Statement of income v expenditure is to see have you any (free) funds.
If they show you have (free) funds AIB will want their share.
Generally, if you show you cannot genuinely afford debt , particularly smaller sums such as your K8 , it is sold onto a collection company for a much lower amount. Normally no real further action takes place.
Drn,s are used where your total debt is underk20 on unsecured creditors.
If you have a mortgage and under 3m debt you move to PIA type arrangements.
On AAM you will find good info on all the options.
If you post your total indebtedness you will get good ideas.