Debt Agreements are officially called Part IX Debt Agreements. They exist because of legislation in the Bankruptcy Act. The reason they exist is to offer people a cheap and flexible way of dealing with debt other then declaring bankruptcy.
That is the key to Debt Agreement law, they exist so that you don’t have to go bankrupt.
Some of the key benefits of entering into a Debt Agreement are:
- Interest is Frozen.
- You will only have to make one regular payment to cover all unsecured debt that forms your Debt Agreement.
- Creditors and their Debt Collectors are no longer able to contact you.
- A real and certain plan that will get you out of debt.