New bankruptcy regime ‘eases pain’ for distressed homeowners

The Government’s decision to reduce the term of bankruptcy from three years to one year has been hailed as “possibly the most important of its term in office”.

The Cabinet is set to approve the one-year bankruptcy rule at its weekly meeting today, as revealed by the Irish Examiner last week. The radical reduction in our bankruptcy laws will see the Republic of Ireland brought into line with Northern Ireland and Britain and it is expected that the legislation will be enacted before the end of the year.

David Hall, director of the Irish Mortgage Holders’ Organisation, last night said the move to one year would “end the torture” thousands of distressed mortgage holders have endured for more than seven years.