While the two deals have many similarities, there are a few important differences, see below: Creating a DRP can help you by allowing you to pay off your debts in an easier way, without the stress of the collection companies you contact. An informal agreement is debt negotiation and restructuring for those facing financial difficulties. It is a question of reaching the creditors and adapting the initial conditions for the benefit of both parties. The main advantage of an informal debt agreement to the debtor is that it does not affect the debtor`s creditworthiness and does not affect the debtor`s credit history. Debt Negotiators provides support and advice in debt management throughout Australia. Financial advisors can also help you understand the impact of insolvency and debt agreements. Results may vary depending on the type of debt to be restructured. It is also possible to negotiate a lower interest rate if the debtor is unable to pay the debt. We negotiate on your behalf with your creditors and establish an informal payment agreement that results in a regular and affordable payment plan. Creditors can agree to cancel all future interest, consolidate your outstanding amounts, and agree to a reduced debt settlement so you can pay a single, manageable interest rate until your debts are completely written off. Contact us now at 1300 368 322 for useful and specialized financial advice on your debt relief solutions.