You are insolvent if you are unable to pay your debts in full as they fall due and there is no likelihood of doing so within 3 years.

One of your options would be to seek a Personal Insolvency Arrangement (PIA),  A PIA is not suitable for, or available to, every debtor. There may be other options open to an insolvent debtor, depending on their circumstances.

You are only eligible to seek a PIA if you meet the general conditions set out below:

  1. You owe debt to at least one secured creditor holding security over Irish property or assets;
  2. Your secured debts are less than €3 million;
  3. You have co-operated under a mortgage arrears process for a period of 6 months with your secured creditor in respect of your principal private residence and the result was that no alternative repayment arrangement was agreed or the secured creditor confirmed it would not put in place such an arrangement;
  4. Your domicile must be in the Republic of Ireland, or you must have, within the past year ordinarily resided or had a place of business within the Republic of Ireland;
  5. You must not have incurred 25% or more of your debt during the past 6 months;
  6. You must not be the subject of a Debt Relief Notice (DRN) now or within the past 3 years;
  7. You must not be the subject of a Debt Settlement Arrangement (DSA) now or within the past 5 years;
  8. You have not been the subject of a PIA previously;
  9. You must not be bankrupt or subject to a bankruptcy measure, or have been discharged from bankruptcy in the past 5 years.

What type of debt may/may not be included in a PIA?

 May be included

  • Principal private residence housing loans
  • Investment property loans
  • Buy to let mortgages/loans
  • Personal guarantees
  • Personal loans
  • Credit Union loans
  • Business/commercial loans
  • Credit card loans

 Requires consent of creditors to be included “Excludable Debts”

  • Taxies, duties, levies owed or payable to State
  • Local government charges
  • Amounts due to the Health Service Executive under the Nursing Home Support Scheme
  • Annual service charges to owners management companies (apartments and housing estates)
  • Liabilities arising under the Social Welfare Consolidation Act 2005
  • Local authority rates
  • Household charges

If you think this might be an option for you, please contact R. Hendy & Co. for our expert guidance and we will walk you through the process.

Talk to us – we can get your life back

The Insolvency Service of Ireland has published an information booklet on Personal Insolvency Arrangements.

Options  Level / Type of Debt Income Assets Required Intermediary
DRN Under €35,000 Under €60 per month* Max. €400 Approved Intermediary
DSA Unsecured only No Max No Max Personal Insolvency   Practitioner 
PIA Secured** and unsecured No Max No Max Personal Insolvency   Practitioner