Accept a loan that the bank offers us when we do not need it, pay the holidays in installments and spend a whole year remembering those fifteen days, not for how happy they were but for the monthly receipt of the card -which includes their corresponding interests – or requesting a microcredit for an emergency are, in most cases, examples of mismanagement and lack of foresight.
But excessive indebtedness is not just the fault of the one who asks for the credit
Many entities offer financing with few solvency requirements but high interests. Accepting this type of credit can become a real snowball that ends the debtor in ruin. The poor financial training of the Spanish population in general, the insufficient habit of saving and a consumer society that often pushes us to make unnecessary expenses are three other factors that determine the financial problems of many families.
But there are also perfectly cautious and rational people who have been surrounded by debts. Do not forget that during the past crisis millions of people lost their jobs, hundreds of thousands of small businesses and freelancers had to close and were left with almost nothing.
It is time to cheat on someone else’s head and order our finances if we are in any of these situations
- We want to reunify the debts, but without borrowing more.
- We want to pay debts but we don’t find solutions.
- The banks offer us no solution.
- We cannot cope with the mortgage.
- We have several credits and we don’t reach the end of the month.
- We have delivered the flat to the bank and we still have a debt.
- We have a debt to Social Security.
- We are being seized by payroll for non-payments.
The Second Opportunity Law was born, as its name implies, so that freelancers and families could have another opportunity to channel their lives, not lose everything and start over.
Total cancellation of the debts or their reunification with lower interests and longer payment term
Following the Second Opportunity Law, a legal process will begin that consists of two parts.
- An extra judicial phase where debts can be reduced, that is, cancel a portion of the debts, up to 50% on most occasions. The percentage that will be pending may be deferred up to a maximum of 10 years, in this way the debtor will have a new quota that can be assumed according to his economic situation. The procedure could be closed at this stage ensuring that the assets of the self-employed person will not run any risk of sale or auction.
- If this is the case, the second phase is the judicial process, where you can get the total exemption or cancellation of debts. In this second case it is also possible to safeguard the assets, if we can demonstrate that they are necessary to continue the commercial activity. If the mortgage payments on the home are up to date, the house will not run any risk.