Over- indebtedness, or more correctly the procedure for settling the over-indebted crisis, is a procedure introduced by law no. 3/2012 and implemented by a recent ministerial decree that for the first time in Italy protects debtors. Thanks to over-indebtedness, in fact, it is possible to reduce one’s debts consistently (over 60%) and start again zero thanks to the debit. All non-fallible subjects can access the over-indebtedness procedures. That is all consumers, small businesses, sole proprietorships, etc., in addition to agricultural businesses regardless of their size. Regulatory sources

  • Law n. 3 of 27 January 2012
  • DM 202/14 of 24 September 2014
  • Royal Decree 267 of 16 March 1942

What is it

What is it

It is a debt restructuring and credit satisfaction agreement (in any form) based on a crisis settlement plan. The proposed agreement (if correctly reached) is approved by the judge and binds the creditors.

Because it’s useful

Because it

  • It allows the debtor to free himself from the pressure of unsustainable debts bringing them back to what can actually be paid in the current economic situation: the debtor can get the creditors to be satisfied with what he can actually pay: the amount of the debt that cannot be paid, to the end of the procedure, it will be debited, that is canceled with full rehabilitation of those who benefited from Law 3/2012 (provided the agreement is respected)
  • With the decree opening the procedure the precautionary or executive actions are suspended (eg auction house).
  • Consumers do not need to reach agreement with creditors.
  • It is also valid for canceling debts with EasyTall and the State.

Who can request it

Who can request it

The procedures concern:

  • Consumers (all).
  • Agricultural entrepreneurs (all).
  • Entrepreneurs and companies not subject to bankruptcy (small companies, professionals, sole proprietorships, etc.) as regulated by Royal Decree 16/03/1942 number 267 (bankruptcy law).