Debt Relief & Personal Insolvency in France (2026): How It Works
France's main personal debt-relief procedure is the 'procedure de surendettement des particuliers' (personal over-indebtedness procedure). It is run by the 'commission de surendettement', an administrative body operating under the Banque de France. Any individual in France who cannot meet personal debts and acts in good faith may file a dossier. Depending on the debtor's situation, the commission can impose a repayment plan of up to 7 years or -- when the situation is irretrievably compromised -- recommend a full discharge of debts ('retablissement personnel'). The official authority is the Banque de France (banque-france.fr); the procedure is described in detail on service-public.gouv.fr.
What it is called
The procedure is formally called the 'procedure de surendettement des particuliers' (personal over-indebtedness procedure). It is governed by the French Consumer Code (Code de la consommation, articles L711-1 to L771-12). The administrative body that manages each case is the 'commission de surendettement des particuliers', which operates under the authority of the Banque de France. There is no separate French insolvency court for consumers -- the commission handles most decisions administratively, and the 'juge du contentieux de la protection' (formerly juge d'instance) becomes involved only in the 'retablissement personnel avec liquidation judiciaire' phase or if a decision is contested. Source: service-public.gouv.fr/particuliers/vosdroits/F134 and F1946.
Who can use it
To be eligible a person must meet four conditions verified by the commission de surendettement (source: service-public.gouv.fr/particuliers/vosdroits/F134): 1. Be a natural person (not a company or legal entity). 2. Be a French national (anywhere in the world) OR a foreign national residing in France. 3. Be genuinely unable to meet personal or household debts -- whether current or future. Note: purely professional debts of traders are handled separately through commercial insolvency; the surendettement procedure covers personal debts and debts that were personal guarantees. 4. Act in 'good faith' (bonne foi) -- the debtor must not have deliberately placed themselves in a position of inability to pay. There is no minimum or maximum debt threshold. Eligible debts include bank loans, mortgage arrears, consumer credit, rental arrears, utility arrears, and personal guarantee obligations. Self-employed people and former traders can sometimes use the procedure for their personal (non-professional) debt, but this is assessed case by case.
How the process works
The procedure has two main phases: an admissibility phase and an orientation/treatment phase. All information below is sourced from service-public.gouv.fr/particuliers/vosdroits/F134, F1946, F16982, F1947, F16978, and F34463. Step 1 -- File a dossier at the Banque de France. The debtor submits a completed form (Cerfa n 13594) online, by post, or in person at a Banque de France branch. Within 2 business days the debtor receives a filing acknowledgement. On filing, the debtor's name is automatically registered in the Fichier des incidents de remboursement des credits aux particuliers (FICP). Step 2 -- Admissibility decision. The commission has 3 months from the filing date to decide whether the dossier is 'recevable' (admissible). During this period the debtor may request a suspension of forced sales or eviction. If the dossier is rejected, the debtor may contest before the juge du contentieux de la protection. Step 3 -- Debt assessment and orientation. Within 3 months of the admissibility decision, the commission draws up a detailed statement of debts (etat detaille des dettes), calculates the debtor's living budget (budget vie courante -- which may not fall below the RSA minimum income threshold), and chooses one of four orientations: (a) Plan conventionnel de redressement -- if the debtor owns real estate and has some repayment capacity. The commission drafts a repayment plan and notifies all creditors by registered post. Creditors have 30 days to object (silence = acceptance). Duration: up to 7 years maximum (longer only if measures relate to the primary residence mortgage or enable full repayment while preserving the home). The plan may include rescheduled payments, debt remission (with creditor consent), interest reduction, and conditions such as changing housing if rent is disproportionate. (b) Mesures imposees -- if the debtor has no real estate, or if an attempt at a plan conventionnel fails. The commission imposes measures on creditors without their agreement. Duration: up to 7 years maximum (same exceptions as above). Measures can include debt rescheduling, capital priority repayment, interest rate reduction, and -- crucially -- a payment suspension of up to 24 months (not applicable to maintenance/alimony). If the debtor cannot repay anything even under these measures, the commission moves to a retablissement personnel. (c) Retablissement personnel sans liquidation judiciaire -- if the situation is 'irremédiablement compromise' (irretrievably compromised) and the debtor owns only items necessary for daily life or professional use that have no resale value. The commission proposes this to the debtor and notifies creditors by registered post. Creditors and the debtor have 30 days to contest. If uncontested, the commission confirms the discharge and all qualifying debts are erased. If contested, the case goes to the juge du contentieux de la protection, who may approve the discharge, order liquidation with the debtor's consent, or refer back to the commission. (d) Retablissement personnel avec liquidation judiciaire -- if the situation is irretrievably compromised but the debtor does have some assets with resale value. This requires the debtor's written consent. The commission refers the case to the juge du contentieux de la protection, who appoints a mandataire (court representative). The mandataire conducts a 6-month social and economic inquiry. A liquidator is then appointed to sell assets within 12 months. Protected from sale: items necessary for daily life, items without resale value, and professional necessities. After liquidation, the judge pronounces the discharge.
