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Archive: Oct 2016

  1. When Should You Look For Debt Advice?

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    When Should You Look For Debt Advice?

    Most people struggle to pay their credit card debt, loans and mortgage/rent when they experience a change in their circumstances.

     

    Their salary may have been cut at work or their hours may have been reduced and now they don’t have the same income as before but they are still expected to pay out the same amount to their household bills and debts.

     

    Redundancy, long term illness, relationship breakdown or a business failing are other reasons to make someone struggle with debt.

     

    Every phone call we receive is from someone worried about how they are going to pay their loans, credit cards, overdrafts or mortgages.

     

    They can’t sleep at night due to the worry and need help to get their creditors off their back and they want to find a solution to their debt problem.

     

    Nobody takes out debt with the intention of not paying it back, everything was fine when they applied for their mortgage, car loan or credit card and they didn’t know their income would be reduced at work or that they would be made redundant.

     

    Once they start missing payments, their creditors can become very difficult to deal with as they only want them to pay their debt and they are not considering the fact that they have other creditors that need to be paid too.

     

    They can add interest and charges and threaten legal action which just makes things even worse as they are increasing the amount they owe on the debt and are adding more stress to the situation by doing this. Then all the phone calls and debt collection letters start which cause even more stress and they don’t want to answer the phone or open the post anymore.

     

    If any of this sounds familiar then please ask for help, speak to a Debt Advisor or Personal Insolvency Practitioner as they can help you find a solution to your debt problem.

     

    It’s time to ask for free debt advice if the following applies to you also:

     

    Finding it a struggle to pay your debts every month as they fall due.

    If you are behind on your mortgage or rent.

    Missing payments on your credit cards and loans.

    Ignoring creditor calls and letters.

    Afraid to open your post or answer the phone

    Using your credit cards to pay your household bills and food every month.

    Robbing Peter to pay Paul.

    Using credit to pay other creditors.

    Receiving solicitor letters from creditors.

    Hiding debt from family.

     


    There is now a lot of help available for anyone struggling with debt in Ireland. The Personal Insolvency Act 2012 which was passed into law in Ireland at the end of 2012 introduced new debt write off solutions to help anyone struggling with unmanageable debt.

     


    The following solutions are now available and you may be able to write off some or all your debt if you are eligible for one of these solutions:

     

     

    Debt Settlement Arrangement
    A formal agreement where a percentage of the debt is paid and creditors agree to write off any outstanding debt. A Debt Settlement Arrangement is an agreed settlement of your unsecured debts with affordable payments over a period of 5 years.  If you have unsecured debt such as credit cards, loans and overdrafts and are insolvent then a Debt Settlement Arrangement could be the right solution to help your clear your debts. (Insolvent means you are unable to pay your debts in full and when they fall due).

     

      
    Personal Insolvency Arrangement
    A formal agreement that includes secured and unsecured debts where a percentage of the debt is paid and creditors agree to write off any outstanding debt. If you are struggling to pay your secured and unsecured debt, a Personal Insolvency Arrangement may be the right solution for you. This debt solution was brought in by the Government to deal with secured debt (mortgage and secured loans) and unsecured debt (credit card, loans and overdrafts)
     

    Debt Relief Notice 
    Gives debt relief to people who have little or no disposable income or assets which they could use to repay what they owe. This is a debt settlement solution to clear less than €35,000 of debt. It enables eligible insolvent debtors to write off their debts where they can prove they are not in a position to repay their debt and it is unlikely their financial situation will improve in the next 3 years. 

     

     
    Bankruptcy 
    A high court process for someone struggling with more than €20,000 of debt. Bankruptcy is a solution to clear all your debts if you have little or no money available to repay your creditors. Before you consider applying for bankruptcy you must have explored the alternative solutions to bankruptcy which includes a Debt Settlement Arrangement, Personal Insolvency Arrangement and Debt Relief Notice. Unsecured and secured debt such as mortgages for family homes or buy to let properties, business loans and credit card loans can be included in bankruptcy. 

     

    Please don’t bury your head in the sand as there are now solutions available that can reduce your monthly repayments, write off unaffordable debt and stop all those nasty calls and letters.

     

    Someone said to me before that they thought we would shout at them for being in debt or we wouldn’t be able to help them, this would never ever happen as Debt Advisors and Personal Insolvency Practitioners are there to help you. Debt Advisors and Personal Insolvency Practitioners understand the stress caused by being in debt and they help people every day and would never speak down or shout at someone that they are helping. They don’t work for the banks or the credit unions, they work for you and they help lots of people become debt free every year.

