4. What is the difference between IVA and DRP?

Although very similar, there are critical differences between the two debt restructuring Hong Kong methods. While both are forms of debt restructuring, the former is legally binding, while the latter is not legally binding.

 

Also, DRP is usually much more straightforward than the IVA, plus it gives you the debtor a lot of control when you apply for this type of debt restructuring in HK.

 

Money that is spent on hiring a lawyer for IVA can be saved with DRP. Plus, the latter method does away with courts, lawyers, court meetings, and creditor meetings.

 

If you work in a sensitive industry like finance or the disciplinary forces, you can be sure that your employees won’t be notified of your inability to repay your loans. Your job will be safe. However, IVA does not guarantee your employees will not be notified of your debt restructuring in Hong Kong.