schuldsanering

Schuldsanering is a Dutch legal mechanism designed to provide relief from unrepayable debt for natural persons. It is governed by the Wet Schuldsanering Natuurlijke Personen (WSNP) and is a court-supervised process intended to give debtors a fresh start while ensuring creditors are treated fairly. The procedure applies to natural persons (not companies) who are unable to resume regular repayments and who meet the statutory requirements for insolvency and cooperation.

To begin, the debtor files an application with the court. If the court considers the case eligible, a trustee (bewindvoerder) is appointed to oversee the process. The debtor’s income and any assets are used to fund a plan that is negotiated with creditors. The plan sets out how debts will be repaid or settled over a defined period. If the creditors and the court approve the plan, the debtor enters a formal sanering period, typically lasting three to five years. During this period, the debtor’s income is managed under supervision, and the debtor must participate in budgeting and financial guidance.

Upon successful completion of the sanering period, the remaining eligible debts are discharged, releasing the debtor from most of the obligations included in the plan. Certain debts may remain or be excluded from discharge, such as some fines, alimony or child support obligations, and other court-imposed penalties, depending on the specific circumstances and rules.

Schuldsanering is intended as a last-resort option when other forms of debt assistance have failed. It is often accompanied by financial counseling and measures to reduce the risk of future over-indebtedness. Alternatives include informal debt settlement or other budget- and counseling-based approaches outside court supervision.