# Personal Insolvency Implementation



## ronron (25 Oct 2012)

Dear all, 
On TV3 tonight, Eddie Hobbs forecast that the implemtation of the Personal Insolvency legislation will not be until the end of 2013. Is this true?


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## Bronte (25 Oct 2012)

ronron said:


> Dear all,
> On TV3 tonight, Eddie Hobbs forecast that the implemtation of the Personal Insolvency legislation will not be until the end of 2013. Is this true?


 
How can it be any sooner.  The bill hasn't even been debated, never mind passed.  And a whole procedure and organisation has to be set up before it starts, and no doubt a few court cases as people or banks 'test' it.


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## Brendan Burgess (25 Oct 2012)

The government estimates that it will be effective in March 2013. 

They have already recruited the head of the Personal Insolvency Service and he is apparently recruiting staff at present. 

The bill is working its way through the Dail.

There might be slippage on March, but I think that Eddie is being too pessimistic. 

It's hard to know. 

Brendan


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## marfsmal (31 Oct 2012)

Of course it will be the end of 2013. The crisis hit late 2008, they could have done something about this earlier and it is as clear as day that they deliberately did not do anything. They simply wanted people to be squeezed as much as possible and to pay back as much as possible on their own in that 5 years. 

And playing into their hands mugs like myself have been paying back debts. I've learned a lot in the last few years.


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## WizardDr (19 Dec 2012)

Personal Insolvency Bill has cleared Dail and Seanad. All it needs now is Michael D's signature. (Courtesy of Newstalk Twitter A/c)


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## SarahMc (19 Dec 2012)

Excellent news.


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## Brendan Burgess (2 Jan 2013)

This is what Alan Shatter said on completion of the passage of the Bill through the Dail. 



> The Taoiseach was asked, quite  properly, by Deputy Micheál Martin this morning about the coming into  force of this legislation.  I take this opportunity to comment briefly  in that regard.
> 
> 
> 
> ...


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## Brendan Burgess (2 Jan 2013)

So when can someone with an unsustainable mortgage start the process? 

I don't see why they can't start the preliminary work today. 

They should first contact their bank and state their intention to avail of a PIA. 

They should point out to the bank that it would be in everyone's interest if they do a deal now without the costs of a PIA.  

That will take a few months of negotiations first before they know whether they need to apply for a PIA or not.


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## Dr.Debt (2 Jan 2013)

Brendan, I fully agree with you that people can get the ball rolling  immediately by starting to talk to their banks about their own  particular situations.In fact if they dont get a discussion started with  their bank about their arrears, they will be ineligible to apply for a  PIA

One of the eligibility criteria for a PIA under section 87(g) of the bill / act requires the applicant to make a statutory declaration to the effect that they have cooperated with any secured creditor (ie their mortgage holder)
in  respect of any arrears on their principal private residence for a  period of at least six months, in accordance with that banks process for  handling mortgage arrears, as approved by the central bank. For most  banks this will be the MARP process.

So yes, the 1st step for  anyone planning to apply for a PIA is to get the discussions started  with their own bank immediately to establish if they can arrive at a  settlement with their own bank before applying for a PIA. If after six  months have elapsed and discussions with their own bank have not yielded  anything, then they are free to apply for a PIA.


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