     

    Some clients have told me in the past that making the first call was so difficult for them as they were worried about what we would think of them, but then after they spoke with us they were so happy that they did make that call as they can now see a light at the end of the tunnel and a huge weight has been lifted off their shoulders.

     

    Some of the solutions now available enable you have up to 70% of your debt written off which will also reduce your monthly debt repayments.

     

    If you need help with debt then I can arrange a FREE appointment for you with a Debt Advisor or Personal Insolvency Practitioner who will be happy to see if you are eligible to have your debts written off.

    Receive Free Debt Advice

     

    Click on the arrange a call back button below or phone us on 01 4434125 to receive Free Debt Advice Today. 

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    Rory McGonnell

    Founder of Bright Day Finance

    Personal finance expert and blogger who has an interest in money saving ideas.

     

     

  2. 899 New Applications for Debt Write Off Deals for 3rd Quarter of 2016

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    899 New Applications for Debt Write Off Deals for 3rd Quarter of 2016

    The Insolvency Service of Ireland (ISI) released the debt help and advice statistics for the 3rd quarter of 2016 today.

     

    The Insolvency Service of Ireland (ISI) is an independent government body which was set up in March 2013 to help indebted Irish people become debt free. With the help of Personal Insolvency Practitioners and approved Intermediaries like MABS so far the ISI has helped 4000 Irish people become debt free.

     

    The report released today by the Insolvency Service of Ireland shows a continued growth in new applications for debt write off solutions, protective certificates and approved arrangements at similar levels to last quarter. When compared to the same period last year, there is significant growth in all these categories.

     

    Key statistics from the 3rd Quarter include:

     

     

    899 New applications for debt write off solutions.

     

    703 of the new applications were for Personal Insolvency Arrangements (this debt solution is designed to return a person to solvency while keeping them in their home).

     

    417 Protective Certificates were issued (A Protective Certificate prevents creditors from taking any legal action while allowing a Debt Settlement Arrangement or Personal Insolvency Arrangement to be drafted and proposed).

     

    337 Debt Write Off arrangements were approved

     

    61 Bankruptcy cases approved

     

    334 Debt Write Off arrangements were approved in the 2nd quarter of 2016, 4 more Debt Write Off arrangements were approved in the 3rd quarter of 2016.

     

    This is breakdown of the different debt solutions approved in the 3rd quarter:

    100 Debt Relief Notices

    57 Debt Settlement Arrangements

    180 Personal Insolvency Arrangements

     

    The Personal Insolvency Act 2012 introduced these new debt settlement solutions to help people in Ireland become debt free.

     

    Debt Relief Notice 

    Formal agreement that gives debt relief to people who have little or no disposable income or assets which they could use to repay what they owe. This is a debt settlement solution to clear less than €35,000 of debt. It enables eligible insolvent debtors to write off their debts where they can prove they are not in a position to repay their debt and it is unlikely their financial situation will improve in the next 3 years.

     

    Debt Settlement Arrangement
    Formal agreement where a percentage of the debt is paid and the creditors agree to write off any debt outstanding. A Debt Settlement Arrangement is an agreed settlement of your unsecured debts with affordable payments over a period of 5 years. If you owe more than €20,000 and have unsecured debt such as credit cards, loans and overdrafts and are insolvent then a Debt Settlement Arrangement could be the right solution to help your clear your debts.

     

    Personal Insolvency Arrangement

    Formal agreement that includes secured and unsecured debts where a percentage of the debt is paid and creditors agree to write off any outstanding debt. This debt solution was brought in by the Government to help people deal with unaffordable secured debt (mortgage and secured loans) and unsecured debt (credit cards, loans and overdrafts)

     

    Bankruptcy 

    A high court process to clear all your debts if you have little or no money available to repay your creditors. Before you consider applying for bankruptcy you must have explored the alternative solutions to bankruptcy which includes a Debt Settlement Arrangement, Personal Insolvency Arrangement and Debt Relief Notice. Unsecured and secured debt such as mortgages for family homes or buy to let properties, business loans and credit card loans can be included in bankruptcy.

     

    It’s fantastic to see that anyone burdened with unaffordable debt has lots of different solutions now available to them.

     

    These debt settlement solutions now available could make your loan, credit card and mortgage payments more affordable if you are unable to pay your debts as they fall due. You may be eligible to have some or all of your written off also.

