--- title: Debt Agreement Proposals to Get Out of Bad Debt description: A Debt Agreement Proposal is a saving grace for people who have fallen behind in their finances. Job loss, illness, death or even mismanaged budgets can see Aussies fall behind on their loan repayments. image: https://lanyana.revivefinancial.com.au/hubfs/Debt-Agreement-proposals-to-get-out-of-bad-debt.jpg --- [![DR-Logo---Powered-by-RF-(2021)-137x60px](https://lanyana.revivefinancial.com.au/hubfs/DR-Logo---Powered-by-RF-(2021)-137x60px.png)](https://debtrescue.com.au) Menu [Apply Online](https://solutions.debtrescue.com.au/online-assessment-form) [1800 003 328](tel:+611800003328) 1800 003 328 - [Recent Articles](https://solutions.debtrescue.com.au/articles) - [Debt Consolidation](https://solutions.debtrescue.com.au/articles/tag/debt-consolidation) - [Debt Agreements](https://solutions.debtrescue.com.au/articles/tag/debt-agreements) - [Informal Agreements](https://solutions.debtrescue.com.au/articles/tag/informal-agreement) - [Debt Relief](https://solutions.debtrescue.com.au/articles/tag/debt-relief) - [Bankruptcy](https://solutions.debtrescue.com.au/articles/tag/bankruptcy) - [Budgeting](https://solutions.debtrescue.com.au/articles/tag/budgeting) - [Business Debt](https://solutions.debtrescue.com.au/articles/tag/business-debt) - [Credit File](https://solutions.debtrescue.com.au/articles/tag/credit-file) - [Education](https://solutions.debtrescue.com.au/articles/tag/education) - [News](https://solutions.debtrescue.com.au/articles/tag/news) - [Research](https://solutions.debtrescue.com.au/articles/tag/research) - [1800 003 328](tel:+611800003328) Talk to a Professional Apply Online [1800 003 328](tel:+611800003328) Call Now # Debt Agreement Proposals to Get Out of Bad Debt Posted by [Debt Rescue](https://lanyana.revivefinancial.com.au/articles/author/debt-rescue) on Oct 15, 2012 5:37:00 AM - [Tweet](https://twitter.com/share) [![Debt-Agreement-proposals-to-get-out-of-bad-debt](https://lanyana.revivefinancial.com.au/hubfs/Debt-Agreement-proposals-to-get-out-of-bad-debt.jpg)](https://lanyana.revivefinancial.com.au/articles/debt-agreement-proposals-to-get-out-of-bad-debt) A Debt Agreement Proposal is a saving grace for people who have fallen behind in their finances. Job loss, illness, death or even mismanaged budgets can see Aussies fall behind on their loan repayments. If you fall far enough behind, you might require the use of a Debt Agreement Proposal to get back on top of things. ## Debt Agreement Proposals Explained A Debt Agreement Proposal is a suggestion from you to your creditors which offers an alternative payment arrangement than the one currently in place. In the process of entering into a debt agreement, you must submit a proposal to the creditors offering an alternative to the current payment arrangement. The Debt Agreement Proposal should reflect an achievable and sustainable arrangement based on your expected income from all sources, household expenses and circumstances. ## What to Expect from a Debt Agreement Proposal Depending on your circumstances, you could propose a number of payment options. Some of the more common Debt Agreement Proposal arrangements include: - Regular periodic payments out of your income to creditors. These can be equal to or less than the full amount owed on all the debts. - A lump sum payment of less than the full amount of all debts - A moratorium on payment of debts - Payment from the proceeds of sale of property or other major assets ![Is-Your-Business-In-Financial-Distress](https://lanyana.revivefinancial.com.au/hubfs/DR%20Blog%20CTA%20Banner%20-%20Debt%20Agreement.gif) ## Entering into a Debt Agreement Proposal A Debt Agreement Proposal must comply with a wide range of requirements set out by the Australian Financial Security Authority (AFSA). It is AFSA's job to ensure a Debt Agreement Proposal meets eligibility. It does this by clarifying aspects of proposals to ensure creditors are well informed. It also conducts the voting process with creditors. Once the Debt Agreement Proposal has been put together it is sent to the creditors to vote on. For your Debt Agreement Proposal to be approved you need to gain the vote of creditors who hold more than 50% of the value of your debt. Once you have their approval, all creditors are bound to the agreement, even those who voted against it. Once you have successfully entered a Debt Agreement Proposal creditors cannot take or continue recovery action against you, so no more harassing phone calls. ## Where to Go for Help Debt Rescue is a specialists debt management company with a focus on helping Aussies out of Debt. It offers a range of debt relief solutions including Debt Agreement Proposals. For more information on Debt Agreements, its benefits and [consequences](https://lanyana.revivefinancial.com.au/articles/part-9-debt-agreement-consequences) or for general assistance with your debt, call Debt Rescue today on [1800 003 328](tel:1800%2000%203328) and Talk to An Aussie Who Cares. For more information on Debt Agreements and how they can help you find financial relief, check out our [Debt Agreement page.](https://debtrescue.com.au/debt-agreement/)  Topics: [Debt Agreements](https://lanyana.revivefinancial.com.au/articles/tag/debt-agreements) ## More Articles - Recent Articles - Debt Consolidation - Debt Agreements - Informal Agreements - Debt Relief - Bankruptcy - Budgeting - Business Debt - Credit File - Education - News - Research ### Subscribe Here! ### Get the Latest Debt Free and Budgeting Advice straight to Inbox Free ### Recent Posts ### If you are in too deep with debt, we here to rescue you. We have the right solution for your situation. Contact us today. No obligations, just solutions! ## Talk to an Aussie who cares. 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Liability limited by a scheme approved under professional standards legislation. ## What Kind of Debts Do You Have? ![](https://debtrescue.com.au/wp-content/uploads/2020/11/Credit-card-icon.png) Credit/Store Card ![](https://debtrescue.com.au/wp-content/uploads/2020/11/Personal-loan-icon.png) Personal Loan ![](https://debtrescue.com.au/wp-content/uploads/2020/11/Pay-day-loan-icon.png) Pay Day Loan ![](https://debtrescue.com.au/wp-content/uploads/2020/11/tax-debt-icon-green.png) Tax Debt ![](https://debtrescue.com.au/wp-content/uploads/2020/11/Unitilties-Icon.png) Utility Bill ![](https://debtrescue.com.au/wp-content/uploads/2020/11/other-icon.png) Other Please select at least one type of unsecured debt. Next ## How Much Money Do You Owe? $10,000 $1,000 $100,000+ Next ## Find Out How To Reduce Your Debt ### Your First Name ### Your Last Name ### Your Email ### Your Phone Phone number must be 10-digits long and begin with a 0. (e.g. 04 1234 5678) ### Your Post Code Post code must be 4-digits long (e.g. 4567) Some of your details appear incorrect. Please update the highlighted fields and re-submit. Submit ## Congratulations! ### You've taken the first step to becoming debt free Let's keep the momentum going and complete our assessment form to receive an instant debt analysis. [Start Instant Assessment](https://solutions.debtrescue.com.au/online-assessment-form) By submitting this form you acknowledge that you have read and accept our [Privacy Policy](https://lanyana.com.au/privacy-policy/)