{"id":93847,"date":"2024-09-20T09:34:13","date_gmt":"2024-09-20T07:34:13","guid":{"rendered":"https:\/\/dexxter.be\/collective-debt-settlement-among-self-employed-what-does-it-mean\/"},"modified":"2026-05-15T13:20:02","modified_gmt":"2026-05-15T11:20:02","slug":"collective-debt-settlement-among-self-employed-what-does-it-mean","status":"publish","type":"post","link":"https:\/\/dexxter.be\/en\/blog\/collective-debt-settlement-among-self-employed-what-does-it-mean\/","title":{"rendered":"Collective debt settlement among self-employed, what does it mean"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">This article will explain the meaning of collective debt settlement. The goal? Ensuring that you can pay off your debts and still live humanely while paying them off. Let&#8217;s get started!<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is collective debt settlement? \ud83d\udd0e<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Collective debt settlement is <strong>a legal procedure that aims to ensure, to the extent possible, that you can pay off your debts and that you can still live in dignity during repayment.<\/strong> After collective debt settlement, you can in principle go back to living debt-free.<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Advantages and disadvantages of collective debt settlement<br><\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td>\u2705 <strong>Advantages<\/strong><\/td><td>\u274c <strong>Disadvantages<\/strong><\/td><\/tr><tr><td>Being debt-free afterwards<\/td><td>Loss of privacy<\/td><\/tr><tr><td>Stopping interest calculation on debts.<\/td><td>Long duration of settlement, up to seven years.<\/td><\/tr><tr><td>Protection against amicable* or judicial** recoveries <\/td><td>Costs associated with the debt mediator that can add up significantly<\/td><\/tr><tr><td>Possibility of access to a pro bono lawyer*** for those who qualify.<\/td><td>Possibility of imposed conditions, such as searching for work or moving to cheaper accommodation.<\/td><\/tr><tr><td>Simplified handling of all debts in one plan without individual negotiations with each creditor.<\/td><td>Loss of control over own income, with only living expenses available and required approval for major expenses.<\/td><\/tr><\/tbody><\/table><figcaption class=\"wp-element-caption\">Recovery = When a creditor urges a debtor to pay debts | **Recovery = Coercive action by creditor to collect debt (bailiff) | ***Pro-Deo Lawyer= A free or low-cost lawyer who supports you<\/figcaption><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Every procedure has its pros and cons, and collective debt settlement is no exception<\/strong>. So be careful when considering this option and make sure you have weighed all the pros and cons before making a decision. \u2696\ufe0f<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Application and admission to collective debt settlement \ud83d\udceb<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Applying for collective debt settlement is not as difficult as it sounds. You have to file a petition with the labour court. However, there are some conditions you need to meet to be admitted to a collective debt settlement.<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The role of the debt mediator \ud83e\udd1d<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">If you are admitted to a collective debt settlement, the judge will appoint a debt mediator. This independent party will initially try to <strong>reach an amicable settlement, in other words a repayment plan<\/strong>. If this is not successful, the judge may impose a court settlement or total debt cancellation.<br><br><\/p>\n\n\n<style>.kb-row-layout-id55393_ca4c0f-36 > .kt-row-column-wrap{align-content:center;}:where(.kb-row-layout-id55393_ca4c0f-36 > .kt-row-column-wrap) > .wp-block-kadence-column{justify-content:center;}.kb-row-layout-id55393_ca4c0f-36 > .kt-row-column-wrap{column-gap:var(--global-kb-gap-md, 2rem);row-gap:var(--global-kb-gap-md, 2rem);max-width:826px;margin-left:auto;margin-right:auto;padding-top:var(--global-kb-spacing-sm, 1.5rem);padding-right:var(--global-kb-spacing-md, 2rem);padding-left:var(--global-kb-spacing-md, 2rem);grid-template-columns:minmax(0, calc(30% - ((var(--global-kb-gap-md, 2rem) * 1 )\/2)))minmax(0, calc(70% - ((var(--global-kb-gap-md, 2rem) * 1 )\/2)));}.kb-row-layout-id55393_ca4c0f-36{border-top-left-radius:20px;border-top-right-radius:20px;border-bottom-right-radius:20px;border-bottom-left-radius:20px;overflow:clip;isolation:isolate;}.kb-row-layout-id55393_ca4c0f-36 > .kt-row-layout-overlay{border-top-left-radius:20px;border-top-right-radius:20px;border-bottom-right-radius:20px;border-bottom-left-radius:20px;}.kb-row-layout-id55393_ca4c0f-36{background-color:#f0f4ff;}.kb-row-layout-id55393_ca4c0f-36 > .kt-row-layout-overlay{opacity:0.30;}@media all and (max-width: 1024px){.kb-row-layout-id55393_ca4c0f-36 > .kt-row-column-wrap{grid-template-columns:minmax(0, 1fr) minmax(0, 2fr);}}@media all and (max-width: 767px){.kb-row-layout-id55393_ca4c0f-36 > .kt-row-column-wrap{grid-template-columns:minmax(0, 1fr);}}<\/style><div class=\"kb-row-layout-wrap kb-row-layout-id55393_ca4c0f-36 alignnone kt-row-has-bg wp-block-kadence-rowlayout\"><div class=\"kt-row-column-wrap kt-has-2-columns kt-row-layout-right-golden kt-tab-layout-inherit kt-mobile-layout-row kt-row-valign-middle\">\n<style>.kadence-column55393_6d8546-cc > .kt-inside-inner-col{display:flex;}.kadence-column55393_6d8546-cc > .kt-inside-inner-col,.kadence-column55393_6d8546-cc > .kt-inside-inner-col:before{border-top-left-radius:0px;border-top-right-radius:0px;border-bottom-right-radius:0px;border-bottom-left-radius:0px;}.kadence-column55393_6d8546-cc > .kt-inside-inner-col{column-gap:var(--global-kb-gap-sm, 1rem);}.kadence-column55393_6d8546-cc > .kt-inside-inner-col{flex-direction:column;justify-content:center;}.kadence-column55393_6d8546-cc > .kt-inside-inner-col > .aligncenter{width:100%;}.kt-row-column-wrap > .kadence-column55393_6d8546-cc{align-self:center;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_6d8546-cc{align-self:auto;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_6d8546-cc > .kt-inside-inner-col{flex-direction:column;justify-content:center;}.kadence-column55393_6d8546-cc > .kt-inside-inner-col:before{opacity:0.3;}.kadence-column55393_6d8546-cc{position:relative;}@media all and (max-width: 1024px){.kt-row-column-wrap > .kadence-column55393_6d8546-cc{align-self:center;}}@media all and (max-width: 1024px){.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_6d8546-cc{align-self:auto;}}@media all and (max-width: 1024px){.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_6d8546-cc > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}@media all and (max-width: 1024px){.kadence-column55393_6d8546-cc > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}@media all and (max-width: 767px){.kt-row-column-wrap > .kadence-column55393_6d8546-cc{align-self:center;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_6d8546-cc{align-self:auto;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_6d8546-cc > .kt-inside-inner-col{flex-direction:column;justify-content:center;}.kadence-column55393_6d8546-cc > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}<\/style>\n<div class=\"wp-block-kadence-column kadence-column55393_6d8546-cc\"><div class=\"kt-inside-inner-col\">\n<figure class=\"wp-block-image size-full\"><img fetchpriority=\"high\" decoding=\"async\" width=\"300\" height=\"300\" src=\"https:\/\/dexxter.be\/wp-content\/uploads\/2024\/02\/Tips-template-12.png\" alt=\"\" class=\"wp-image-27873\" srcset=\"https:\/\/dexxter.be\/wp-content\/uploads\/2024\/02\/Tips-template-12.png 300w, https:\/\/dexxter.be\/wp-content\/uploads\/2024\/02\/Tips-template-12-150x150.png 150w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/figure>\n<\/div><\/div>\n\n\n<style>.kadence-column55393_459a10-42 > .kt-inside-inner-col,.kadence-column55393_459a10-42 > .kt-inside-inner-col:before{border-top-left-radius:0px;border-top-right-radius:0px;border-bottom-right-radius:0px;border-bottom-left-radius:0px;}.kadence-column55393_459a10-42 > .kt-inside-inner-col{column-gap:var(--global-kb-gap-sm, 1rem);}.kadence-column55393_459a10-42 > .kt-inside-inner-col{flex-direction:column;}.kadence-column55393_459a10-42 > .kt-inside-inner-col > .aligncenter{width:100%;}.kadence-column55393_459a10-42 > .kt-inside-inner-col:before{opacity:0.3;}.kadence-column55393_459a10-42{position:relative;}@media all and (max-width: 1024px){.kadence-column55393_459a10-42 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}@media all and (max-width: 767px){.kadence-column55393_459a10-42 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}<\/style>\n<div class=\"wp-block-kadence-column kadence-column55393_459a10-42\"><div class=\"kt-inside-inner-col\">\n<p class=\"has-text-align-left wp-block-paragraph\"><strong>Tip!<\/strong><br><\/p>\n\n\n\n<p class=\"has-text-align-left wp-block-paragraph\">Be sure to view our blog article on <a href=\"http:\/\/dexxter.be\/en\/collective-debt-settlement-among-self-employed-what-does-it-mean\/\" data-type=\"post\" data-id=\"55393\">the importance of a debt mediator for the self-employed<\/a>.