A Debt Agreement is a legally binding agreement with your creditors. Usually you pay an agreed monthly sum for a period of 3 to 5 years and the interest on your debts is frozen. In many cases the money you have to repay using debt agreement will be less than the total amount you owed before the debt agreement. Debt agreement will protect you against legal action by your creditors.
Your monthly payment will depend on your income and liabilities.

You can not use debt agreement process if:
a) you have been bankrupt or had a previous debt agreement in the last 10 years.
b) your assets exceed $75,075
c) your income for the next 12 months is expected to exceed $75,481 (before tax).
d) your unsecured debts exceed $75,075

If you have property, you will not usually have to sell your property when entering into debt agreement Your house mortgage is not included in your Debt Agreement. Of course, you would have to continue paying your mortgage payments.

Your Debt Agreement proposal will be recorded on the National Personal Insolvency Index register. Your name will also be recorded on a commercial credit reference database for 7 years, after which time it will be deleted.

There are no costs involved in debt agreement, only the agreed monthly payments.