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Debt Agreement Cancellation

What constitutes a six month arrears default?
A six month arrears default may occur in one of two ways:

1-A debtor has made no payments for six months after a payment is due. Note this needs to be a continuous period of no payments for six months.
2-The debt agreement has continued for six months past the completion date and the debtor has not completed all payments and obligations.
1. or 2. above occurring the debt agreement will be in ‘six month arrears default.’ It is therefore an important duty of the administrator to notify the Official Receiver of this occurrence.

The six months arrears default occurs on the day immediately after the expiration of the six month period ie 6 months and one day. See practical examples below.

How to measure ‘6 months’
The six month time period is not to be measured or converted to days or weeks. The six month period is only to be measured in calendar months. See practical examples below.

In cases where the last day for making a payment in the six calendar months fall on a public holiday the six calendar month period is extended to the next working day.







Person proposing termination







Report from Debt Agreement Administrator
Please complete from a current administrator status report.

Date of administrator status report (not more than two months old and not a three month arrears default report)













YES


NO


NOT APPLICABLE

If no, please provide details

Has the debtor made arrangements to catch up arrears?

YES


NO


NOT APPLICABLE


Debtor/Creditor/Authorised Officer of Creditor I understand that where a debt agreement is terminated:
• the debts are reinstated after taking into account payments made under the debt agreement; and
• the debtor no longer has protection under the Bankruptcy Act and creditors are entitled to take action to recover their debt.





Return to Australian Financial Security Authority
PO Box 10443 Adelaide Street
Brisbane
Queensland 4000
Phone 1300 364 785 Fax
07 3360 5494 Email
debtagreementservice@afsa.gov.au

Explanatory Statement
Please indicate the reason for proposing this termination and provide information creditors should know.





Yes


Yes


Yes


Yes


Yes



Yes


Yes


Yes






Supporting statement








Changes in creditor name or address since debt agreement commenced
Creditor name on debt agreement proposal

Creditor name on debt agreement proposal


Nature of debt


1 CURRENT CREDITOR NAME


1 Current Creditor Postal Address / Email Address

2 Creditor name on debt agreement proposal


2 REFERENCE NUMBER


2 CURRENT CREDITOR NAME


2 Current Creditor Postal Address / Email Address

3 Creditor name on debt agreement proposal


3 REFERENCE NUMBER


3 CURRENT CREDITOR NAME


3 Current Creditor Postal Address / Email Address

4 Creditor name on debt agreement proposal


4 REFERENCE NUMBER


4 CURRENT CREDITOR NAME


4 Current Creditor Postal Address / Email Address

5 Creditor name on debt agreement proposal

5 REFERENCE NUMBER


5 CURRENT CREDITOR NAME


5 Current Creditor Postal Address / Email Address

Debtor/Creditor/Authorised Officer of Creditor I declare that the particulars set out in this statement are correct. Offence:
Section 267 of the Bankruptcy Act provides that a person must not sign a declaration that the person knows to be false.
Penalty:Imprisonment for 12 months





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