This article deals with the law of the Slovak Republic and its application by Slovak courts and authorities.
Personal bankruptcy is for many people the last option to get rid of debts they can no longer repay. It also comes with one of the most common fears: “Will I lose everything I have?” The good news is no. The law ensures that after debt relief a debtor is not left completely without means and can continue living a dignified life.
Basic everyday necessities remain yours. This includes ordinary household equipment, clothing, hygiene items, and also things you need to carry out your profession or business. The goal of bankruptcy is not to deprive you of your ability to work and earn, but to fairly settle your debts toward creditors.
Part of your income is also protected. From your wages or other regular income, you must always be left with the amount needed for basic living costs for you and your dependants. There are also certain payments that are usually not included in bankruptcy, for example some social benefits intended for a specific purpose.
In a liquidation, on the other hand, higher-value assets are sold, typically real estate or more valuable movable property. With a repayment schedule, the debtor usually does not lose property but repays part of the debts over a set period. Which path is more suitable for you depends on your specific situation, the amount of your debts and your assets.
It is important to know that every case is different. What exactly you keep depends on the chosen form of debt relief, the value of your assets and other circumstances. That is precisely why it pays to know your options before you file, so you can avoid unpleasant surprises.
If you are considering personal bankruptcy and want certainty about what you will keep, we are happy to advise you. We offer a consultation at a fixed price and answer your question within 24 hours. Contact us and together we will find the best solution for your situation.