If you have the right to submit a proposal, Fox Symes will assist you in your documents and provide you with relevant information and documents that you must read and sign. We will need your help as you must provide us with information and documents. We`ll tell you what we need, and that includes copies of your current pay slips, bank statements, rent certificates or mortgage payments, etc. For a proposal to be accepted, AFSA must obtain “yes” votes from the majority of your creditors, who owe at least 50% of their total debt to each other. Even creditors who vote against the debt agreement are bound to it, provided the required majority has voted “yes.” We will act as your new debt agreement manager. This means that Debt Busters will use our respected position to ask your creditors to reconsider your proposed debt contract. You can spend less time worrying and making more time with a change. Contact us today to start the process. This is only a short guide and it is recommended that you consult a financial advisor to discuss the best option for you in your circumstances. See fact sheet: Broker for debt agreements and fact sheet: Get help for a list of additional resources. If the proposed debt agreement is adopted by the creditors, you must respect the agreement and ensure that it is concluded on the date indicated in the proposal. All unsecured creditors have the right to vote.
A secured creditor can only vote for an unsecured portion of its debt. For example, if you have a guaranteed loan for a car for which you owe $24,500 and your car is valued at $19,000, the secured creditor has the right to vote on the unsecured portion of that debt. In this example, it is $5,500. This is due to the fact that the value of your car is less than the amount you owe and that this part or lower amount is considered an unsecured debt. If you sign up for your debt contract that will be repaid, you will be free of most of your unsecured debts, which is a toxic debt. Compare how this works if you continue to make payments on your credit cards. Like many people, you can only pay the minimum monthly refund on your credit cards. This way, you will find that it takes years to pay off your debts. Take a look at the moneysmart site (moneysmart.gov.au). It shows how $1,000 on your credit card can be converted into an 11-year loan because the amount you need flows slowly and you pay a large amount of interest.
Fox Symes charges an administration fee for managing your debt contract for the duration of your contract. By law, these fees must be expressed both in dollars and as a percentage of the payments you must make once the debt contract is accepted.