The Institut national de la consommation and the Banque de France have outlined financial guidance and confidential procedures to assist individuals struggling with severe debt. When bills and credit payments accumulate beyond an individual's ability to pay, the consumer institute recommends assessing all income and expenses on its website.
The Institut national de la consommation advises listing every debt and categorizing expenses. These include daily living costs, subscriptions, and credit repayments. Comparing total expenses against income clarifies the exact financial shortfall.
As an initial step, individuals should contact their creditors directly to negotiate payment postponements or extended payment schedules. If an amicable agreement cannot be reached or proves insufficient, applicants can turn to the Banque de France.
Banque de France over-indebtedness procedure
The Banque de France provides a free and confidential over-indebtedness procedure for individuals filing alone or as a couple who are not under judicial protection. The central bank also remains vigilant regarding people under 30 years old, who are increasingly affected by over-indebtedness.
Applicants must compile a file and submit it online using a FranceConnect login or by mail. According to the Banque de France website, applicants can call 34 14 to verify with an agent that no documents are missing before mailing the file.
If a file has a thickness greater than 3, submission at a Banque de France counter is mandatory. Applicants may also choose to drop off their file at a counter voluntarily.
Personalized repayment solutions and protections
Staff members at the Banque de France review submitted files upon receipt to determine appropriate solutions. The institution can propose a customized repayment plan based on available means, freeze certain debts, or suspend legal proceedings started by creditors.
The consumer institute states that the goal is to protect applicants and help them restart on a good footing. However, applicants are warned not to take out new credit after submitting a file, as doing so risks worsening an already delicate situation.
