Money saved is money earned. In this day and age of plastic money, it is hard to refuse credit from banks. Especially when they offer big discounts for store card purchases or exclusive credit card deals.
All is good as long as the card is paid back in time, and in full to avoid interest or late payment charges. However, issues arise when you fall behind in repayments and are unable to pay the outstanding balance on time.
Australians have the highest per capita debt in the world. This means we are borrowing more than what we can repay. Does this mean most Australians are insolvent and need a debt management solution? A bankruptcy is an extreme solution, but does this warrant a more flexible debt management solution? For those that need help, a budgeting service is ideal. Debtors could be provided a monthly budget to work with. A quick snap shot of their monthly finances can also help them see how they are tracking.
For those struggling with debt, banks may be able to provide reduced payments or a moratorium until things improve. It is essential to understand that not all debtors would qualify for this. A more structured debt management solution would be required on a long-term ongoing basis. A Part IX Debt Agreement administered by ADAIS could allow for this. As a Registered Debt Agreement Administrator, we can make this work for your situation.
Most consumer loans are regulated under the NCCP – National Consumer Credit Protection Act 2009. Consumer loans also qualify for hardship options. Debtors need to discuss their debt management options directly with lenders. They can also engage a Debt Management Consultant like ADAIS, to act on their behalf. As a Debt Management Consultant, we can help you assess your situation and propose appropriate solutions. With our depth of experience and expertise, ADAIS consultants can help you find the appropriate information to manage your debts and avoid further financial impact.
A Part IX Debt Agreement (Part 9 Debt Agreement) is often the solution of choice for most administrators. Debtors who have accumulated significant amounts of debt will require a structured debt management solution. These structured solutions come with adequate legislative protection to ensure creditors are not chasing debtors for the arrears or outstanding balance on the accounts. A Part IX Debt Agreement (Part 9 Debt Agreement) also provides a fixed payment term, provided you make the agreed payment instalments as per the Debt Agreement.
In Melbourne, Australian Debt & Insolvency Solutions (ADAIS) can help you with debt management solutions including a Part IX Debt Agreement (Part 9 Debt Agreement) in case of unmanageable levels of debts. Please call us on 1800 212 452 to discuss your options.