PIA – Personal Insolvency Arrangement

This option is designed to help distressed debtors who need help with secured debts, such as mortgages, where the value of the debt is less than €3M and with an unlimited value on unsecured debts.

In choosing this option, our clients agree to a six-year repayment plan. If their circumstances change for the worse, we can help negotiate a variation, which might reduce the previously agreed repayment. If this happens the term can be extended for another year, up to a maximum term of seven years. When the debtor has completed the six or seven-year term, the balance of the unsecured debts are written off.

In agreeing to a Personal Insolvency Arrangement with their creditor(s), debtors will be allowed an amount of money from their household income each month to pay their Reasonable Household Living Expenses, sometimes referred to as RLE’s and are pre-set by the Insolvency Service of Ireland. If a PIA is reached between our client and creditors, they will be given an allowance based on their family formation. These ‘Reasonable Living Expenses’ are pre-set by the Insolvency Service of Ireland. This gives debtors peace of mind, as it allows them to maintain a minimum standard of living for themselves and their families while they work through their debt problems.

Applications for PIAs can only be made on behalf of a distressed debtor by an authorised PIP’s , such as a Negotiators staff member. The fee is taken from the funds made available to pay creditors.

This is for distressed debtors with unlimited unsecured debts, such as bank personal loans, credit card debts and credit union loans. We negotiate a DSA for our clients that involves a repayment plan, followed by a debt write-off.