New bankruptcy laws came into effect on 3rd December
The new bankruptcy laws signed into effect by Minister Shatter reduce the time period to exit bankruptcy from 12 years to 3 years and reduce the cost of declaring yourself bankrupt from €1,400 approx. to €750.00.
The long awaited changes in our outdated bankruptcy laws will offer relief to many individuals struggling with financial difficulties for whom there is no other viable option.
Bankruptcy should only ever be considered as a last resort as it has serious repercussions and is by no means an easy fix. Bankruptcy can only be considered where an individual has been assessed for their eligibility for a DSA (Debt Settlement Arrangement) or a PIA (Personal Insolvency Arrangement) by a Personal Insolvency Practitioner but where they were deemed unsuitable/ineligible or agreement could not be reached with Creditors.
The new laws are an important part of resolving the huge debt crisis in Ireland, offering the final piece of the jigsaw for he new Personal Insolvency Regime.
This article is for general information purposes only and cannot not be relied upon as legal advice or the advice of a PIP. If you are in financial difficulty you should speak with a PIP to discuss your options based on your own specific financial circumstances. We can recommend a suitable PIP.