Bankruptcy in Ireland Submitted on 16.05.2011

Is Bankruptcy in Ireland An Option?

The bankruptcy laws in Ireland are arguably out of date compared to its counterparts in the UK and USA who have modernised their bankruptcy laws to give debtors greater access to debt help through the court system.

The method to initiate proceedings in Ireland is given to both debtors and creditors. If a debtor is unable to meet their debt repayments they can request that the court to make a bankruptcy order provided the bankruptcy estate has a value of €1900.00 or more.

Bankruptcy discharge in Ireland

Discharge from bankruptcy in Ireland is complicated which may be a reason why many debtors opt to deal with their debt using other methods. It is worth noting however that enough funds must have been realised in the via the bankruptcy in order to cover the costs, fees, expenses and preferential debts arising in the bankruptcy.

Discharge After Twelve Years

Where the bankruptcy has lasted for twelve years, the debtor's property has been fully realised, and the court is satisfied that the debtor has disclosed any property acquired since bankruptcy and that it would be reasonable and proper to discharge the debtor from bankruptcy.

Discharge From Bankruptcy After Payment Of Debts In Full

Where the debtor's creditors have been paid in full, together with such interest as the court allows. Where the bankrupt's property is sufficient to permit payment of interest at the rate payable on judgements, that rate will apply .

Discharge from Bankruptcy with Full Creditor Consent

A bankrupt can be discharged from their bankruptcy statues where all of the debtor's unsecured creditors have consented to the discharge.

Discharge After Making Composition With Creditors

Where the debtor has provided the Official Assignee with the funds needed to meet a settlement (referred to as a Composition After Bankruptcy) with their unsecured creditors - for a settlement to be effective, it must receive the support of at least sixty per cent in number and value of the unsecured creditors voting on it.

Discharge After Paying Fifty 'Pence In The Pound'

Where the debtor's property has been fully realised and his/her creditors have received fifty pence in the pound on their debts.

Further Advice

If you are struggling with debt repayments in Ireland and need help with the bankruptcy process call Justice Goddard today on 0844 822 0845 or email info@justicegoddard.co.uk.