The Personal Insolvency Act 2012 provides for far-reaching changes to Ireland’s insolvency and bankruptcy law.

This guide through The Personal Insolvency Act which was signed into law in December 2012 provides a concise and simplified overview of how this new law affects changes in Irish insolvency and bankruptcy law. It includes a detailed analysis of the legislative changes and how it could affect your personal debt, your options for the future, and advice on the regulation of personal insolvency practitioners.

Before this Act was implemented if you were insolvent, that is unable to pay your debt, bankruptcy was the only formal mechanism available to settle your debts and get protection from your creditors. Under the new Act, three new debt resolution mechanisms have been developed so that people who do not have the means to pay their personal and mortgage debts have other options aside from declaring bankruptcy. The Insolvency Service of Ireland (Part 2 of the Act) operates non-judicial debt resolution processes so that an agreement can be met between customers and their creditors.