Apply for recognition as an insolvency advice center
Description
Insolvency counseling is a supplement to general debt counseling. Both services advise people in and over-indebted who are in need of expert help. The task of the insolvency advice centers is to advise people who may be eligible to apply for consumer insolvency proceedings. Insolvency advice is provided by public and independent providers (in particular local authorities and charities) as well as private providers.
They can be recognized by the state as a suitable body within the meaning of the Insolvency Code (InsO). As a recognized body, you advise and represent debtors in out-of-court settlements with creditors and, if necessary, support the debtor in applying for and carrying out insolvency proceedings. You need to be recognized as a suitable body in consumer insolvency proceedings if you want to be entitled to issue a certificate of an unsuccessful attempt to reach an agreement with creditors in consumer insolvency proceedings.
The legal basis for the recognition of the insolvency advice center is the state-specific laws on the implementation of consumer insolvency proceedings in accordance with the Insolvency Code. In order to be recognized as a suitable office, it is particularly necessary that
- the office must be staffed by at least one person with sufficient practical experience in debtor counseling,
- the office must have reliable and appropriately trained (managerial) staff,
- the position is permanent and provides debt counseling as one of its main tasks and
- the necessary legal advice is guaranteed.
A fee is usually charged for the recognition procedure, taking into account the time and material administrative costs incurred. The recognition of agencies of the districts and municipalities as well as non-profit organizations (which are, for example, affiliated with an association of independent welfare organizations) is usually free of charge.
Advice from public or independent providers is free of charge.
Please contact the State Administration Office.
The application for recognition of insolvency advice centers must be submitted in writing/ electronically to the competent state authority. The application must be accompanied by evidence that the requirements for recognition have been met. The necessary documents to be submitted depend on the organization and staffing of the office.
As a recognized agency, you can receive state funding under certain conditions, which is based on the expenses incurred in the context of insolvency advice.
The text was automatically translated based on the German content.
