1 - Contact a personal insolvency practitioner (PIP)
You will need to contact a personal insolvency practitioner (PIP). They are qualified professionals who will make the personal insolvency application on your behalf. If you are in home-mortgage arrears you may be eligible for a free PIP consultation under the Abhaile scheme.
Once you have chosen a PIP, you can prepare for the consultation in advance by gathering the details of your debts as well as your income, savings, assets, and expenses. The PIP may send a pre-consultation questionnaire.
Your first consultation with the PIP must be a face-to-face meeting. This can be in person or online.
When providing information about your circumstances to your PIP, you must act in good faith by giving full and honest information. It is an offence to intentionally provide false or misleading information in an application.
There is currently no fee for a personal insolvency arrangement (PIA) application, however, a PIP may charge a consultation fee. After that, any PIP fees are usually built into the PIA repayment plan.
What to expect once you have engaged a PIP
After the initial consultation, After the initial consultation, your PIP will provide a recommendation to you for the best insolvency solution for your situation. If you choose to proceed, your PIP will help you to complete the application and will submit the application on your behalf.
2 - Application for a protected certificate
Once you have decided to apply for a personal insolvency arrangement (PIA), your personal insolvency practitioner (PIP) will apply for your protective certificate.
A protective certificate prevents your creditors from taking legal action against you while you apply for a PIA. It stays in place for seventy days but can be extended in certain circumstances.
Your PIP will submit your protective certificate application to the Insolvency Service of Ireland (ISI). The ISI will submit the application to the appropriate Circuit Court on your behalf.
Your protected certificate application is reviewed by the court
When the court office has received your application they will issue a return date. This is the date when a judge will make a decision on your application. You or your PIP are not required to attend court on the return date, but you can attend if you wish.
If granted, your PIP notifies each of your creditors that your protective certificate is in place and that you intend to make a proposal for a PIA.
3 - Your PIA is reviewed by the court
While your protected certificate is in place, your PIP engages with your creditors. Your PIP will negotiate the terms of your personal insolvency arrangement (PIA) with your creditors. You will not be required to attend any meetings. Your creditors should also stop contacting you.
If your creditors agree to the PIA proposal put forward by your PIP, the PIP will submit your application to the ISI on your behalf. If all in is order, the ISI will submit your application to the court for a decision.
When the court office has received your application they will issue a return date, this is when a judge will make a decision on your application. You or your PIP are not required to attend court on the return date, but you can attend if you wish.
Outcome of your hearing (court decision)
Your case is considered by a judge in the Circuit Court, they will make a decision on your PIA application.
The judge can make the following decisions:
- approve & issue the PIA
- refuse the application
- adjourn the application to request further information
- direct a court hearing to be held
The court office will notify and engage with the ISI and your PIP for outstanding information or input as needed. You will never be required to attend court, but you can attend if you wish.
If your creditor(s) reject the PIA proposal and you meet the relevant criteria, your PIP can apply to the court for a court review.
More information about applying for a court review >4 - The effects of your PIA
If your PIA application is approved, the ISI will send you a copy of the court order along with a list of the conditions you must follow while your PIA is in place. Your name will be put on a public register of personal insolvency arrangements.
While your PIA is in place, there are also conditions that your creditors must follow in relation to any debt that is included in your PIA.
If you have given inaccurate information, were not originally eligible for a PIA, arranged your affairs to get a PIA or are in breach of the conditions of your PIA obligations, the ISI can apply to the court to terminate your PIA.
While your PIA is in place, if your situation improves or gets worse, you can apply to have the conditions changed to reflect this.
More information about changing your insolvency arrangement >
