Finding solutions for over-indebtedness

Over-indebtedness is often a difficult situation to get out of. Having your case accepted by the Commission can be a breath of fresh air. A number of measures will then be taken to help you manage your debts in a more sustainable way :

• Creditor notification : All your creditors will be informed of the situation so that they are aware of the proceedings.
• Stop interest : Interest on your loans is suspended for the duration of the procedure, which helps to prevent your debt from increasing.
• Suspension of certain seizures : If you have requested this in your file, certain enforcement measure (seizures, etc.) may be suspended.
• Interdiction des frais de rejet : Aucuns frais pour rejet de prélèvement ne peuvent vous être facturés pendant cette période, ce qui réduit vos charges durant la procédure.
• Search for appropriate measures : The Commission will carefully examine your situation in order to find the best possible solution. Depending on your financial situation, it may recommend :
• A break in your payments. ;
  • Spreading your repayments over a longer period to ease your budget ;
  • Total or partial cancellation of debts (except for debts not covered by the over-indebtedness procedure)

To benefit from the over-indebtedness procedure, you must meet the following criteria :

• Place of residence : You must be an individual residing in French Polynesia or New Caledonia ;
• Professional status : The procedure is open to employees and self-employed professionals (liberal professions). However, it is not available to artisans, shopkeepers, farmers, or those engaged in independent commercial activities, who fall under collective procedures defined by the French Commercial Code ;
• Inability to repay debts : You must be unable to repay your debts. These may be banking-related (loans, overdrafts, etc.) or everyday expenses (unpaid rent, utility bills, etc.).
• Good faith : You must be able to demonstrate good faith in managing your debts, for example, by showing that you have made consistent efforts to repay them before applying for the over-indebtedness procedure.

If you reside in French Polynesia or New Caledonia, follow these steps to prepare and submit your application:

1Download and prepare your application
Start by downloading the over-indebtedness form and the explanatory notice available at the bottom of this page.

• In French Polynesia, the application can also be completed online via the following link: Surendettement Reoara (website accessible from French Polynesia only).
• In New-Caledonia, the application can also be completed online via the following link: Surendettement NC (website accessible from New-Caledonia only).

2Complete the form
It is essential to fill out the form carefully. Make sure that all the information provided is accurate and up to date.

3Supporting documents
Gather the necessary documents to support your application. These may include bank statements, bills and proof of income and debts.
To view the full list of required documents, please refer to the PDF available here

4An explanatory letter
To help the commission to better understand your personal situation, it is important to include a letter explaining the reasons for your over-indebtedness and your current financial circumstances.

5Signature and ID
Sign the application form (if applying jointly with a spouse, both of you must sign). Also include a recent copy of a valid photo ID.

6Submitting the application
Once your application is complete, you have two options for submission :

• By mail : Send your application to the IEOM office in French Polynesia or New Caledonia.
• In person : Submit your application directly at the agency during its opening hours, available on your local IEOM office’s page.

Once your file has been submitted, declared complete and deemed admissible :

• The Over-indebtedness Commission reviews your situation to determine temporary measures or full/partial repayment solutions for your debts.
• A repayment plan may be put in place to reorganise your debts and make them easier to repay.
• If the commission considers that your financial situation cannot be resolved through repayment solutions, your file may be redirected towards a debt cancellation procedure, known as personal recovery .

Please note that during the commission’s review period, all ongoing seizures – except for alimony payments – are suspended. You are also prohibited from taking out new loans during this time, in order to avoid worsening your financial situation.

To find out more about the commissions’ activities and access resources such as internal regulations and activity reports, visit the IEOM office page for your area.