There are a number of forms of personal insolvency. The most appropriate for an individual will depend on whether they are an individual, sole trader or a partner in a partnership and the ability to pay creditors.
Personal insolvency is also a very emotive subject as it generally involves the family home and assets that have a sentimental value. For debtors considering making themselves bankrupt it can be difficult to discuss with anyone - their pride can come before a fall.
The types of personal insolvency are as follows:
- Individual Voluntary Arrangement (IVA)
- Debt Relief Order (DRO)
- Debt Management Scheme (DMS) – not a formal insolvency process
- Partnership Voluntary Arrangement (PVA)
- Partnership Administration Order
For further advice and assistance regarding any aspect of the above insolvency procedure, please contact BRI. We will discuss, free of charge and with no obligation, any further implications and alternatives with you.