An informal arrangement is an agreement between you and your creditors. These agreements between you and your creditor are not bound by legislation or formalised by contract. ChapterTwo will work as an intermediary between you and your creditors to look to freeze interest on your accounts and in turn negotiate a settlement on your behalf. It is beneficial to have a professional when dealing in complicated negotiations and ChapterTwo have experienced staff who deal with creditors daily.

An informal agreement is an arrangement that is entirely between you and your creditors. With the help of ChapterTwo’s negotiation process these arrangements are made mutually between the customer and the creditor. This enables ChapterTwo to negotiate settlements that do not effect your credit rating and can reduce your debts from anywhere between 40%-80%.

An informal arrangement can help relieve debt in a number of circumstances. An informal arrangement can help you by freezing the interest on your accounts with your creditors and by negotiating a reduced full and final settlement without impacting your credit file.

This option is particularly useful if you are experiencing any changes to your current financial situation. For example if you:

– Have recently become unemployed
– Unable to work due to injury or illness
– Received a decrease in salary etc.

Our clients who have experienced a change in circumstances like these have found maintaining repayments of their debts can become very difficult. ChapterTwo would recommend an informal arrangement if your financial difficulties are only short-term, as we can set up with a short turnaround, and the agreement does not get recorded on the debtors credit file.

ChapterTwo implements informal arrangements in a unique way, helping the client from initial engagements. Our professional team contact our clients creditors and look to freeze the interest currently accruing on their accounts which gives the client much needed breathing space. ChapterTwo in partnership with Critique Private clients develop a cash-flow and budgeting plan that is implemented during this stay on their accounts.

Once a solution has been tailored to the individual, ChapterTwo will then informally negotiate a settlement on the client’s account saving them up to 80% of the original debt. As informal arrangements are not bound by legislation, ChapterTwo’s clients will avoid bankruptcy and defaults during this informal process.

Debt can be so difficult to manage as interest is continually amassing on your debt, digging you into a deeper hole if you are unable to meet your current payments. An informal arrangement makes it possible to offer your creditors a fair share of what you can afford to pay, and in many cases, any interest charges you may have will be temporarily frozen. This enables you to focus on repaying the principle debt.

A full and final settlement is what ChapterTwo can offer your creditors to allow you pay a lump sum as opposed to the full balance you owe on your debt. In return, ChapterTwo can organise for your creditor to write off the rest of the debt. Our trusted relationships with the banks allow us to offer this settlement to our clients who qualify.

People who qualify are those who are able to come up with some money or have savings available to use. Other ways to achieve a full and final settlement can be through refinancing your mortgage, which ChapterTwo can look to organise for you.

The level of settlement that can be achieved vary depending on the clients financial situation. Informal Settlements are based on how much the client has to offer to avoid formal Bankruptcy options like Part IX and Bankruptcy’s.

ChapterTwo aim to negotiate a 40 – 80% reduction based on your financial situation. ChapterTwo is able to do this by leveraging your creditors need to reduce their risk. If your creditors were to make you pay 100% when there is simply no way for you to be able to make those repayments then the decision is not commercial and both parties are affected. By using ChapterTwo, we are able to show your creditors with supporting evidence that you are willing to pay as much as you can and don’t want to default on your debt.

ChapterTwo will provide easy-to-follow steps to help you get out of debt:

– Assess your assets, liabilities, income and expenses
– Contact your creditors on your behalf and negotiate a Hardship or ‘breathing space for up to 6 months’
– Partnered with Critique Private Clients – prepare a cash-flow and budgeting report to minimise your expenses and formulate an achievable budget
– Negotiate with your creditors to settle your debts at a reduced rate
– Plan your financial future debt free!

ChapterTwo assist people with mortgage refinance that are in many different financial situations. We provide solutions for refinancing or consolidating loans to people who:

– Have been previously bankrupt
– Looking to reduce financial stress
– Have an irregular income
– Are self employed
– Have an unfavorable credit history
– Those who have existing loans
– Pensioners
– Short-term employed

ChapterTwo also provides assistance to those who want to:

• Increase cash-flow
• Merge all payments into one
• Pay off mortgage faster
• Renovate house
• Buy a new car
• Change to a home loan which is tailored to you

Put simply, it can be said that mortgage refinancing is exchanging your current mortgage plan for a new one. This is very beneficial to those wishing to pay out their current mortgage and any other debt they may have at the same time.

This loan is designed to help those borrowers with bad credit or a poor credit history to purchase or refinance a home. If you fall into this category, or have had time off work, become bankrupt, or even have a Part 10 Debt Agreement, ChapterTwo may look to refinance your mortgage and consolidate your debts to minimise your repayments, settle debts and eventually clean up your credit rating.

ChapterTwo go above and beyond to find the right solution for all of our clients. We understand that everyone and their situations are unique, and are willing to assist those who have previously been denied by a bank or mortgage broker. Why don’t you give ChapterTwo a call and see what we can do to help you.

There is a number of ways to consolidate credit card and personal loan debt. An option for you to consider is doing this by refinancing your home loan. Often, ChapterTwo can offer a mortgage refinance that is at a lower rate of interest than your personal loans or credit cards.

When you establish your debts under your mortgage through ChapterTwo, we create a simple payment scheme, combining your debts into one easy payment at a potential lower rate than you are currently paying. Our expert mortgage brokers will help you evaluate your personal situation. When you are ready to apply, or even have more questions before taking the next step, you should speak with a ChapterTwo consultant and assess your options.