Up to 300 insolvency deals by October

It is expected that two to three hundred candidates will have entered into personal insolvency arrangements (PIA) by October, according to Michael McAteer, a partner at the consultancy firm, Grant Thornton, and a newly registered personal insolvency practitioner (PIP).

The Government’s new personal insolvency legislation has been introduced in an effort to tackle the massive debt crisis in the country.

A person applying for a PIA has to hire a PIP who will put together a full statement of financial affairs for that individual including a complete list of all assets and liabilities. The PIP will then apply to the court for a protective notice for the PIA candidate before putting together a repayment schedule that will last five years in the event of unsecured debts and six years in the event of secured debts, which is mainly mortgage debt.