy.

An IVA gives individuals who owe money more control over their financial affairs and avoids the duties, expenses and fees involved in bankruptcy proceedings.

Process, approval, supervision and benefits 

You appoint a licensed insolvency practitioner as a Nominee to prepare a proposal for your creditors. The proposal must be fair, feasible, and demonstrate your ability to adhere to the proposal.

Creditors vote on the proposal, and, broadly speaking, at least 75% (by value) of those voting must agree to the terms for the proposal to be approved. Once approved, an insolvency practitioner acts as Supervisor, ensuring compliance and distributing payments to creditors.

An IVA avoids bankruptcy, protects assets such as your home, and provides a structured path to debt resolution.

We routinely act as trustee in bankruptcy, normally at the request of an individual’s creditors, providing a range of services and advice:

• Maximising realisations for creditors. Our work includes investigating the bankrupt’s financial affairs, tracing assets and pursuing recoveries
• Supporting with specialist expertise. Our centre of excellence for bankruptcy manages routine and complex bankruptcies, including those involving litigation or overseas assets
• Acting on deceased estates. We take appointments as trustee of deceased insolvent estates, which operate under similar conditions to bankruptcy
• Acting as interim receiver. Where assets are at risk before a bankruptcy can be instigated, we can to protect those assets as an interim receiver

Fees are typically subject to creditor approval and recoverable only from realisations made. We can also explore creditor or third-party funding options.

If you are a creditor of an existing bankrupt or considering petitioning for bankruptcy:

• We can liaise with the Official Receiver to assess asset recovery potential
• Where appropriate, we can seek appointment as trustee if sufficient creditor support exists
• Our dedicated creditor services team works seamlessly with the personal insolvency team to support stakeholders and maximise returns

We can also provide guidance on:

• Retaining asset rights, including pensions
• Assessing the viability of an IVA as an alternative to bankruptcy or as an exit strategy
• Understanding your obligations and options under insolvency law