MOSCOW, July 15 – PRIME. From September 1, 2020 in Russia, borrowers with debts from 50 to 500 thousand rubles can apply for out-of-court bankruptcy through the MFC. According to the law, the appeal will be considered within six months, and in case of a positive decision, the person will be released from debts. It is possible to re-bankrupt under this procedure no earlier than 10 years later. According to Rossiyskaya Gazeta, in January-June of this year 2021, 1,679 extrajudicial bankruptcies of individuals were completed. Considering that about 3 million borrowers could potentially go bankrupt, this is a very small number. Only 0.04% of debtors were able to pull themselves out of the debt hole. “Surely, when developing the bill, a completely different scale was assumed,” the newspaper writes. The lack of positive dynamics is also alarming. If in September last year 394 applications were approved, then in May there were already 292. This is the minimum for the entire period of the law. According to the experts interviewed by the publication, in order for the procedure of extrajudicial bankruptcy to become the way it was originally intended, namely, simple, convenient and effective, the following is necessary: Regulate the terms of appeal of creditors to the court Separating pensioners into a separate category of bankrupts Increasing the maximum amount of debt for out-of-court bankruptcy Informing about the procedure for filing an application for bankruptcy at the MFC.