# Why wont' AIB credit control accept my bankruptcy/ICB declaration?



## Lululubelle

PHew-my first post, I hope.  This year several bad life events happened to me (an unsettled divorce, redundancy & parental death) so this year I ended up living off my AIB visa card, in hope that my luck would change. I have been waiting and waiting on money which has yet to come from a will, and  am constantly jobseeking.  I owe approx 12,000. euro and live in the UK-in a remote area of Scotland where I finding it extrememly difficult to find work

I have rung Aib's credit control and wrote to them several times. Finally 2 weeks ago, I followed instructions for declaring myself unable to pay the min off my credit card. I agreed to fill out their incomings/outgoings form, and wrote a letter describing my circumstances, and declaring I agreed to have my name listed on ICB for next 5 years.  I have by now given up awaiting the small amout of money I am due from a will, as it would not cover what I owe, and probate are very slow at moment. Also you can go 4 months of not meeting a min payment before you are blacklisted.  I really really hoped it would not get to this, and that my fortunes would have changed, but they are worsening. Also not handling all the stress at all well. So eventually, I decided the only logical thing to do was-declare myself unable to pay.  I sent in the form and letter and returned my credit card via registered mail, and 2 days ago received a letter advising me to pay the min payment or eventually it would go to bad debt.

Has anyone had experience of this? Why-when I have done exactly what they tell me, do they lose my letters and not accept my declaration??  It is really baffling, as I also have financial problems now in UK too.....I am at the edge with this one, any advice would be so appreciated. Thanks in advance....


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## Luckycharm

I don't think you can just say you are bankrupt and they write off the debt, the only way you can go bankrupt is through the courts and I know it is easier and less penal to do in the UK then Ireland.


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## Brendan Burgess

> I followed instructions for declaring myself unable to pay the min off  my credit card. I agreed to fill out their incomings/outgoings form, and  wrote a letter describing my circumstances, and declaring I agreed to  have my name listed on ICB for next 5 years.



Where did you get these instructions from?  I have never heard of them before.


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## Time

Declare yourself bankrupt in the UK. AIB would have no choice in the matter.


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## Lululubelle

I actually got these exact instructions, over the phone from AIB credit control department. After several confusing calls-(one girl who answered was so confused she said it could affect my credit worldwide- patently untrue) 

The word bankrupt actually wasnt used-however I was explained I'd be listed on the ICB, to sign my letter agreeing thus, and to return visa card and to completer their "Statement of means"-all of which I did, and sent recorded delivery Oct 5.  I am trying to sell my flat below market value here as I am on welfare, and next month will fall behind for first time on my payment. I did not declare to AIB that I (still) own a flat here, I said I rented. I don't want them to get wind of that.

They agreed it was a shame to be credit black listed for 5 years over a 12,000 euro debt.....but I have my back against the wall now, I did not see what else to do....


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## Brendan Burgess

So you are happy to live off AIB's credit card to fund your lifestyle?

Then you lie to them so that they might write off your debt? 

then you think it's a shame that you might be blacklisted for 5 years?


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## Lululubelle

*Some good news!*

Just to clarify a few things-I don't want to go into too much depth. I was not living the life of luxury off my credit card-I was surviving. (I had -for almost 20 years an excellent credit record with AIB.) Approx 1and half years ago, I fled an abusive marriage in Western Australia, and to this day am eternally grateful to have got back to family in Ireland first, then Scotland. As my ex had cut me off everything in the last year of our marriage I was living off my Irish credit card & my frame of mind was not at all good. I escaped to the East Coast and got a decent job with Qantas, hoping to rebuild my life. I was just getting on my feet and he tracked me down, and without going into any more, I *needed *to get back to my family, and so di the sensible thing & fled the country. (Any woman who has been in the same situation will understand exactly where I'm coming from about this)

To this day, I know I'm lucky to have escaped that abusive marriage & to have gotton back to Ireland first, then back to my flat in scotland. I escaped with the bare thread of my sanity & health intact-just-thank God. 

However my flat in Scotland had £12k worth of damage done over years by the tenants-50% of which was covered by the insurance. So I had to remortgage to pay off a hefty whack of the c/card balance, then repairs,flood damage to the flat, and also furniture & goods all trashed. Then I got a job I really enjoyed and not long ago they went into receivership. I landed a good job late this May, which involved doing a requistive conversion course in Helsinki with several others, the day my father died. They could not hold another course after the funeral just for me alone-cost prohibitive-almost unbeliveable all of this really... Sometimes you just can't help bad luck.

Ok-thats enough of my saga, and I am bloody lucky compared to some people. Finally this week I got (albeit late) an acknowledgement letter from AIB card issuing, confirming they'd actioned my wishes, cancelling card and listing me on ICB etc. They kindly froze all interest & fees, and will accept a token payment of 10 euro per month in order to halt "all action" being taken for three months....It was signed by Tadhg somebody or other. It mentions after 3 months they would contact me to reschedule an agreeable payment plan. So thats it for now...Excuse my having to rehash the past, but things have been awful.... 

Thanks again for listening to my posts....


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## Lululubelle

*Postscript.*

By the way, if anyone could advise on what the AIB would likely want as "an agreeable repayment plan" I'd appreciate it.  With luck, if I sell my flat I will pay it outright, even if I have to live in a B and B somewhere til I find a new job.


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## Peter54

Hi OP, I'm in a similar situation as yourself and now on a payment plan.  The plan is paid over three months and after the three month plan is up I then make them an offer of a higher payment and then I pay that for another three months and so on.  If possible you need to increase your offer after the three months.  Keep all contact with them by letter.


