German Private Insolvency Offers Path Out of Debt
Private debt has increased significantly in recent years. In North Rhine-Westphalia alone, over 1.8 million dunning procedures for over-indebtedness were recorded last year. However, only about 25,000 people sought a way out through private insolvency. The proposed changes aim to simplify the process for creditors, who will now only need to object to errors rather than approve every detail. The reforms will also expand eligibility to include self-employed individuals after they have ended their business activities. The German government's proposed reforms to private insolvency laws have garnered support from consumer advocates.
Topics
Developing
- 862d Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore.
- 862d Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur.
- 862d Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est.
- 862d Sed ut perspiciatis unde omnis iste natus error sit voluptatem accusantium doloremque laudantium.
Sources · 7 independent
WDR 5
“Private Überschuldung hat in den letzten Jahren immer mehr zugenommen. Allein in Nordrhein-Westfalen gab es im vergangenen Jahr gut 1,8 Millionen Mahnverfahren wegen Überschuldung. Den Ausweg über die Privatinsolvenz suchten aber nur knapp 25.000 Menschen.”
WDR 5
“Zustimmung findet die Regierung mit ihren Plänen bei Verbraucherschützern. Anwalt Christoph Zerhung. für die Gläubiger. Die müssen nämlich bislang jede Angabe überprüfen und abnicken. Künftig sollen sie nur noch widersprechen, wenn sie vermeintliche Fehler entdecken.”
Unlock the full story
Get a Pro subscription or above to see the live story progression and the full list of independent sources confirming each event as they happen.
Log in to upgrade