     

    There are now also 136 Personal Insolvency Practitioners in Ireland who can help anyone struggling with unmanageable debt.  A Personal Insolvency Practitioner is a trained debt advice professional who will be able to see if you are eligible for a solution to reduce your payments and have a percentage of your debt written off.

     

    The Personal Insolvency Practitioner will be able to sit down with anyone struggling to pay their debts to see if they are eligible for a Debt Settlement Arrangement or a Personal Insolvency Arrangement then their Personal Insolvency Practitioner (PIP) will negotiate the debt settlement deal on behalf of the indebted person if they are eligible for one of these debt settlement solutions

     

    If you are struggling to pay to your mortgage, credit cards or loans please don’t worry as there is help available.  We can arrange a Free call for you with a Personal Insolvency Practitioner who will able to see if you are eligible for a debt solution.

     

    Click on the arrange a call back button below or phone us on 01 4434125 to receive Free Debt Advice Today. 

     

    arrange call back

     

    R.McGonnell 17th October 2016

     

     

     

     

  3. First Insolvency case in country gives Donegal man 70% debt write off

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    Insolvency Practitioners Ireland

    It was reported in November 2013 that the first approved Debt Settlement Arrangement has resulted in a Donegal man getting a huge chunk of his debt written off. It is the first debt write off deal in the country to be finalised by creditors. It was registered with the Insolvency Service of Ireland and has been approved by the court.

     

    His Personal Insolvency Practitioner (PIP) helped him secure this deal. The man in his 40’s contacted a Personal Insolvency Practitioner looking for some debt advice after his business failed. He met with his Personal Insolvency Practitioner and received free debt advice, his Personal Insolvency Practitioner sat down with him and went through all his debts, income and expenditure and advised him that a Debt Settlement Arrangement would be the best option to clear his debts.

     

    A Debt Settlement Arrangement is a new debt settlement solution introduced by the Personal Insolvency Act 2012. It is a formal arrangement that helps an insolvent person repay a percentage of their debt in affordable monthly repayments, and their creditors agree to write off any outstanding debt once the arrangement has finished.  Unsecured debts (personal loans, store cards, overdrafts and credit cards) can be included in the Debt Settlement Arrangement and there is no limit to the amount of unsecured debt that can be included when entering into a Debt Settlement Arrangement.

     

    This solution does not cover the write down of secured debts (mortgages or secured loans).  A Personal Insolvency Arrangement is another new debt settlement solution now available to help an insolvent person struggling to pay secured debts (mortgages or secured loans) and unsecured debts personal loans, store cards, overdrafts and credit cards.

     

    A Personal Insolvency Arrangement is very similar to a Debt Settlement Arrangement because it is a formal arrangement that covers secured and unsecured debts and a percentage of the debt is paid and creditors can agree to write off a percentage of the outstanding debt.  A Personal Insolvency Arrangement is a great solution for anyone struggling to pay their mortgage, loans and credit cards due to a change in their circumstances. The main purpose of a Personal Insolvency Arrangement is to allow an insolvent person to regain control their financial situation and allowing them to stay in their family home.

     

    It was reported that the Donegal man who’s Debt Settlement Arrangement was approved got 70% of his debt wiped out by his lenders. The debt will be written off at the end of the five year arrangement.

     

    It is understood the man started to struggle with debt when the family business failed and it is understood three of the main banks were among the six creditors involved.

     

    The Personal Insolvency Practitioner (PIP) that helped the man secured this deal was Mr Ronan Duffy of McCambridge Duffy.

    He secured a Protective Certificate in court in Monaghan on October 21. The Protective Certificate prevents creditors from taking any legal action while allowing the Debt Settlement Arrangement to be drafted.

     

    According to the latest report released by the Insolvency Service of Ireland thousands of people have had debt written off since 2013 and the following debt write off solutions have been put in place:

    1,009 Personal Insolvency Arrangements

    379 Debt Settlement Arrangements

    669 Debt Relief Notices

    1,096 Bankruptcies

     

    If you are struggling with debt please don’t suffer alone, let us arrange a FREE appointment for you with a Debt Advisor or Personal Insolvency Practitioner who will be happy to see if you are eligible to have your debts written off.  

     

    Click on the call back button below or phone us on 01 4434125 to receive Free Debt Advice Today. 

     

    arrange call back



    R.McGonnell 10th October 2016