Informal Arrangement Case Study
Sharon was a single mother with two children. She worked full time. Sharon had a personal loan for $10,500 and a credit card with an outstanding balance of $15,500. Sharon had a history of always paying the minimum monthly payment on her personal loan and credit card each month by its due date.
Due to a restructure at work, Sharon was no longer able to work overtime.
Due to the loss of overtime job Sharon was finding it increasingly difficult to pay the minimum monthly payment on both her personal loan and credit card. She was falling behind with her repayments.
Sharon approached Fox Symes for assistance. Fox Symes contacted both of her creditors and explained her position. Fox Symes negotiated a workable solution for Sharon.
With the assistance of Fox Symes the banks (her creditors) agreed to provide Sharon with a 3-month moratorium. That meant that for an agreed 3 month period Sharon was not required to make any monthly repayments towards her personal loan and credit card. This 3 month moratorium provided Sharon with enough time to find a part time job.
Sharon found a part time job and recommenced her minimum monthly repayments to the banks. She had avoided falling further into arrears and possibly having her credit rating affected. What Sharon learnt was, once creditors are contacted and are informed of your financial position, many, when aware of genuine financial difficulties, will assist.
More information on Informal Arrangements
Fox Symes can assist you negotiate an informal arrangement. We have excellent working relationships with all institutional creditors. We are able to assist you in preparing a proposal to your creditors and will then liaise on your behalf with your creditors.
Fox Symes is the largest provider of debt solutions to individuals and businesses in Australia. Fox Symes helps over 100,000 Australians each year resolve their debt and take financial control.
If you are in debt and want to know more about the solutions available to you contact us on 1300 098 127 or fill out the short contact form.