Consumer bankruptcy in Ireland – 5 reasons why you should choose it

Don’t be discouraged. Pursuing a UK consumer bankruptcy doesn’t mean fleeing from your problems. You are simply using the possibilities that Europe has to offer.

1. A consumer bankruptcy in Ireland is fast and can be easily scheduled
2. The level at which your properties are judged to be exempt from seizure is determined on a case by case basis
3. Debt relief orders are comprehensive
4. Bankruptcy and debt relief order procedures in Ireland are unbureaucratic
5. The respect with which you are treated in Ireland

1. A UK consumer bankruptcy is fast and can be easily scheduled

The time needed for a debt relief order is a decisive factor. It concerns your personal time.

In Ireland, you yourself file the application for bankruptcy, not your creditors. You can determine your future. In Ireland, you need at most one year from the initial approval and registration of the bankruptcy until the debt relief order, often even less.

2. The level at which your properties are judged to be exempt from seizure is determined on a case by case basis, up until the issuing of the debt relief order

You will not live in poverty when going through the bankruptcy. The “attachment-exemption level” in Ireland will consider your needs.

In Germany, until the debt relief order is issued, the process is geared towards restricting your living costs to a bare minimum and the “attachment-exemption level” used, is determined by an attachment index.

In Ireland the “attachment-exemption level” is determined on a case by case basis. There is no schematic index for determining personal costs for the 12 months until the debt relief order.

During a bankruptcy procedure in Ireland, your needs are taken into consideration and you can keep up a comfortable lifestyle until the debt relief order. As a rule of thumb, you are generally not allowed to earn more than £1,500 until the debt relief order. If your earnings go over this figure you will have to make a small contribution to Ireland. The amount is however nowhere near comparable to the bankruptcy regulations running up to a debt relief order in Germany.

3.   Debt relief orders are comprehensive

You are to be back in a position from which you can work and pay tax as quickly as possible. This means that the debt relief order for a bankruptcy is extensive. In Ireland you and your debts are the focal point.

It is guaranteed that your debt relief order will be issued exactly one year after your bankruptcy application is received. The amount of bankruptcy debt built up has no effect on the debt relief order.

3 months after the bankruptcy / debt relief order your details are deleted from the debt register. Your bankruptcy procedure might never have happened.

More precisely, a debt relief order for a bankruptcy in Ireland records:

The first items to be recorded for a debt relief order when filing for a personal bankruptcy are the debts and liabilities, existing in either country at the time of application. („bankruptcy debts“, section 281 (1) IA and section 382 IA Insolvency Act).

• Liabilities not included in the bankruptcy application can be added for the debt relief order at any point, later on in proceedings
• Tax office debts of any amount
• Contingency liabilities can also be added for the debt relief order in Ireland. These are liabilities which are unconfirmed when the bankruptcy procedure is opened or were not documented

Make a list of all documented and expected debts when filing for consumer bankruptcy in Ireland!

To note: In Ireland just as in Germany, it’s also official practice for debts linked to “deliberately illicit practices” (i.e fraud) not to be covered by the debt relief order. Debt relief orders do not cover monetary fines. But these must be proven by creditors. It can happen that debts covered by a debt relief order in Ireland are not registered in Germany as they are unproven. Claims made by the judicial authority for procedure costs, as well as tax evasion – as long as no conviction is to be handed down – are covered by a debt relief order in Ireland.

4.   A bankruptcy in Ireland is unbureaucratic

A consumer bankruptcy in Ireland is a streamlined process that can be easily managed until the debt relief order.

In Ireland the procedure is opened or refused on the same day you file for bankruptcy and a debt relief order. There is no middle ground. Refusals are usually the result of incorrectly completed forms, which means you can simply try again the following day.

In Ireland, the law stipulates that your debt relief order is to be issued within one year of bankruptcy and in practice, this often happens earlier. The accounts of creditors are generally not taken into consideration.

In Ireland, 3 months after the debt relief is issued, you will be removed from the bankruptcy register. Bankruptcy will help you get back on top of your life again! Of course you will have to respect certain regulations when filing for bankruptcy in Ireland. But only in very complicated cases would you need a lawyer. You will be able to handle most steps in Ireland leading up to the debt relief order by yourself. So that you don’t make any other mistakes when filing for bankruptcy, we will be close by. To make sure the debt relief order goes smoothly and to ensure a comfortable life to follow.

5.   The respect with which you are treated in Ireland.

The respect shown towards debtors in Ireland is impressive.

The politeness in Ireland is a benefit to anyone going through with a consumer bankruptcy. Please do not underestimate this. In Germany and other countries, procedures leading up to the debt relief order very often entail humiliation. Two examples from UK practices:

• After the procedure is initiated in Ireland, you are written to in a respectful manner. Often you are invited to a friendly conversation with the “official receiver”
• All creditors are also written to, both when the procedure is initiated and 3 months thereafter. If you wish, you may see every reply made

We believe the advantages we’ve listed of a consumer bankruptcy and debt relief order should have convinced you. If they haven’t, then have a look at the processes for German bankruptcy law!

Contact us for getting the advantages of a consumer bankruptcy in Ireland!