How long it lasts and the outcome
Timelines (all sourced from service-public.gouv.fr/particuliers/vosdroits/F1946, F16982, F1947, F16978, F34463): - Admissibility decision: up to 3 months from filing. - Debt assessment and orientation: up to 3 months from admissibility. - Plan conventionnel / Mesures imposees: up to 7 years of repayment measures. - Retablissement personnel sans liquidation: typically a few months (30-day contest period + commission confirmation). - Retablissement personnel avec liquidation: 6 months for the mandataire inquiry + 12 months for the liquidator to sell assets. Outcome -- discharge (retablissement personnel, with or without liquidation): all qualifying personal and professional debts are erased. The following debts are EXCLUDED from any measure or discharge: - Alimony and child support (obligations alimentaires). - Criminal penalties and damages ordered to crime victims. - Fines (amendes penales). - Debts arising from social security fraud. - Pawn loan debts. FICP (credit incident register) entry: remains for 5 years after discharge. During this period, obtaining new credit is extremely difficult. Debts protected from modification without creditor consent: debts backed by a third-party personal guarantor (caution individuelle) cannot be reduced or erased without the guarantor's agreement.
Where to get official help
The sole entry point to file a dossier is the Banque de France, which hosts every regional commission de surendettement. File online or download the Cerfa n 13594 form at: https://www.banque-france.fr Official step-by-step guides for each phase of the procedure (in French): https://www.service-public.gouv.fr/particuliers/vosdroits/F134 Accredited free debt-counselling organisations (associations de conseil aux debiteurs surendettes, ADCS) can help prepare the dossier at no charge -- the Banque de France can provide a list on request. DISCLAIMER: This article is for general information only and is not legal advice. Laws and administrative practices change; always verify details with the Banque de France, service-public.gouv.fr, or a qualified professional before making any decision.
FAQ
Can I use the surendettement procedure if I have a mortgage on my home?
Yes. The commission takes primary-residence mortgages into account and gives priority to housing debt in any plan. The plan conventionnel de redressement can last beyond 7 years when the measures specifically concern repaying a primary-residence mortgage or enable you to keep your home. However, the commission can also include a requirement to change housing if the current rent is disproportionate to your means. (Source: service-public.gouv.fr/particuliers/vosdroits/F16982)
What happens to my debts if the retablissement personnel is approved?
A full retablissement personnel -- whether with or without judicial liquidation -- erases virtually all personal and professional debts. The main exceptions are alimony/child support, criminal fines, damages ordered to crime victims, social security fraud debts, and pawn loan debts. These debts survive the procedure and must still be paid. After discharge your name remains on the FICP register for 5 years. (Source: service-public.gouv.fr/particuliers/vosdroits/F16978 and F34463)
Does the surendettement procedure stop my creditors from pursuing me immediately?
Once your dossier is filed at the Banque de France you can request a provisional suspension of forced asset sales and eviction procedures from the commission. This suspension is not automatic but can be granted quickly. You must continue paying day-to-day living expenses (rent, utilities) and existing debt instalments until the commission formally imposes new measures. (Source: service-public.gouv.fr/particuliers/vosdroits/F134)
⚠️ Informational estimate, not tax advice. Payroll software may differ in edge cases. Verify with a professional.