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## Lululubelle

Hi after a long time.  I am now working in Ireland on a 3-6 month contract.  I went to my AIB branch and made agreement to pay 80 euro off pcm. After 3 months, if I am kept on, they will want 300 euro, which I could just afford, but could not go out and would have to live on a baked beans lifestyle.  What a shame to have to declare oneself on the ICB for such a small amount.  Is this the equivalent of a UK IVA?  As it is not bankruptcy as such.  Also-can I rent an apartment & get utilites in my name?  There is sooooo much confusion.  I am fed up with it, and now I hear if you can prove you either had Ill heath/redundancy or a good reason for my situation, creditors take this into account.  If anyone can help me I would be so grateful...


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## Lululubelle

Ps-if anyone wishes to email me privately, please do, as I don't think I have done myself any favours in my explanation of my story.

I was told after 5 years, all trace of this-insolvency?-would be gone, and another AIB employee told me it leaves a print.

Has anyone ever gone the route I have, over 12k?  Would it help if I got my medical records from Scotland showing my hopsitalisation over my suicide attempt?


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## Mrs Vimes

You seem to be somewhat confused about the ICB.

The Irish Credit Bureau is a credit reference agency to which all the Irish banks subscribe.

You do not "declare oneself on the ICB", if you breach a credit agreement then your bank will put a negative report on your record which will make it difficult if not impossible to get credit in the future.

The five years you refer to is how long after the loan is closed the ICB holds records. As far as I am aware this means that if it takes you 20 years to pay off the loan then the record remains for 25 years but I am open to correction.

Being recorded on the ICB does not reduce the amount of debt outstanding.

Bankruptcy in Ireland is a very different and more difficult process than in the UK and we do not currently have IVAs.

I would suggest you contact MABS for advice and assistance on your debt-related difficulty.

Sybil


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## Bronte

Lululubelle said:


> Ps-if anyone wishes to email me privately, please do, as I don't think I have done myself any favours in my explanation of my story.
> 
> I was told after 5 years, all trace of this-insolvency?-would be gone, and another AIB employee told me it leaves a print.
> 
> Has anyone ever gone the route I have, over 12k? Would it help if I got my medical records from Scotland showing my hopsitalisation over my suicide attempt?


 
Your explaination is fine Lulubelle.  Don't worry about that.  

AIB has agreed to you repaying 80, yes they will expect you to live on beans on toast.  If you didn't pay them anything they would have probably written off the debt.  As you keep paying the debt doesn't go away.  Can't be helped now you've moved back and are in employment and you are willing to pay.  That's good.  Also it's good they are not charging you interest and penalties.    Don't agree to the 300.  Can you post your income and outgoings as it would be interesting to see how they want you to pay 300.  Most people pad their outgoings so that it doesn't have to be beans on toast.  Why don't you try MABS, they can help you negotiate with AIB.  

Of course you can rent and get utilities.  For ESB and Bord Gais I think you don't need a deposit if you agree to direct debit.  

There is no bankrupty in Ireland (only for very wealthy people) but it is coming.


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## G.Weatherwax

Definitely get onto MABS, they can negotiate with AIB on your behalf if things get rough.  Best to do it now (and not when your contract with BoI runs out) because it can take a long time to get started.  Best of luck


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## tech bro

Brendan Burgess said:


> So you are happy to live off AIB's credit card to fund your lifestyle?
> 
> Then you lie to them so that they might write off your debt?
> 
> then you think it's a shame that you might be blacklisted for 5 years?



Re: Brendon Burgess comment *So you are happy to live off AIB's credit card to fund your lifestyle?

 Then you lie to them so that they might write off your debt? 

 then you think it's a shame that you might be blacklisted for 5 years?*

That was a very harsh judgment Brendon, I would not make such comments until I know the full story, would not surprised if Brendon is not one of bank's insiders on this forum...


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## Guest105

tech bro said:


> would not surprised if Brendon is not one of bank's insiders on this forum...



no never


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## Gekko

tech bro said:


> would not surprised if Brendon is not one of bank's insiders on this forum...


 
He owns the forum and has done more than pretty much anyone to advise people regarding financial matters.

Perhaps you should consider editing or retracting your ludicrous post?


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## Lilly2099

Gekko said:


> He owns the forum and has done more than pretty much anyone to advise people regarding financial matters.
> 
> Perhaps you should consider editing or retracting your ludicrous post?


 
Whilst Brendan owns the forum and often gives excellent advice. I believe that his position would prevent him from posting judgemental comments. A non biased opinion or offer of help often works best.


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## frostie

Because you live in the UK, you have a few more options than if you lived in Ireland. Speak to citizens advice or a debt management company. I don't know the full story, but even if you didn't qualify for a Debt Relief Order (DRO) in the UK, you could still enter into a debt management plan (DMP), which will also look at your expenditure.

You seem to have lost control of your finances, and considering moving into a B&B when you are already in a property sounds crazy, as you may well end up spending more on the B&B than what are spending on your mortgage.

A debt management plan will also give you a good overview of where you might be spending too much, and in general, creditors will accept a DMP if there seems to be no opportunity for them to get the money back. The DMP will also try to ensure that your home is protected. But you cannot just walk away from the debt, as the bank will still pursue you for the money you owe.

w w w . f r o s t . i e


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## onlineprint

tech bro said:


> That was a very harsh judgment Brendon, I would not make such comments until I know the full story, would not surprised if Brendon is not one of bank's insiders on this forum...



Thats a very unfair comment, this board is a fair and unbiased place to post and get information and Brendan has always been fair to everyone using this forum


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