Debt Contract Template

This debt settlement agreement the agreement states the terms and conditions that govern the contractual agreement between company having its principal place of business at address the debtor and company having its principal place of business at address the creditor who agrees to be bound by this agreement.

Debt contract template. Often a debtor finds themselves unable to pay the full amount of a debt that they owe to a creditor. A debt agreement contract is a formal document that specifies the terms limitations and scope of the discussion that a debtor and a creditor has agreed upon. This is usually in the case when an individual wants to make a final payment for a debt that is owed. Interest shall accrue on the unpaid balance of the loan at the rate of xx percent per annum compounded monthly.

Both agree that the loan is a debt owed by the borrower and will be paid to the lender. I will not entertain offers for 1 penny less. A debt agreement is a binding agreement between you and your creditors and falls under part ix of the bankruptcy act 1966. Debt agreement contract template.

The average cost of me having the contract drawn up by a very discreet lawyer is 225. The parties agree that this sum is a debt owed by borrower to lender. Just like when using sample letter of agreement examples and general partnership agreement samples it is essential for you to make sure that you are fully aware of the documents content. The debt settlement agreement is a contract signed between a creditor and debtor to re negotiate or compromise on a debt.

Under a part ix debt agreement your creditors agree to accept an amount of money that you can afford to pay over a set period of time to settle your debts. The lender has loaned to borrower the amount of on the date of. This agreement for a settlement of debt owed shall be binding upon all parties including the debtor and creditor as well as their successors heirs and assigns. Due to the lawyer costs and effort i have to put into this as it is usually for a lengthy period of time the legal debt contract starts at a minimum of 12000.

A debt settlement agreement is a document used by a debtor the person who owes money or creditor the person who is owed money to resolve an outstanding debt that is owed. Interest shall accumulate on the unpaid balance of the loan at a rate of apr and compounded monthly. Debt agreement party a hereafter known as lender has given to party b hereafter known as borrower the sum of on mmddyyyy. A debt agreement also known as a part ix 9 is a legally binding agreement between you and your creditors.

The debtor offers a payment that is less than the outstanding due. Debt settlement agreement template. A debt agreement is one of two agreement options available.