Debt mediation

Debt mediation is a process where an intermediary — often an independent body or specialized mediator — helps to find a solution to a person or company's debts. The aim is to reach an agreement between the debtor and are creditor (s) with a view to affordable and attainable debt repayment without the need for legal action. This can be done, for example, through an installment plan or through debt restructuring. Debt mediation is voluntary and takes place without court intervention. This method differs from a collective debt settlement, which does involve legal proceedings and where the debtor's income is fully managed by a professional debt mediator.

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