However, it appears that Fox Symes is now acting ethically and offering debt-dealing clients a number of options, including Part IX debt contracts and the ability to refinance their debt into a home loan. If your creditors vote in favour of rejecting your debt contract, you may be able to submit another proposal. The new filing depends on the reasons for rejecting the proposal and the possibility of reaching an alternative agreement with your creditors. However, once the proposal has been rejected, the debt will be revived and your creditors will be able to resume their recovery activities against you. If no proper agreement can be reached with your creditors, you should consider alternatives such as bankruptcy. Ben Paris, of the industry`s high-level body, PIPA, denied that KPIs and bonuses endanger companies from debt agreements. He says that debtors are informed at least three times of the consequences of entering into a contract. « I am not sure that the fears about KPIs, which were present in other sectors, for example in the banking sector, are necessarily justified in the area of private insolvency, » he said in an interview. We cannot comment on whether these accusations are fair or not, given that we have no first-hand experience in dealing with Fox Symes for a debt deal.
Suppose you have an unsecured debt totalling $35,000 and you can afford to offer $125 per week to your creditors for 260 weeks, or $32,500. If the creditors accept your proposals, they also appoint us with the management of your debt contract and accept that we can keep part of the repayment for the contract management work. The amount we withdraw will be deducted from the $32,500 and it is not an additional amount or extra you pay. Once a debt contract has been accepted by your creditors, it becomes a legally binding agreement. You must start with the repayment, which is stipulated in the agreement from which your creditors receive dividends. While the agreement is in effect, the interest on your unsecured debt will be frozen and no enforcement action can be taken against you or your property. Once the terms of your debt contract have been signed, you will be free of any unsecured debt included in the agreement. 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. Let`s see an example of how it works.