Romania’s National Consumer Protection Authority (ANPC) – the only institution in Romania that deals with individual insolvencies – has reported that applications for individual insolvencies six months into 2022 are exceeding applications filed in the whole year 2021.
ANPC says it advises individuals who are unable to pay to choose the appropriate procedure that can break the financial impasse in which they may find themselves.
Insolvency is defined as a situation in which an individual no longer has the money needed to pay his or her debts (bank installments, taxes, rent and housing arrears) and is more than 90 days in arrears.
ANPC’s Insolvency Directorate offers free consultation to individuals who meet this basic condition and advise them on the most appropriate procedure, in accordance with the situation in which they find themselves: reimbursement plans, asset liquidation, or simplified insolvency.
According to ANPC, each of these types of insolvency benefits the debtors, given that, during these procedures, there is a protection against creditors: personal asset and income foreclosures are suspended, interest penalties are suspended and a reasonable standard of living is secured according to the legislation in force (minimum basket of goods and services).
Thus, ANPC urges the individuals facing such financial hardships to call on its county seat offices to identify a solution to the situation and to look for information on this subject on its website.
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