Debt relief systems - equitable allocation

Research output: Chapter in Book/Report/Conference proceedingEntry for encyclopedia/dictionarypeer-review


Personal debt relief systems are established by governments to manage over-indebtedness problems within society. Personal debt relief systems are also referred to as personal insolvency and personal bankruptcy systems. Personal debt relief systems apply to natural persons and include self-employed individuals and individuals who are not self-employed. There is no consistent approach to personal debt relief, some countries enable a quick exit from the burden of debt, for example the US, whereas in other countries a prolonged exit is favoured, for example full debt relief typically takes up to three years in Germany. This chapter outlines the importance of debt relief systems to national sustainable development. We discuss personal debt relief systems in different countries, including the United States, England and Wales, Germany and Ireland. The systems range from ‘straight’ debt relief, which provides an immediate exit from prior debts, and debt consolidation, which strategically packages an individual’s debt into a consolidated loan and arranges repayment by the individual over a period of time depending on their disposable income. Finally, we conclude by examining the function of debt relief systems and how they can support sustainable development within a country.
Original languageEnglish
Title of host publicationEncyclopedia of Sustainable Management
Place of PublicationSwitzerland
PublisherSpringer Nature
Number of pages7
ISBN (Electronic)978-3-030-02006-4
Publication statusPublished online - 4 Jun 2020


  • Bankruptcy regulation
  • Household bankruptcy
  • Insolvency regulation
  • Over-indebtedness regulation
  • Personal bankruptcy


Dive into the research topics of 'Debt relief systems - equitable allocation'. Together they form a unique fingerprint.

Cite this