Is this the Right Solution for you?
What is a Debt Agreement?
Simply put, a Debt Agreement is an agreement between you and your creditors. There are formal Debt Agreements and informal Debt Agreements which can be entered into between you and your creditors. A formal Debt Agreement is governed by Federal legislation; whereas, an Informal Debt Agreement is merely a contractual arrangement between you and your creditors.
Benefits of entering into a formal Debt Agreement
- Avoid bankruptcy and its limitations on your future
- Unsecured debts are paid through one regular weekly repayment which is more affordable and easier to manage
- No more interest is charged once your creditors agree to the Debt Agreement Proposal
- Once the Debt Agreement is lodged all recovery proceedings and garnishees must cease – this means no more harassing phone calls!
- Our experienced team negotiates with your creditors for you
- Our administration service manages all payments to your creditors on a regular basis.
Consequences of entering into a formal debt agreement
- Your credit file will be effected which may impact on you being able to obtain credit in the future.
- You will be noted on the National Personal Insolvency Index as a formal debt agreement is considered an act of bankruptcy.
An informal debt agreement has similar benefits without the consequences of a formal debt agreement however, it may be difficult to have all your creditors agree to the overall proposal.
To find the right debt agreement solution for you Talk to an Aussie Who Cares™. Contact Debt Rescue today.
