Similar to a debt agreement, a Part X personal insolvency agreement is a way of organising an affordable, legally binding agreement with your creditors (people you owe money to) through a formal proposal. The benefits of a Part X may include:

• Releasing you from your debts.
• Freezing interest rates.
• Paying less then the full amount that you owe.
• Stop payments for extended periods of time.
• No more harassing phone calls from debt collectors.
• Making affordable payments on your debts.
• Help protect your property against repossession.

A Part X is not the same as becoming bankrupt it is an alternative to bankruptcy, however some people consider a Part X to be an “act of bankruptcy”. A Part X does not impose the same restrictions or penalties as bankruptcy does.

Your personal Insolvency Arrangement under Part X and your proposal are both registered on the National Personal Insolvency Index (NPII).

To find out more or to see if you are eligible for Part X click here.