Interbank Debt Relief Plan (IDRP)
Interbank Debt Relief Plan (IDRP)
In Hong Kong, having multiple debts to handle is very common, that’s why effectively debt management is always a wise choice. A person may have to deal with property mortgages, car loans, credit card loans all at the same time. In addition to the amount of repayment that will put immense pressure on your daily life, servicing your debts can prove to be chaotic. Therefore, an IDRP in HK may be suitable for you and prove to be an effective way to ease your burden.
The Interbank Debt Relief Plan (IDRP) is very similar to the DRP Plan. The most significant difference is that the latter requires a submission of repayment proposals to individual creditors. In practise, it may even be necessary to formulate different proposals in order to obtain an agreement from all parties. It will take time and effort to modify and negotiate back and forth, as well as spending a lot of energy to deal with issues arising from a drawn-out process. Luckily, the Interbank Debt Relief Plan for Hong Kong individuals is a much simpler way forward.
What is Interbank Debt Relief Plan (IDRP)?
An Interbank Debt Relief Plan is more direct, convenient and comprehensive. It only requires the need to negotiate with the largest creditor on the list and agree with them on the terms of repayment. Then the largest creditor will act as a consolidator and deal with the other creditors involved. After an agreement is reached, the largest creditor will unify all debts owed by the debtor.
As a result, the debtor only needs to repay the negotiated amount to the largest creditor with the fixed interest, fixed amount and the agreed schedule. There is no need to negotiate separately with individual creditors, and you do not have to repay the debts owed to each party one by one, which is more convenient and manageable.
Interbank Debt Relief Plan (IDRP) Hong Kong Application Procedures
Being a professional debt restructuring company in Hong Kong, IDRP is one of our core services. Our expert team will first understand the debtor’s financial situation and repayment ability. After that, we will formulate a suitable repayment plan on their behalf, and set a monthly repayment amount that the debtor can manage that will not affect their everyday life too severely. We will also help the debtor to establish a repayment schedule to help the successful repayment of all debts within a reasonable timeframe.
After that, we will present and negotiate the details of the proposed repayment plan with the largest creditor on your behalf, and formulate a final plan that meets the requirements and interests of all parties involved. Once agreed, the largest creditor will proceed to obtain the consent of other creditors, and then the plan can be implemented.
Benefits of Interbank Debt Relief Plan (IDRP)
• Applicable when 1 creditor or more is involved, which means you can apply in any circumstance
• Applicable for a total debt amount that is less than HKD100,000 (must constitute more than 10 times of your monthly income)
• Suitable for individuals employed in sensitive industries or occupations (such as professionals, banking professions)
• Option to restructure just part of total debts
• Short application time
• Lower cost as there is no associated lawyer and accountant fees
• Significantly reduces the interest payments
• Allows retaining some credit cards or credit accounts
Let our team provide you with professional advice to help alleviate your debt pressure so that you regain a normal life. Call us today for more details on IDRP Hong Kong services.