The task of the household debt commission is to seek solutions for individuals who find themselves facing excessive debt or are suffering from a sudden loss of earnings.
According to the extent of the financial difficulties facing the debtor, the commission may direct the debtor towards:
- a mutual agreement based on the negotiation of a contractual recovery plan acceptable to both the debtor and the creditors
- or, personal recovery proceedings, or a declaration of civil bankruptcy if the debtor is in a hopelessly compromised situation
Who can benefit?
Means tested. Household income should not exceed an upper limit depending on location of the property and the size of the family.