Sometimes they are sold as debt consolidation loans, which is a bit misleading. Some Part IX debt agreements may contain elements of debt consolidation, but each agreement varies depending on personal circumstances. You will likely also need to provide complete documentation to prove that your circumstances have improved and that you are on your way to good credit. These may include pay slips, declarations/taxes, credit or credit card notes, proof of residence and usual application conditions. Lenders will check your documents to assess if you have a low risk to which you can lend. Someone should only consider a debt deal if they have looked at all the other options they have. It`s important for someone making a deal to understand the terms, including the serious consequences the debt agreement can have on your credit history and your ability to get credit. Your Debt Fix advisor will help you every step of the way to ensure your credit application has the best chance of success. The normal process is as follows. Next, you want to find a car seller and a lender that is an authorized credit lender under the National Credit Act. If you want to work with a dealer and licensed lender, it`s because your car payment history can be added to your credit information.
As long as you make your payments on time, it can help improve your credit and allow you to get credit elsewhere after your Part 9 debt agreement has been completed. A contract under IX Debt is a binding contract between you and your creditors and is supervised by a credit information service. This means that you agree to repay a fixed amount to your creditors within a set period of time before the debt is paid. This type of agreement is an alternative to complete bankruptcy and is made between you and your creditors (through an administrator) if you cannot afford to pay off your debts. Your creditors agree to receive a sum of money that you can afford to repay. In general, interest and fees are frozen while you pay off the main debt….