Debt imprisonment today is more of a parable and, under the European Convention on Human Rights, debts cannot even be sentenced to imprisonment. Even in Finland, unpaid debts may have been incarcerated, but in 1897 debt imprisonment was removed from the penal system, which replaced the imprisonment law.
Finland, too, could have been imprisoned for its debts: before 1897
Crime debts, on the other hand, are a separate matter: in 1901, the Criminal Aggregation Act (Chapter 7, Section 8) was amended so that several convictions could be combined with your imprisonment. Even today, unpaid fines can be sentenced to imprisonment, except in the case of a fine or a fine.
Illustratively, however, the concept of debt security is still used for loans or loans that have become generally problematic, usually due to either Irresponsible borrowing, lending or a sudden drop in solvency.
When will Debts Become a Prison?
Debt becomes problematic when its repayment and cost increase to such an extent that income is no longer surplus to compulsory expenditure and debt. Then there is no extra money that you can use as you wish: all income goes to compulsory expenses, which limits your life. In the worst case, debt cannot be repaid enough and debt can even increase.
How can we get rid of debt custody?
If it is clear that income is simply not enough to pay off debts, enforcement and debt settlement may be the only means of dealing with it.
The payment default entry will certainly come from these arrangements, but the entry will not last forever. Credit information is also restored even after the collection and debt settlement. The subscription will usually remain for 2 years, or until the debt is paid.
How is debt avoidance avoided?
One might think that debt imprisonment is the easiest to avoid when you do not take out debt in the first place. However, the fact is that some purchases have to be borrowed because the funds are not yet sufficient. However, borrowing always requires solvency. You should know that the loan can be repaid.
However, if your ability to pay falls and you find that you are unable to repay your debt as agreed, your creditor should be contacted as soon as possible to agree on a payment plan.
It is also important to have a buffer in your own economy for that famous bad day, which can be achieved by saving, for example. Saving is best achieved when the monthly savings amount is realistic and does not limit your life too much. A good help for success is to list savings as a mandatory expense in your monthly budget.