More than two billion rubles of debts of Russian citizens will be written off without the trial

The amount of debts of Russians to be written off under the extrajudicial bankruptcy procedure has exceeded 2 billion rubles since its launch in September last year. The share of initiated bankruptcy procedures in the total number of applications increased to 54%.

According to Izvestia, referring to the Deputy Minister of Economic Development Ilya Torosov, now more than 3.5 thousand Russians have been freed from debts worth 1.23 billion rubles. According to him, after the required period has elapsed, the obligations will be written off for the remaining applications.

In total, over the past year, about six thousand citizens have used the procedure.

In October, it was reported that the share of personal bankruptcies had doubled over the year. 137,485 individuals and entrepreneurs in the Russian Federation were declared insolvent by the courts in the period from January to September 2021, which is 1.8 times more than in the same period of the previous year.

The head of the Fedresusr project, Aleksey Yukhnin, believes that the development of bankruptcy of citizens as a socially-oriented procedure for writing off debt will have a positive effect on the economy.