Debt Agreements are on the rise since people around Australia are trying to avoid going bankrupt thereby protecting themselves against losing any assets.
A recent report from Sydney Morning Herald mentioned that there are almost 50000 people who had used Debt Agreement in the last 5 years.
Debt Agreement not only provides safeguarding your assets like your home or a car (over $7200), they also protect you from those harassing phone calls from the creditors and any enforcement or judgment against you an example is when your wages are garnished by banks or collection agencies.
“Debt agreements give many Australians in financial distress an alternative option to get back on their feet sooner than bankruptcy,” federal Attorney-General Nicola Roxon said in a statement previously.
According to AFSA (Australian Financial Security Authority), Debt Agreement rose to 68 percent during the period of January 1, 2007 to December 31, 2012