Mortgage Arrears Support

Local authorities may make a repayment arrangement with mortgage holders in arrears.

Insolvency Service of Ireland – Guidance

Are you insolvent?

The word insolvency is often associated with companies, but when a person is unable to pay bills in full when they are due or is paying a little off each bill to keep creditors at bay and receiving letters and calls about missed payments – these are all signs of personal insolvency.

The Insolvency Service of Ireland (ISI) is an independent government body offering 4 debt solutions for all levels of debt. It has a regulated network of professionals that can arrange for debts to be restructured and/or written off. Thousands of people in Ireland have availed of the ISI’s solutions; however, many people are still unaware of the ISI and are living with problem debt.

According to the ISI, the effects of problem debt on a person’s wellbeing and mental health can be severe and can prevent them coming forward for help. People get so used to making personal sacrifices and struggling to make-do, that they don’t realise they are insolvent.

The reality is that thousands of people in Ireland are insolvent and in deep mortgage arrears. It is important for people in fear of losing their home to be aware that even if they have received letters threatening repossession, or a Court appearance date it is still not too late to sort out their finances and, hopefully, keep their home.

The majority of personal insolvency proposals put to creditors are being accepted and recent amendments to legislation mean that where creditors have rejected a proposed Personal Insolvency Arrangement, the borrower can seek a review by the Court. The so called “bank veto” is gone.

All of the debt solutions overseen by the ISI are designed to get a person back on track financially and at the end of the process the person will be solvent again and can start planning their future.

Visit, freetext ISI to 50015 or call the ISI’s information line at 076 106 4200.

The ISI offers 4 debt solutions:

Debt Relief Notice - a solution for people with low income, no mortgage and very few assets. This solution allows for complete write off of debts up to €35,000 and can be applied for, at no cost, through an Approved Intermediary, many of whom are based in MABS.

Debt Settlement Arrangement – a solution to problem debts that have built up outside of a mortgage, such as credit cards, personal loans, overdrafts. This solution features write-down and write-off of debts that cannot be repaid. It can be applied for through a Personal Insolvency Practitioner, professionals based around the country that are regulated by the ISI.

Personal Insolvency Arrangement – is a similar solution to the Debt Settlement Arrangement but it also includes mortgage debt and, where possible, allows a person to keep their home. Again, this solution is available through a Personal Insolvency Practitioner.

Bankruptcy – the solution for people for which the alternatives above are not suitable. The bankruptcy term is now reduced to 1 year.

Contact Details:

Carlow County Council,
Loan Arrears Unit.
059 9172491