Erasure of debts for the means limited

In the state of Israel, even people who have been working for many years, sometimes find themselves dealing with debts which are not simple. Each debtor has a different reason which has led him to this unpleasant situation, for example, the fact that he doesn’t know how to properly manage his finances, he has made business mistakes or any other reason. The problem with debts is that they usually get inflated, or receive additional interest fees and fines, which makes the whole matter even more complicated to deal with. People who owe money to many creditors describe this situation as a “black hole” which cannot be escaped.

The situation worsens over time and there are situations where the debtor finds himself working all the time just to pay the bigger debts he has accumulated, which, of course, makes him accumulate even more debt and the situation is only exacerbated.

If this sounds familiar to you, and you too are dealing with endless debts, you should know that something can be done about it, and in many cases, erasure of debts for the means limited is the right way.


When can such an application be submitted?

The law unequivocally states, that there are situations in which a person is considered means limited and he will have the option to have his debts erased. Just take a moment before you are sure that you have found a way out of your difficult situation, you should know the clear conditions for applying for debt erasure and they are as follows:

  • The debtor has to be considered “means limited” within the 4 years prior to the application for exemption.
  • The debtor has paid all of the payments during the 3 years prior to the application for exemption.
  • The debts of the debtor, in all of his files altogether, do not exceed 800,000 ILS.
  • The debtor has no assets which can be foreclosed for the collection of the debts.

If you follow all of these conditions, you will be able to submit an application for erasure of debts for the means limited and the good news is that, in most cases, you will get a positive answer. Yet, of course, there are some consequences, such as invasion of your privacy, and the quality of your life will get worse as a declared person of limited means. On the other hand, the good news is that you will be able to enjoy more convenient conditions and the option to start your financial life anew.

It is time to realize that although it’s important to understand how you got into the difficult financial situation you are in, it is however no less important to see how you get out of it and how to deal with it. Erasure of debts for the means limited is the best way there is and it’s worth considering this option positively.



How to submit the application to increase the chances for a positive answer?

If there is something you can be certain about, is that even if you follow these conditions and even if you are a means limited debtor, there is a meaning to the question of how you are going to submit the application. First, you have to know the law and all of the changes in it over the years; second, it’s very important to know which documents to submit, who to submit them to and what should be attached? All of these details are important and can affect the question of whether you get a positive result or not, which means that there is no place for unnecessary risk. That’s the reason why the services of a leading execution lawyer, who is initiated in the field is required; because why should you try to do all of these things by yourself and receive a negative answer? Erasure of debts for the means limited is a process in which many people are interested and that’s why it’s clear that the different committees have to do some filtering and stick to the rules. This means that you, as the submitter of the application, have to act according to very clear instructions and that’s why you should turn to a bankruptcy lawyer which can help you with this matter.



A lawyer who’s available at any moment

If you are looking for a professional lawyer who can listen to you, look into your case, see if there’s an option for erasure of debts for the means limited and assist you along the way, your professional is the lawyer Daniel Yanovsky or Barry Miskevich. Thay have been working in this field for many years, they come with vast knowledge and with a long list of clients who can recommend them. It doesn’t matter how much money you owe, how you got there and whether you are the one to blame or not. What’s for certain is that you should start reacting to the situation you got into and there is no doubt that with the help of a leading lawyer you will be able to take care of things in a much better and more efficient way. We are available to you at any moment, so why not call today and make an appointment?


*The above article is by no means a legal advice; any use of this information is solely under the reader’s responsibility.

To share the article:

Get in touch now to receive professional advice and support:

About the author:
Daniel Yanovsky Adv.

Yanovsky & Miskevich Law Firm provides a wide range of legal services to individuals and legal entities in Hebrew, Russian and English, in Israel and abroad.

Read more

Адвокат по банкротству

Counseling Call​

We invite you to a consultation call without any obligation​

Google Rating
Based on 183 reviews