On March 10, 2025, State Duma deputy Nikita Chaplin, who is also a member of the Budget and Taxes Committee, clarified the conditions under which debt relief will be available to citizens this year during his interview with RT. The deputy explained the absence of the traditional notion of 'credit amnesty' within Russia, highlighting the unique nature of the country's regulations surrounding financial hardships.
Chaplin emphasized the prevailing legal framework—the law on personal bankruptcy—which affords individuals plagued by debt the chance to cleanse their financial slate. Every citizen, regardless of the size of their indebtedness, can pursue judicial bankruptcy if they find themselves incapable of repaying their debts.
"The law on bankruptcy for individuals provides a real opportunity to get rid of unaffordable debts," Chaplin stated, underlining the accessibility of the judicial bankruptcy process.
The process of judicial bankruptcy is detailed and systematic, comprising several stages: documentation gathering, application submission to the court, the appointment of a financial manager, who oversees the liquidation of the debtor's assets to settle outstanding debts, and finally, the writing off of remaining debt. This structured approach ensures both the creditors and the debtors are treated fairly throughout the process.
During this interview, Chaplin noted the costs associated with the judicial bankruptcy process can fluctuate significantly, ranging from 100,000 to 200,000 rubles, which is largely influenced by the debtor's available properties slated for liquidation. This cost factor can deter some individuals from pursuing legal bankruptcy due to its financial burden.
Further reflecting on legislative changes, Chaplin revealed amendments made to the bankruptcy law last year, 2024, which have expanded the possibilities for extrajudicial bankruptcy. Such amendments are important, as they grant access to debt relief procedures to larger segments of the population.
To qualify for extrajudicial bankruptcy, specific conditions must be met. The total amount of debt must fall between 25,000 and 1 million rubles, and there should be no assets available for seizure to cover the debts. It is also requisite for all enforcement actions against the debtor to be concluded before they can seek this type of relief. "Conditions for extrajudicial bankruptcy are already well defined," he pointed out.
For those individuals whose enforcement actions have been pending for over seven years, there exist more lenient conditions. Notably, for pensioners and recipients of child benefits, the enforcement proceedings must last longer than one year and must remain unresolved for eligibility to apply for the quicker and less costly extrajudicial bankruptcy process.
To initiate this process, applicants are required to visit their local Multidisciplinary Center (MFC) to file the appropriate documentation. Following the submission, the authorities will conduct necessary verifications before reaching a decision on debt discharge.
Chaplin also touched upon support measures being put forward, especially for mobilized service members and those involved in military operations, reflecting growing societal concern over the economic pressures these groups face. Accessing relief measures like credit vacations for soldiers is just one of the various protections laid out to support this vulnerable demographic.
Overall, these legal adjustments represent significant social policy shifts aimed at offering more substantial aid to individuals grappling with unmanageable debts. While the specter of bankruptcy remains fraught with challenges and intricacies, these avenues for debt relief are increasingly becoming accessible to many Russians struggling financially.
Earlier discussions within the State Duma highlighted the growing number of social benefit increases set to be implemented throughout 2025, aligning with the government’s broader strategy to alleviate economic stress among its citizens. These highlights signal not just reactive measures to the debts faced by individuals but also proactive steps toward bolstering financial stability and security for many households.