Approval on June 23, 2015 of Royal Decree-Law measures SECOND CHANCE.

Protecting mortgage borrowers increases. With this new Royal Decree- Law measures Second Chance are encouraged that the first step you should do the debtor is trying to reach a settlement with its creditors within two months. This agreement enables entrepreneurs, freelancers and individuals renegotiate with creditors always with the guidance of a judge. In order to apply the measures, the debtor must meet certain requirements: liquidate all its assets to deal with debts; act in good faith; satisfy credits against the estate; secured credits and 25% of the ordinary credits. If all this is true it can be applied an acquittal on the remaining ordinary outstanding debt, with no tax effect, so that those who benefit from the exemptions will not be taxed on them. Extrajudicial phase in which the debtor can try to agree with creditors to restructure its debt, supported by a bankruptcy mediator, so that the procedure meets the specific needs of SMEs and individuals is reviewed. If this option does not flourish, it will resort to bankruptcy, which may end up in the waiver of outstanding debts. If you have not been able to expand these goals, the judge may impose on the debtor a payment plan to 5 years. If the citizen is home to this option will appear for five years in a public register where citizens can check their solvency position. To prevent the second chance to affect the culture of payment of debts or made more expensive financing costs of households and firms, is limited to 10 years, often you can go to this possibility. It applies from May 2015-2017.