Debts of 32 billion euros have been settled

Debt settlements of more than 32 billion euros were made by banks and management companies from July 2019 until the end of last September.

At the same time, more than 2,250 applications were successfully completed for arrangements through the old legal framework of the out-of-court mechanism concerning, in addition to debts, loans, and debts to the State and the insurance funds.

Although the pandemic slowed down the pace of overdue debt settlement, according to the Special Secretariat for Private Debt Management, many rushed to take advantage of the previous out-of-court settlement.

In addition, the first 24 regulations under the new regime were recently announced, which include debt cuts and repayment in installments even over a period of twenty years! Another 36,000 debtors have started the integration process, who are waiting to catch their breath.

It is noted that the adjustment for those who meet the criteria is done through the automated process based on an algorithm.

Direct adjustment

However, the number of debtors who settled directly with banks and debt management companies is higher.

Specifically, in the period from July 2019 until the end of last September, a total of 563,823 loans of all types (housing, business and consumer) were regulated. Most of the loans that were settled concerned the category of mortgages, with their value reaching 13.6 billion euros. It is followed by business loans – almost 61,000 loans with a total value of 13 billion euros – while consumer loans that were settled amounted to 5 billion euros and a total of 303,226 loans.

At the same time, at 5,378 are the cases of the Katselis law that have received new court dates and have been defined and registered by the justices of the peace. Of the 49,031 applications submitted by July 15, 2021, which concerned the re-determination of the date of the trial, 38,298 have already been completed and have been notified to the parties.