Accounting for Personal Overindebtedness: Debtors’ Accounts in Applications for Debt Relief at the Swedish Enforcement Authority

Abstract

This paper aims to describe and understand the accounts given in applications for debt relief/adjustment in relation to the ‘question situation’ that overindebted person stand before in their encounters with Swedish authorities. The analysis is based on the sociology of accounts and is made against the background of previous research on overindebtedness in the Nordic countries. The paper shows that the accounts given by debtors include examples of ‘refusals’ and ‘denials’, but mainly comprise narratives and accounts centred around giving ‘justifications’ and ‘excuses’ focusing on external circumstances (illness, unemployment, divorce, bankruptcy), helplessness, or a lack of knowledge or intent (others causing the debt, or problems of addiction). The applications also contain some ‘concessions’, ‘pledges’ and ‘appeals’ by which the debtors try to show that they are improving in taking economic responsibility and deserve debt relief. The analysis thereby shows which accounts are considered legitimate, but also that the framing cues defining and delimiting the question situation are too weak to produce uniform forms of accounting. Many applicants for debt relief respond to a wide definition of the question situation - one that relates to self-image and social identity.

Awaiting absolution – self-presentations in letters of application for debt reconstruction

“…It is interesting to compare the result in the current study with results from Larsson and Jacobsson (2012) analysis of letters attached to debt-reconstruction applications using Fritsche's (2002) meta-taxonomy of types of accounts. Such a comparison reveals overlaps between the results from the two studies but also makes clear that the categories found in the present study are on a more general level.…”

“…However, when applying for debt reconstruction they adapt their explanation to what they believe the SEA expects of them and will accept. The question of where applicants for debt reconstruction situate the causes of their debt problems is also explored by Larsson and Jacobsson (2012), who use Fritsche's (2002) meta-taxonomy of how different types of accounts are used in varying episodes of social interaction as frame for analysing indebted persons' personal stories in applications for debt reconstruction in Sweden. The results show that the most common narratives and accounts are justifications and excuses, which refer to external circumstances such as illness, addiction, unemployment, divorce, or problems caused by other people.…”

“…Research suggests that such attempts to manage vulnerability include avoiding opening mail from creditors (Custers 2015) or presenting oneself as having handled one's economy responsibly in relation to prevailing norms and legal conditions (cf. Larsson and Jacobsson 2012). Another way that has been suggested for disadvantaged groups to counteract negative prejudice is to produce counter-narratives that help them to resist minimization of their life chances and infiltration of their consciousness (see Lindemann Nelson 2001).…”

Discretion in the “Backyard of Law”: Case Handling of Debt Relief in Sweden

“…Espersson, 2010. Thereby, debt relief was organized as one national process of case handling, though performed at five different localities (Kronofogden, 2011).…”

“…In addition, a new standardized case handling system was developed based on productivity measures, process maps and audits. This was further developed through a computer-based system (FENIX), piloted in 2010 and launched in late 2011 in order to control and audit case handling at all SEA locations (Kronofogden, 2011).…”