More and more people are requesting (and obtaining) the total write-off of their debts, even if they are completely insolvent – that is, they have nothing to offer their creditors. The so-called ‘debt relief for insolvent debtors”, which can be invoked only once in a person’s lifetime, was introduced into the Crisis Code (Legislative Decree 14/2019) at the end of 2020 to give a second chance to citizens who have no financial means (either now or in the future) to service their debts.
Adhesions and triggers
Over five years (from 2021 to 2025), the number of applicants has grown exponentially, rising from 159 applications in 2021 to 1,166 in 2025. And the number of citizens who were granted it rose from 24 to 238.
A trend triggered…