Second Chance Law in Tenerife & Fuerteventura
Personal debt discharge through the courts — the legal reset for honest debtors.
The law that lets a person start again.
What we handle
- Eligibility review under the current rules
- Discharge with or without asset liquidation
- Payment plans that protect your main home
- Self-employed workers and business leftovers
- Guarantors' and co-debtors' positions checked
- Public debt: what can and cannot be cleared
- Defence against enforcement while it runs
- Life after discharge: registers and credit
Spain’s second-chance mechanism exists so that honest debtors are not chained to old debt forever — a court process with real requirements, and real exits.
We take individuals and self-employed workers through the exoneración del pasivo insatisfecho: reviewing whether you qualify, preparing the filing, and steering it to the discharge order. It is a serious judicial procedure, not a trick — and when it fits, it genuinely resets a life.
Files are heard by the courts of the islands under the 2022 insolvency reform, which removed the old requirement to attempt a notarial settlement first — the route is more direct today than most older articles suggest. What survives, what is cancelled and what happens to your home depend on your exact case.
Three stories we hear every week.
"My business closed years ago and I'm still paying its debts."
"Between cards and loans I owe more than I could ever return."
"I want to pay — I just can't pay all of it."
How we work
Olga Caballero
Founder & Lawyer — Costa Adeje · CorralejoAdvising international clients across the Canary Islands since 1998, in person and by video. Second-chance files are personal by definition — the lawyer who hears your story is the one who argues it before the judge, start to finish.
Español · English · Deutsch · Русский · ItalianoFive languages spoken in-house — and live-translated video for five more.
Olga Caballero Martel · Colegiada nº 2805, Ilustre Colegio de Abogados de Las Palmas.
Meet the teamIn their words
Absolutely brilliant. I had been struggling in a dispute with a private health company. It took less than an hour for Olga to resolve it. Thank you.
Excellent attention, genuine willingness to help and a high level of professionalism.
Very good professionals, and very kind.
Write to us — or book a consultation.
Second chance — what clients ask first.
Who qualifies for the second chance?
Broadly: individuals — employed or self-employed — who are insolvent and act in good faith. Recent convictions for economic offences or serious tax debts complicate it. The eligibility review is the honest first step, and sometimes the answer is no.
Will I lose my house?
Not automatically. Since the 2022 reform there is a route with a payment plan that can preserve the main residence, and one with liquidation that reaches discharge faster. Which fits depends on your mortgage, income and family situation — it is the key strategic choice.
Which debts cannot be cancelled?
Maintenance obligations, some public debt beyond legal caps and debts from certain wrongdoing survive. Most bank, card and supplier debt is dischargeable. We map yours before filing so the outcome holds no surprises.
How long does it take?
From months to over a year, depending on the route and the court's load. During the procedure enforcement against you generally stops — for many clients that pause is the first calm in years.
Prefer to call?
Debt with no exit you can see?
Book a consultation in person or by video — a clear, honest reading of your case in your own language, and a plan and fee agreed before any work begins.