ITSA Research On Debt Agreements

New research released today by the Insolvency and Trustee Service Australia (ITSA) shows that
debt agreements are having a generally positive effect both as a viable option for debtors to avoid
bankruptcy, and providing a good level of return to creditors.
Key findings include:
• 77% of debtors said that the debt agreement helped resolve their financial difficulties
• 77% of debtors said that entering the debt agreement has made them better able to manage
their household budget
• 83% rated the overall level of service provided by their administrator as acceptable or above
average
Of those debtors who indicated they are struggling with payments under their debt agreement,
almost 90% said it was due to changed circumstances such as unemployment or changed family
commitments, while 5% said they could not afford the payments from the outset.

I tried to get information from Financial Counsellors on the long term success of Informal Arrangments; however, no State organisation was willing to provide me with information.