Legal routes through debt — designed by Irish law, delivered by an Irish PIP.
There are four formal options for dealing with debt in Ireland, plus informal arrangements. This page explains each, honestly, and which situations they fit.
Five possible routes forward.
The Personal Insolvency Act 2012 created three formal, legally structured options for dealing with unmanageable debt in Ireland. Alongside older-style bankruptcy and informal negotiation, there are five possible routes forward.
The right route for you depends on:
- The type of debt (secured, unsecured, or both)
- The total amount owed
- Your current income and essential expenses
- What you're trying to protect — your home, in most cases
The rest of this page walks through each option. If you're not sure which applies to you, that's exactly what the free consultation is for.
Personal Insolvency Arrangement (PIA)
Best for: homeowners with mortgage arrears and other debt
The PIA is the most powerful tool in Irish personal insolvency, and it was designed with one specific goal in mind: to keep families in their homes while restructuring debt they can no longer afford.
How it works
- Your mortgage is restructured to a level you can actually afford, based on real income and reasonable living expenses
- Unsecured debts — credit cards, personal loans, overdrafts, credit union loans — are typically reduced, often substantially
- Any unpaid balance at the end of the arrangement is written off entirely
- The arrangement usually lasts 6 years
- You remain in your home throughout
Who it's for
- Homeowners with mortgage arrears
- Combined secured and unsecured debt up to €3 million
- Anyone whose current income, minus reasonable expenses, isn't enough to service their debts
What happens once we file
Within days, the court issues a Protective Certificate. Creditors must stop all contact for 70 days (extendable) while the arrangement is drawn up and put to your creditors for approval.
Discuss a PIA on a free call →Debt Settlement Arrangement (DSA)
Best for: unsecured debt only
A DSA restructures unsecured debt — credit cards, loans, overdrafts, credit union balances — over a fixed period (typically 5 years). Whatever isn't paid at the end is written off.
Who it's for
- People whose debt is unsecured (no mortgage arrears involved)
- Debt of any amount (no upper limit)
- Anyone with a stable income who can afford some repayment, just not the full amount currently required
What it's not
A DSA does not cover mortgage debt. If your mortgage is part of the problem, a PIA is the correct route.
Debt Relief Notice (DRN)
Best for: very low income, small debt, few assets
A DRN writes off qualifying debts of up to €35,000 for people on very low disposable incomes with minimal assets. After a 3-year supervision period, the debt is discharged.
Who it's for
- People with debt at or below €35,000
- Very limited disposable income (less than €60 per month after essentials)
- Few assets (a modest car and modest household possessions are typically fine)
How I can help
Applications for a DRN are made through an Approved Intermediary — typically MABS. If you think a DRN might fit your situation, I'll say so on our call and point you to the right place. There's no charge for that advice.
Informal arrangements
Best for: temporary cashflow or single-creditor issues
For some situations — usually short-term cashflow issues or specific one-off problems — a formal insolvency arrangement is overkill. In those cases, a direct negotiation with your creditors may be the right approach.
I can act as your intermediary in these negotiations, using the same experience and professional standing that supports my formal work. The advantage is speed and flexibility. The disadvantage is that informal agreements don't come with the legal protection of a formal arrangement — creditors can walk away at any time.
When it fits
- A one-off issue like a temporary income drop
- A single creditor causing disproportionate pressure
- Situations where the debt is manageable long-term but needs short-term restructuring
Bankruptcy
Best for: usually only when the other options don't fit
Bankruptcy is the fifth and oldest option. Since the reforms of 2013, the process in Ireland has become significantly less punitive — the bankruptcy period is typically 1 year, and the consequences are more contained than they once were.
That said, for the vast majority of people I meet, one of the three formal insolvency arrangements above is a better fit. Bankruptcy is generally a last resort, considered only when the other routes are unavailable or inappropriate.
If you've been assuming bankruptcy is your only option, please talk to me first. It usually isn't.
That's exactly what the first call is for.
Thirty minutes, free, confidential — and you'll leave with a much clearer picture of what the law allows in your specific situation.
Request a callback →Or ring directly: 086 8599134