Wave of consumer bankruptcy after the Bankruptcy Act amendment
In June alone, 1116 individuals not engaged in business activities were declared bankrupt.
The sharp increase in the number of consumer bankruptcies is the result of changes in legislation. Previously, some of the applications were rejected due to failure to meet formal requirements. Currently, as a result of a bankruptcy petition, this will be declared, however, the court will decide on the level of the debt and the repayment plan, due to the postponement of the examination of “negative premises” (leading to insolvency or a significant increase in its degree, intentionally or through gross negligence) from the stage of bankruptcy proceedings to the stage of establishing the repayment plan already after the declaration of insolvency. (We wrote about it in the article: What changes in consumer bankruptcy?)
In the first half of 2020, 7944 consumer bankruptcies were declared. Interestingly, in the first one it was women who declared bankruptcy more often, and in the age group the most bankruptcies were declared against people between 40-49 years old.