Document background
The Agreement To Pay Debt In Installments is a crucial document used in the Philippines when parties wish to restructure or formalize the repayment of an existing debt through periodic payments. This agreement type is commonly used in various situations, from business transactions to personal loans, where the original debt terms need to be modified or where an informal debt arrangement needs to be formalized. The document must comply with Philippine civil law, particularly the Civil Code of the Philippines and the Truth in Lending Act. It typically includes essential details such as the original debt amount, payment schedule, interest calculations, and default provisions. This agreement provides legal protection for both creditor and debtor by clearly documenting the mutually agreed terms and creating an enforceable contract under Philippine jurisdiction.
