What are a bank’s obligations to a over-indebted customer?
Verified 21 January 2021 - Directorate for Legal and Administrative Information (Prime Minister)
If you are over-indebted, your bank must provide you with certain information and continue to provide basic banking services (for example, it cannot decide to close your bank account). It must seek solutions adapted to your situation of over-indebtedness (specific service offer).
The bank must inform you, in writing, of the new operating conditions of your bank account, given your over-indebtedness:
- Consequences for managing your bank account
- Impact on your payment methods and payment transactions
- Proposed measure to ensure continuity of service (e.g. provision of alternative means of payment to checkbook)
This information is given directly to you or sent by mail. The bank must indicate that it remains at your disposal.
In addition, you must be offered an appointment to discuss this mail within 6 weeks after the notification of admissibility of your over-indebtedness file.
you are free to refuse the proposed appointment.
From the moment the debt relief commission declares your admissible file, the bank has no right to close the bank account into which your income or resources are paid. This prohibition shall be maintained during the following phases:
The bank has to make you a specific service offer which shall include at least the following:
- Holding, closing and, where necessary, opening of a deposit account
- Systematically authorized payment card
- Deposit and withdrawal of cash at an agency
- 4 transfers per month (at least 1 permanent)
- 2 checks per month
- Ability to view the account remotely and make transactions to another account of the same bank
- Account balance level alert system
- Provision of RIB: titleContent
- Capping of intervention fees in the event of irregularities (€4 per operation within €20 per month)
- 1 change of address per year
The price of this offer must not exceed €3 per month.
The bank must offer you new payment methods, better suited to the budgetary constraints linked to your situation of over-indebtedness. In particular:
- Monthly direct debit payment
- Alternative payment method to check (including direct debit)
- SMS alerts on the status of your account and to inform you of the existence of services adapted to your situation
As soon as the Debt Relief Commission declares your admissible file, the bank must adjust the amount of your overdraft authorization, with your agreement.
if you do not comply with the contractual rules of the overdraft authorization, the bank may terminate this authorization.
- Monetary and Financial Code: Articles L312-1-1 to L312-1-8Maintenance of the deposit account (Article L312-1-1) and specific offer (Article L312-1-3)
- Monetary and Financial Code: Articles R312-1 to R312-4-4Content of the specific offer (Article R312-4-3)
- Order of 24 March 2011 on the relationship between account-holding institutions and their clients concerned by the processing of a case in over-indebtedness commission
- Over-indebtedness: You and your bankBanque de France