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3/20/2018 2:02:42 PM
What is an Informal Arrangement?
Basically speaking, it is an agreement between you and your creditor to pay back your debts at an agreed amount over a defined period of time and with a set of conditions. If you have multiple creditors you would have separate agreements with each of them. You only need to make one payment to Fast Debt Help and we then pay your creditors on your behalf.
What is the difference between an Informal Arrangement and a Debt Agreement?
The biggest difference is that a Debt Agreement is regulated by the Australian Government agency AFSA. This means there are defined rules both you and your creditors legally have to abide by in a Debt Agreement. With an Informal Arrangement, nobody else needs to know you are in negotiations with your creditors. Each arrangement you have with your creditors is an individual contract which can vary considerably between creditors. Another difference is in a Debt Agreement, it is guaranteed that all interest is frozen on your debts, where in an Informal Arrangement there is no such guarantee (though most times we can negotiate interest free payments for you).
What are the downsides to an Informal Arrangement?
There are more fees involved with an Informal Arrangement. This is due to the fact we have to monitor, negotiate and keep track of your creditors and your payments on your behalf, which can go on for many years. Having said that, all fees will be included in your repayment amount and there is no upfront lump payment. We always make sure you will be in a much better financial state both short, medium and long term.
Why would I choose to do an Informal Arrangement?
Some people don't have any other choice due to the amount of debts they have, the amount of money they earn, the value of their assets, or if they have been in a bankruptcy or Debt Agreement in the previous 10 years. Others enter an Informal Arrangement due to their job requirements and others to try to keep their credit rating intact if it is at a good level.
How do I start an Informal Arrangement?
Contact Fast Debt Help and we will do an assessment over the phone of your suitability. We will be able to give you an estimate of your weekly, fortnightly or monthly repayment amount which includes any fees.
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Debt Agreements (also known as Part IX Debt Agreements) is a debt solution suitable for many people. In fact, around 16000* Debt Agreements are entered into in Australia every year.
So, what makes them...