Debt Agreement

Debt Agreement Key Features

  • All interest is frozen on your unsecured debts
  • One Regular Payment (weekly, fortnightly, monthly)
  • Maximum Term of 5 years (all unsecured debts legally discharged)
  • You can expect a proportion of the debt to be legally written off
  • The remainder is legally written off
  • Beyond Debt provides a one stop solution


Debt Agreement Summary
Debt Agreements use little known government legislation to lump together all your unsecured debts into the one arrangement.  You make a regular repayment to an “administrator”.  The regular repayment is determine by what you can afford to repay and any debt not repaid after the agreement is finished is legally written off.  Debt Agreements have existed since 1996 but are increasing in popularity.

Who are debt dgreements for?

If you can’t or are struggling to afford your debts, a Debt Agreement may be for you.  A debt agreement allows you and your creditors to come to a compromise. A debt agreement will allow you to repay less then the full amount for the debt.  A debt agreement is also legally binding so your creditors can’t change their minds.

What is a Debt Agreement?

A Debt Agreements is not just another loan. A Debt Agreement is a lasting solutions to your financial problems.   You can’t propose a debt agreement yourself, any arrangement you make yourself with your creditors is NOT legally binding. Debt Agreements are generally done through a Debt Agreement Administrator, Beyond Debt manages thousands of agreements. After your agreement is legally binding (creditors can’t change their mind) you will only deal with Beyond Debt.  Your creditors are prohibited from writting you letters or calling you.

There are a few criteria that must be met in order to qualify for a debt agreement.

  • Can not have been bankrupt,in the last 10 years
  • Can not earn more than $1210.00/week approximately after tax per
  • Can not have assets of more than $83,647.20 (individually)

Debt Agreement Consequences?

  • The fact that you enter into a Debt Agreement will appear on your credit history for 7 years.
  • Your name will appear on the NPII, a permanent government record typically not used for assessing credit applications
  • After you repay your Debt Agreement your credit history will be updated
  • All included debts in the Debt Agreement will be closed

What is the debt agreement process?

  • Beyond Debt conducts a preliminary assessment of your financial situation over the phone
  • You formally engage us to act on your behalf
  • Beyond Debt conducts credit checks, property valuations and contacts all of your creditors
  • A Debt Agreement is sent to all creditors to accept or reject. Most agreements are accepted
  • Once the debt agreement has been accepted it becomes legally binding
  • Make your one regular payment and get on with the rest of your life

Individuals who do not meet the criteria above may still apply for a personal insolvency agreement.

Debt Agreements are one option in a range of debt solutions.   For information on the range of options available take a look at our Debt Solutions page. You must determine whether the information is appropriate in terms of your particular circumstances.

If you think a debt agreement is a solution for you contact Beyond Debt today.