Debt settlement is something you should take most seriously. The significance of this is that a person has such large debts that he is unable to repay them. Lenders can then go in and approve an application which means that these debts are fully or partially exempt from repayment.
Now this may sound very good, with debt settlement not so easy. If, for example, you have large debts but the lending companie considers that these can be repaid then a remediation will not be approved. Debt settlement should not be seen as a goal, but this is the last resort. A person who gets a debt settlement approved can also count on eleven at the minimum for five years, which can be very tough.
Basic requirements for debt restructuring
If there is a chance that will approve an application for debt restructuring, a number of different conditions must be met. You can read the most basic of these below.
- The debts should be so large that there is no possibility of repaying them for many years.
- The majority of the debts should be several years old. If you have new debts, it will be difficult to get an application accepted.
- Must be registered .
- Must not have an ongoing nutrition ban.
- The applicant must himself have seriously tried to cope with the financial problems.
Another thing that is good to keep in mind is that debt restructuring is something you can normally only get once in your life. In principle, you get a chance and if you do not take this it is considered that you are not entitled to several chances.