Settling small debts: rapid recovery of perspective
The Regenboog Group started the ‘Uit het Krijt’ project (English: Out of debts project) a few years ago. This project focuses on people with relatively small debts up to € 5,000. Thanks to the financial help of funds, the debts are immediately settled (within a month of registering) without people needing to repay the debt.
De Regenboog Group sees this as a solution to reduce the large number of people with problematic debts. By immediately paying off small debts of homeless people and those in (social) poverty, further slipping down is prevented.
For participants, immediate settlement of a small debt means a rapid recovery of perspective. After settling the debt, The Regenboog Group offers direct help in other areas. Based on a support programme, a customised prospects plan and an integral approach in various areas, homeless people and those in poverty start their journey to financial self-sufficiency. The integral approach and personal support ensure that the participant is central and can develop. This prevents recourse to debt counselling, social benefits and mental healthcare service. Only 5% of the participants appear to have debts again after a year. Obviously, these people are supported again. All participants without exception are delighted that their debt is settled. They can then quickly move on with their lives.