<br><br><\/p>\n<\/div><\/div>\n\n<\/div><\/div>\n\n\n<p class=\"wp-block-paragraph\"><br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Living expenses during collective debt settlement \ud83d\udcb6\ud83d\uded2<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">From the moment you are admitted to a collective debt settlement, you will <strong>no longer receive your income on your own<\/strong>. As far as possible, the debt mediator will take care of paying off the debts and will give you part of your income to pay for daily needs: this is called <strong>living allowance <\/strong>. \ud83c\udf7d\ufe0f<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Review and revocation of collective debt settlement \ud83d\udd04<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Major changes may require that the current collection arrangement (repayment plan) be updated. This is called <strong>a revision<\/strong>. If you do not abide by the agreements made in a collective debt arrangement, the collective debt arrangement may be terminated. This is a <strong>revocation of the collective debt arrangement<\/strong>.<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Collective debt settlement and the labour court \ud83c\udfdb\ufe0f<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The labour court plays a crucial role in the collective debt settlement process:<br><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It is where you file your application \u270d\ufe0f<\/li>\n\n\n\n<li>Labour court judge decides on your admission from the proceedings \ud83d\udc69\u200d\u2696\ufe0f<\/li>\n\n\n\n<li>Appointment of debt mediator is made by this body \ud83e\udd1d<\/li>\n\n\n\n<li>Deciding on amicable and judicial settlement arrangements \ud83e\uddfe<br><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">End of collective debt settlement \ud83c\udfc1<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The ultimate goal of the collective debt settlement is that you become debt-free. This means that you have paid off all your debts or obtained total debt cancellation. Once this goal is achieved, collective debt settlement is terminated.<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Is collective debt settlement the right choice for you? \ud83d\udca1<br><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Collective debt settlement can be a good solution if you are facing large structural debts that you cannot pay back within a reasonable term. However, it is a big decision with both positive and negative consequences. It is therefore important to think well and seek professional advice, if necessary, before taking this step.<br><br><\/p>\n\n\n<style>.kb-row-layout-id55393_cac544-78 > .kt-row-column-wrap{align-content:center;}:where(.kb-row-layout-id55393_cac544-78 > .kt-row-column-wrap) > .wp-block-kadence-column{justify-content:center;}.kb-row-layout-id55393_cac544-78 > .kt-row-column-wrap{column-gap:var(--global-kb-gap-md, 2rem);row-gap:var(--global-kb-gap-md, 2rem);max-width:826px;margin-left:auto;margin-right:auto;padding-top:var(--global-kb-spacing-sm, 1.5rem);padding-right:var(--global-kb-spacing-md, 2rem);padding-bottom:var(--global-kb-spacing-sm, 1.5rem);padding-left:var(--global-kb-spacing-md, 2rem);grid-template-columns:minmax(0, calc(30% - ((var(--global-kb-gap-md, 2rem) * 1 )\/2)))minmax(0, calc(70% - ((var(--global-kb-gap-md, 2rem) * 1 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kt-mobile-layout-row kt-row-valign-middle\">\n<style>.kadence-column55393_8c3072-02 > .kt-inside-inner-col{display:flex;}.kadence-column55393_8c3072-02 > .kt-inside-inner-col,.kadence-column55393_8c3072-02 > .kt-inside-inner-col:before{border-top-left-radius:0px;border-top-right-radius:0px;border-bottom-right-radius:0px;border-bottom-left-radius:0px;}.kadence-column55393_8c3072-02 > .kt-inside-inner-col{column-gap:var(--global-kb-gap-sm, 1rem);}.kadence-column55393_8c3072-02 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}.kadence-column55393_8c3072-02 > .kt-inside-inner-col > .aligncenter{width:100%;}.kt-row-column-wrap > .kadence-column55393_8c3072-02{align-self:center;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_8c3072-02{align-self:auto;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_8c3072-02 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}.kadence-column55393_8c3072-02 > .kt-inside-inner-col:before{opacity:0.3;}.kadence-column55393_8c3072-02{position:relative;}@media all and (max-width: 1024px){.kt-row-column-wrap > .kadence-column55393_8c3072-02{align-self:center;}}@media all and (max-width: 1024px){.