
MOSCOW, Dec 21 – PRIME. Bankruptcy for citizens in Russia can entail negative consequences that people often do not know about, since they are misled by advertising of debt relief procedures, according to the materials of the Association of Russian Banks, which are at the disposal of RIA Novosti. In Russia, from September 1, 2020, the law allows citizens to go through bankruptcy proceedings without the participation of a court and a financial manager, upon application through multifunctional centers. The Association is concerned about the increased activity of the so-called “debtors” or “bankrupt intermediaries” – individuals and legal entities who, on a professional basis, provide legal services to “release” citizens from debts. They actively advertise such services both offline and on the Internet, including the largest news portals, video hosting sites, social networks. The expert named a way to find out why the bank refused you a loan. “Advertising blocks form a distorted idea of their attention is only to the positive aspects of debt write-off, and avoiding mentioning the significant financial costs of accompanying bankruptcy procedures and the serious negative consequences of bankruptcy of citizens, “the ADB says. ADB points out that bankruptcy may result in arrests and sale of property, a ban on the disposal of funds, restrictions on travel abroad, the inability to hold certain positions, difficulties in obtaining a loan in the future, and a possible ban on entrepreneurial activity. In case of fictitious bankruptcy, criminal liability may arise, and transactions made during the period of bankruptcy will be invalidated. “Thus, the most important information that can influence the final decision of a citizen to file a petition for his own bankruptcy is deliberately kept silent, which is unacceptable,” the ADB concluded.