The prime residence protection e-platform is now online
The State support program is addressed to vulnerable debtors who cannot cope with their loan obligations.
The e-platform of the new State contribution program for vulnerable debtors, aimming to support keeping their primary residence, until its transfer to the Real Estate Acquisition and Re-leasing Agency, is now available.
The State support program is addressed to vulnerable debtors who cannot cope with their loan obligations and includes:
State subsidy of up to 80% of the installment of the housing loan of the main residence of vulnerable debtors, from 70 to 210 euros per month for a period of 15 months.
Suspension of creditor measures for the main residence (eg foreclosures, auctions and evictions).
In more detail, the amount of the Housing Allowance, for households that meet the criteria, amounts to:
- For the beneficiary of the allowance: 70 euros per month.
- For each additional member of the household, an increase of 35 euros per month.
- The single-parent family is granted an additional supplement of 35 euros per month.
- In households with an unprotected child, an additional supplement of 35 euros per month is granted for each unprotected child.
- The maximum limit of the Housing Allowance is set at 210 euros per month, regardless of the composition of the household.
Specifically, households are included in the program if they live in a main rented residence, and cumulatively meet the following income, property and other criteria:
1. Income criteria
The total income of the household, as calculated for the purposes of inclusion in the program, cannot exceed 7,000 euros for a one-person household, increased by 3,500 euros for each member of the household.
In the single-parent family, an additional surcharge of 3,500 euros is set for the first minor member of the household.
In the household with unprotected child/s, an additional surcharge of 3,500 euros is set for each unprotected child.
The total income cannot exceed 21,000 euros per year, regardless of the composition of the household.
These criteria are checked and cross-checked during the issuance of the "Certificate of Vulnerable Debtor", which is necessary for participation in the program and is issued by an electronic platform of the Special Secretariat for Private Debt Management.
2. Property criteria
a. Real Estate:
The total taxable value of the household's immovable property cannot exceed the total amount of 120,000 euros for a one-person household, increased by 15,000 euros for each additional member and up to the amount of 180,000 euros.
b. Asset presumption:
The total amount of interest on deposits of household members in all credit institutions in the country or abroad, as declared in the last cleared income tax return (E1), cannot exceed annually the amount resulting from the following mathematical formula:
Annual interest = deposit limit for each type of household * average annual deposit rate /100
The year of calculation of the average deposit rate is defined as the year to which the last cleared income tax return corresponds.
The deadline for submitting applications to the intermediate program:
- When the enforcement of the seizure or the declaration of bankruptcy has taken place earlier than the start of operation of the platform, it is within 60 calendar days from 15.9.2022.
- When the enforcement of the seizure or the declaration of bankruptcy takes place at a later time than the launch of the platform, it is within 60 calendar days from this day.
The submission of all applications is completed at the end of 15 months, i.e. until 15.12.2023 or until the operation of the Real Estate Acquisition and Leasing Agency, whichever occurs first.
With the end of this program, vulnerable debtors who will be unable to service a long-term and sustainable settlement of their debts, should contact the special Body of Law 4738/20 for the settlement of debts and the provision of a 2nd chance.
The platform for electronic submission and management of applications was designed by the Special Secretariat for Private Debt Management of the Ministry of Finance, in collaboration with the General Secretariat for Digital Governance and Simplification of Procedures and the General Secretariat for Public Administration Information Systems of the Ministry of Digital Governance, from which it is constantly supported and hosted on its infrastructure. The platform is accessible through the Unified Digital Portal of the Public Administration.