Debtor and consumer insolvency advice
Are you tormented by the question: "What do I do with my debts?"
In Germany, around 3.2 million households are over-indebted, almost half of which are families with children.
Over-indebtedness is when the monthly income over a longer period of time is no longer sufficient to pay the cost of living and the bills, installments and liabilities due, despite a reduction in the standard of living.
Over-indebtedness is an extraordinary burden for the whole family. It would be wrong to simply resign yourself now, put reminders to one side and let things take their course. Instead, you should turn for advice and support to those who can really help in this situation: the debt advice centers.
Who should I contact?
Responsibility lies with the debt counseling centers.
These advice centers are usually run by independent welfare organizations (Arbeiterwohlfahrt, Caritas, Deutsches Rotes Kreuz, Diakonisches Werk, Paritätischer Wohlfahrtsverband), consumer advice centers or municipalities, joint municipalities, towns and districts.
Further information and details of the nearest debt advice center can be obtained from
- the service telephone of the Federal Ministry for Family Affairs, Senior Citizens, Women and Youth on 030 201791-30 (Monday to Thursday from 09:00 to 18:00);
- the Lower Saxony State Office for Social Affairs, Youth and Family, the branch office in Verden and your district, municipality, joint municipality and town
- the welfare organizations
and under the following links:
Which documents are required?
We recommend that you observe the following:
- Create a list of debts that is as complete as possible
- Create a list of all monthly household income and expenditure, e.g. in the form of a budget plan
- any seizure orders
- wage statements
- reminders
- Other documents relating to payment obligations
This will make it easier for the debt counselor to take stock of your current income and expenditure situation. It is also advisable to go to the debt counseling office if you have incomplete documents or are unclear about your debt situation. They will discuss and work through everything that is missing with you.
What are the fees?
Counselling in recognized debt counselling centres is free of charge for over-indebted persons, provided they are entitled to counselling assistance (determined by the insolvency counselling centres).
In contrast, commercial debt settlement agencies also charge fees; however, these cannot be covered by the state of Lower Saxony. These fees, which can sometimes be unreasonable in terms of amount, must be paid by the person seeking advice, regardless of whether the over-indebted person is entitled to advice assistance or not. In the event that you choose a commercial debt adjuster, you should find out in advance about the amount of all costs incurred and the possibility of costs being covered. This can save you money and a lot of hassle.
What deadlines do I have to pay attention to?
No deadlines need to be observed.
What else should I know?
Comprehensive information is available on the website of the Lower Saxony Ministry for Social Affairs, Health and Equality.
