New favorable regulation for public and municipal debts: Repayment in up to 60 monthly installments
The total debts amounting to €3.6 billion, incurred up to August 31, 2024, are eligible for this arrangement. The regulation is part of the Ministry of Interior's bill, submitted to the Parliament, and debtors have until November 30, 2024, to submit their applications.
Key Points of the New Regulation:
Eligible Debts: All types of debts to municipalities and their entities, registered by August 31, 2024, are included.
Repayment Terms: Debts can be settled over a maximum of 60 monthly installments, with a minimum payment of €50 per installment.
Application Deadline: Applications must be submitted to the relevant municipal office by November 30, 2024.
Debt Relief for Vulnerable Debtors: Vulnerable debtors can receive reductions of up to 95% on surcharges, interest, and fines.
Specifically:
85% reduction for repayment in 2-6 installments.
80% reduction for 7-12 installments.
75% reduction for 13-60 installments.
Debts Over €10,000: These can be managed through an out-of-court settlement mechanism, where large debts are transferred to tax offices for handling.
In Case of Default: Missing two consecutive installments or three total payments leads to termination of the agreement, and the full debt becomes due again with additional surcharges.
This regulation aims to offer significant relief to those facing financial difficulties, especially vulnerable groups, and provides a clear framework for managing municipal and public debts.
