Proposal
Creditors approve DSA and Court enters onto public register.
Complying
Maintenance of payments and other conditions to comply with DSA terms, and participate in regular information reviews.
Completing
Discharged from unsecured debts, and completion recorded on Register of DSAs. You are solvent again.

Bankruptcy

Bankruptcy is a formal process that can be used when a debtor is insolvent. The process can be initiated by creditors, but typically a debtor seeks bankruptcy as an option to deal with unaffordable debts. For you to be eligible for bankruptcy, you would first need to be assessed for suitability for personal insolvency. To do this, you need to speak with a Personal Insolvency Practitioner (PIP). A PIP is authorised and regulated by the Insolvency Service of Ireland. If you are deemed to be unsuitable for a personal insolvency scheme, then bankruptcy may be an appropriate option.

In Bankruptcy, the ownership of any material assets including your home, can transfer to the Official Assignee in Bankruptcy (the OA). The OA is an office of the Insolvency Service of Ireland, who administer the process of bankruptcy. The OA will then seek to sell your assets for the benefit of your creditors who are owed money. Immediately on being adjudicated bankrupt, your debts are written-off.

Depending on your financial position, you may be required to make a financial contribution towards your bankruptcy for a period of up to 3 years. This is called a Payment Order and is determined based on what the OA feels is fair, reasonable and affordable to you. In some cases, particularly if you have a low income, there may be no Payment Order set, and your Bankruptcy could be completed in as little as 1 year.

Whether your home is sold by the OA will depend on the level of your mortgage debt, and the value of your home. If there is equity in your property, the OA can seek to realise that by selling the property. Where there is no equity in the property, the OA might offer you the opportunity to purchase his interest in your property for a nominal fee. The same principle applies if the property is jointly owned – but in this case, the OA would normally only be transferred ownership of half the property. In such cases, it can be possible for the second owner to purchase the OA’s interest where possible.

The following guide has been prepared by the Insolvency Service of Ireland and goes into greater detail about Bankruptcy. Whilst it is possible to apply for bankruptcy yourself, it is advisable to take our professional advice to assist you in the process.

AMI Financial Solutions are experienced debt professionals. We can take you through the Bankruptcy process from start to finish, preparing all of the necessary documents, making the appropriate submissions and payments and securing your Bankruptcy.

Contact us now for a free assessment of your suitability.

Bankruptcy

Bankruptcy legislation exists to help individuals who are unsuitable for the personal insolvency schemes. It’s a formal process and not something to be taken lightly. But it can also a powerful tool to rid you of unsustainable debt and give you a fresh start.

As experts in guiding individuals through Bankruptcy, we can help you with as much or as little of the process as you want. We’ll even accompany you to Court – a daunting thought for many people to consider doing alone.

If the personal insolvency schemes aren’t suitable for you, bankruptcy may be the answer.

Is This Service For You?

Bankruptcy can:

  • Free you from creditor pressure

  • Wipe out your debts

  • Provide you with a fresh start

It might also:

  • Protect your family home

It will:

  • Affect your credit rating

  • Make future borrowing difficult

What you need:

  • To be unsuitable for insolvency