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_8c3072-02{align-self:auto;}}@media all and (max-width: 1024px){.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_8c3072-02 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}@media all and (max-width: 1024px){.kadence-column55393_8c3072-02 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}@media all and (max-width: 767px){.kt-row-column-wrap > .kadence-column55393_8c3072-02{align-self:center;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_8c3072-02{align-self:auto;}.kt-inner-column-height-full:not(.kt-has-1-columns) > .wp-block-kadence-column.kadence-column55393_8c3072-02 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}.kadence-column55393_8c3072-02 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}<\/style>\n<div class=\"wp-block-kadence-column kadence-column55393_8c3072-02\"><div class=\"kt-inside-inner-col\">\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"300\" height=\"300\" src=\"https:\/\/dexxter.be\/wp-content\/uploads\/2024\/03\/Tips-template-30.png\" alt=\"\" class=\"wp-image-28831\" srcset=\"https:\/\/dexxter.be\/wp-content\/uploads\/2024\/03\/Tips-template-30.png 300w, https:\/\/dexxter.be\/wp-content\/uploads\/2024\/03\/Tips-template-30-150x150.png 150w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/figure>\n<\/div><\/div>\n\n\n<style>.kadence-column55393_862b7c-64 > .kt-inside-inner-col,.kadence-column55393_862b7c-64 > .kt-inside-inner-col:before{border-top-left-radius:0px;border-top-right-radius:0px;border-bottom-right-radius:0px;border-bottom-left-radius:0px;}.kadence-column55393_862b7c-64 > .kt-inside-inner-col{column-gap:var(--global-kb-gap-sm, 1rem);}.kadence-column55393_862b7c-64 > .kt-inside-inner-col{flex-direction:column;}.kadence-column55393_862b7c-64 > .kt-inside-inner-col > .aligncenter{width:100%;}.kadence-column55393_862b7c-64 > .kt-inside-inner-col:before{opacity:0.3;}.kadence-column55393_862b7c-64{position:relative;}@media all and (max-width: 1024px){.kadence-column55393_862b7c-64 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}@media all and (max-width: 767px){.kadence-column55393_862b7c-64 > .kt-inside-inner-col{flex-direction:column;justify-content:center;}}<\/style>\n<div class=\"wp-block-kadence-column kadence-column55393_862b7c-64\"><div class=\"kt-inside-inner-col\">\n<p class=\"has-text-align-left wp-block-paragraph\"><strong>Are you thinking about quitting your sole proprietors?<\/strong><br><\/p>\n\n\n\n<p class=\"has-text-align-left wp-block-paragraph\">Then view our blog article on <a href=\"http:\/\/dexxter.be\/en\/discontinuing-your-sole-proprietorship\/\" data-type=\"post\" data-id=\"42188\">how a cessation works<\/a>.<br><\/p>\n<\/div><\/div>\n\n<\/div><\/div>\n\n\n<p class=\"wp-block-paragraph\"><br><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>This article will explain the meaning of collective debt settlement. The goal? Ensuring that you can pay off your debts and still live humanely while paying them off. Let&#8217;s get started! What is collective debt settlement? \ud83d\udd0e Collective debt settlement is a legal procedure that aims to ensure, to the extent possible, that you can [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":93849,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[69,67,193,65,66,68],"class_list":["post-93847","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-sole-proprietor","tag-all","tag-landlord","tag-pre-starter","tag-self-employed-in-main-occupation","tag-self-employed-in-secondary-occupation","tag-self-employed-student"],"_links":{"self":[{"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/posts\/93847","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/comments?post=93847"}],"version-history":[{"count":1,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/posts\/93847\/revisions"}],"predecessor-version":[{"id":93848,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/posts\/93847\/revisions\/93848"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/media\/93849"}],"wp:attachment":[{"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/media?parent=93847"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/categories?post=93847"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dexxter.be\/en\/wp-json\/wp\/v2\/tags?post=93847"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}