Debt restructuring despite bankruptcy is never easy. This applies both in the event that there is a private insolvency and that there is a regular insolvency after a company has given up. During the good conduct phase, which lasts six years in Germany, all amounts of money that exceed the attachment limit must be paid to the officially appointed insolvency administrator.
Once the end of the good behavior phase has been reached, this does not mean that the person concerned is creditworthy again. The bankruptcy and the remaining debt relief will be recorded in the private credit checker for three years and only then will it be finally deleted. In addition, debt restructuring despite bankruptcy can have significant consequences. If you take out a loan during this time, you may be punished.
Requirements for debt restructuring
For rescheduling, similar requirements apply as for any other installment loan. This includes not only a regular and secure income, but also a neutral or positive private credit checker information. Even if the insolvent debtor’s income is sufficiently high, it is not available as collateral for borrowing. The debtor can only dispose of the unenforceable part of his income and must pay the rest to his insolvency administrator.
This passes the money on to the creditors. A attachable salary is just the prerequisite for receiving a loan in Germany. It doesn’t look much better with a foreign loan. In most cases, foreign lenders do not learn of the bankruptcy, but they will quickly learn that the income is by no means sufficient to pay regular loan installments.
Pay off loans and merge loans
The desire to release all existing liabilities and replace them with a new loan is more than understandable. However, neither a private nor an institutional lender will agree to reschedule despite bankruptcy, as in this case they have no certainty that they will ever see their money again. Lending despite bankruptcy would be a complete blank check.
If you can find a person from your private circle of friends, relatives or acquaintances who lends him a large amount of money, you should definitely take this opportunity. However, this procedure would only make sense if the loan amount is so high that all outstanding liabilities can be paid off and the insolvency proceedings can be ended.
A personal loan is usually the only chance to realize debt restructuring despite bankruptcy without having to fear legal consequences. Individual agreements can be made about the repayment. However, they should also be adhered to, regardless of whether the loan is to be repaid in installments or later in an amount.