Yes, creditor agencies can enter into a payment agreement with a debtor at any time. However, the debt will still be eligible for offset unless the creditor agency inactivates the debt. To do so:
The debt will still sync between KDRS and KTOP, but it will no longer be sent to TOP for collection against federal payments. If at any point the debtor defaults on their payment plan, the creditor agency can resume sending the debt to TOP by following the same steps listed above and selecting "Yes" for step 3.