More and more municipalities shorten BKR registration after problem debts

People who have been helped by municipalities with problem debts are being taken out of the books of the Krediet Registration Office (BKR) faster in more and more municipalities. They therefore experience less nuisance when applying for a mortgage, for example.

In 2022, the House of Representatives already expressed the desire to limit the ‘registration period’ of five years to six months. Last month the Association of Dutch Municipalities (VNG) asked all municipalities to agree. Municipalities can decide for themselves whether they respond to this.

According to a VNG spokesperson, the call has an effect: the ‘G40’ (41 medium-sized municipalities) now uses the six-month period. The ‘G4’ (four largest municipalities) opted for that before.

“And we get questions from other municipalities that want to introduce the six-month period. We will soon be having an information meeting about it.”

Data that the BKR supplied at the request of the Autovantra shows that in 2024 the vast majority of municipalities used a period of five years. Only 7 percent of the 342 municipalities used a retention period of approximately six months. 1 in 5 municipalities used a retention period of less than five years.

With a debt scheme, the municipality helps to pay off debts. After such a scheme, the person is debt -free.

The Association of debt counselors NVVK has been arguing for years for limiting the BKR registration period for up to six months. “The fact that municipalities have different installments increases the threshold for people with problem debts to seek help from the municipality,” says a spokesperson. “Transparency and clarity facilitate the step to help.”

That is why the NVVK thinks it is a good thing that more municipalities are now opting for a standard of six months. “But for commercial credits, a five -year registration period continues. So people who had debts have helped only to a limited extent by shortening the period for debt schemes.”

“As far as we are concerned, it is gradually being time for legislation on the installments. Because registration at the BKR often means a standard ‘no’ when applying for a mortgage or a credit application by small self -employed persons.”

According to BKR, the shortening of the registration period limits the value of debt help registration. “Credit providers have less information,” says a spokesperson. “That can cause consumers to get credit while they are still financially vulnerable.”