In addition to the traditional mortgage and second charge loan market, The Select Partnership specialise in the insolvency market, providing lending solutions for clients either entering or exiting an Individual Voluntary Arrangement (IVA).

The industry has a diverse approach to maturing IVAs and creditors are clearly concerned about the gap between debtors’ undertakings within their IVA and the amount of equity actually being released, as confirmed by The Insolvency Exchange (TIX).

There is also a concern regarding the ‘automatic’ fall-back to a twelve month extension of the IVA .

The Select Partnership’s aim therefore is to provide appropriate assessment and solutions in-keeping with the terms and spirit of an IVA whilst ensuring debtors’ interests and Treating Customer Fairly (TCF) principles are maintained.

The Select Partnership has created a truly independent and strategic review which includes an independent third party valuation which can be tailored to an Insolvency firm’s individual requirements.

Referrals are centred on 5 key areas:

• • Affordability
  • Equity
  • Property type
  • IVA performance
  • Debtor age(s)

This review can be carried out on an interim basis, for example at the third anniversary, and/or close to the end of the IVA term but is based on expert and up-to-date knowledge and understanding of the available solutions.

There are distinct advantages associated with this review, namely:

• • A truly independent third party assessment and review process.
  • Debtor expectations can be better managed.
  • Creditor expectations can also be more effectively managed through a better quality report.
  • Opportunities to settle the IVA can be identified and, where concluded, allow a debtor to ‘move on’ as their IVA can be closed down and their credit file can start to repair.

Where appropriate, and with the agreement of the Insolvency Practitioner and debtor, we can then assist them to release equity, often in order to propose an offer of ‘full and final’ settlement.