The new law defines the mechanisms for the settlement of a debt of the citizen as by restructuring and writing off bad debts through bankruptcy.
MOSCOW, October 1. The law on bankruptcy of natural persons came into force on 1 October. According to the Central Bank, in Russia to it have the potential to resort 400-500 thousand people.
“According to expert estimates, the potential to initiate the procedure of bankruptcy will be approximately 400-500 thousand people. The law will give an opportunity to these people once and for all solve the problem of the persecution of their creditors,” — said the Chairman of the Central Bank Vasily Pozdyshev.
The new law defines the mechanisms for the settlement of a debt of the citizen as by restructuring and writing off bad debts through bankruptcy. The law covers any types of loans: consumer, auto loans, mortgages, including loans in foreign currency.
The procedure can be started by a creditor under the following conditions: the obligations of the citizen exceeds 500 thousand rubles, it is not possible to fulfill them within the set period and the delay in payment is not less than 3 months.
The debtor to launch bankruptcy procedures is obliged to address in arbitration court with the statement within one month from the moment when he learned that he could not repay obligations to the lenders in an amount not less than 500 thousand rubles. In this case, the debtor has the right to submit such a statement in the case when the amount owed is less than 500 thousand rubles, but he understands that the available funds or does not have sufficient assets to pay its creditors.
The possibility of approval of the restructuring plan the citizen is considered by the arbitral Tribunal. The procedure will be conducted under the supervision of a professional accountant as the court may approve a restructuring plan for up to 3 years. If the restructuring is successfully completed, the citizen exits this procedure without any negative consequences or losses in rights.
If financial recovery is not possible, then a court decision can be carried out bankruptcy procedure. After the bankruptcy of the citizen is released from its obligations under the remainder of the debt that you failed to repay within the foreclosure on the property. Disposition of the assets occurs within 6 months in a single order under the supervision of the financial Manager.
Thus the citizen is unable within 5 years after that to get the credit without indicating the fact of bankruptcy within 3 years is not eligible to participate in the management bodies of legal entities.
To initiate through the court procedure financial insolvency, or bankruptcy, can as a citizen, and the lender. The lender has the right to challenge the sale by the debtor of any property for a year before it filed for bankruptcy. For the violations identified in the framework of implementation of the law, citizens can carry both administrative and criminal penalties up to 6 years of imprisonment.