Bankruptcy is a potential debt solution for individuals struggling with their finances and looking for financial relief.
However, Insolvency Services Australia recommends that bankruptcy should always be seen as the last resort, as it has serious long-term financial and personal repercussions.
For example, declaring bankruptcy will place a default on your credit file for seven years. Your name will also appear permanently on the National Personal Insolvency Index and the Bankruptcy Register Search.
If you’re looking for bankruptcy alternatives, you have come to the right place.
Insolvency Services Australia is dedicated to providing debt solutions that are tailored to our customers’ unique situations. Because we are qualified to offer both professional bankruptcy and its alternative solutions – unlike our competitors who can only offer one or two (at most) options – you can rest assured knowing the solution you end up choosing is based on what best suits your needs, not ours.
Following is a quick breakdown of the two most popular bankruptcy alternatives available to Australians:
Debt Agreements are one of the most popular personal debt solutions for Australians who want to avoid bankruptcy.
They are legally binding agreements that you can enter into with your creditors, whereby you both agree that you will only pay back a certain amount of the outstanding debt you owe within a specified period of time.
This is a tempting option for many, as all interest on your debts is frozen from the time the Debt Agreement is accepted by your creditors. In addition, all correspondence with your creditors is handled by the Debt Agreement Administrator.
To learn more about the eligibility requirements of this bankruptcy alternative, give our Debt Agreement Administrators a call now on our toll-free hotline at 1800 003 883.
Personal Insolvency Agreement
A Personal Insolvency Agreement is another legally binding agreement that is very similar to a Debt Agreement.
However, the eligibility requirements of a Personal Insolvency Agreement differ slightly, and it requires a Registered Trustee to administer it.
Call the team at Insolvency Services Australia now for a full breakdown of the bankruptcy alternatives available to you. To avoid appearing on the Bankruptcy Register Search and suffering the other long-lasting effects of declaring bankruptcy, call our hotline now on 1800 003 883.